Freight Factoring: Why OTR Funds in 2 Minutes, Non-Recourse

Insight summary

• •OTR Solutions expects a 60% increase in core factoring revenue and a 35% rise in invoices in 2026 compared to 2025.
• •The company currently factors freight for about 23,000 carriers and processes invoices for around 10,000 brokers annually.
• •OTR Select platform provides brokers with spot-rate data and vetted carrier options, sourced from carriers vetted through financial and identity underwriting.
• •OTR’s factoring is predominantly non-recourse, protecting carriers from losses if brokers fail to pay, demonstrated during the Convoy collapse.
• •The firm projects $8 billion in carrier freight spend on the factoring side for the current year.
• •Inflation-adjusted spot rates are below OTR’s long-term median and carrier breakeven, indicating a soft freight market.
• •Regulatory policies maintaining strict safety standards are seen as necessary despite limiting capacity growth in trucking.