VSH Logistics and Denim Payments Success Story
VSH Logistics, LLC, is a veteran-owned freight brokerage founded by Ed Crosby in 2019. Primarily serving companies in the signage space, VSH boasts a team of professionals with a combined 50+ years of experience in logistics, freight brokering, and truck driving. Since working with Denim, VSH has experienced a 300% growth in their freight brokerage's revenue.
The Problem: Inconsistent Cash Flow and Inefficient Back-Office Workflows
Maintaining consistent cash flow is tough for any brokerage. Shippers tend to pay brokers on 30-60 day terms, while carriers expect payments from brokers almost immediately. This uneven cash flow makes it hard for a freight brokerage to maintain steady operations, let alone grow the business to bring in more revenue. Most brokerages solve this problem by working with a factoring company. However, Crosby and VSH didn't want to work with just any factoring provider. They wanted a reliable partner that would not only stabilize cash flow but also help streamline back-office operations." Other factoring companies are really particular about your paperwork," Crosby said. "It has to be perfect, or else you're not getting paid."Crosby didn't want to jump through hoops to get the money his brokerage had earned. Additionally, his people were already swamped with administrative tasks, such as chasing down payments and fielding constant calls from carriers. Crosby needed a factoring partner that would make life easier for everyone at VSH. That way, the team could focus on what really mattered: delivering a full-service approach to freight brokerage that helps every customer streamline operations and cut freight costs.
How Denim Helped Boost Revenue for the Freight Brokerage
Crosby learned about the Denim Payments financial platform through EZ Loader, which VSH was already using as a transportation management system (TMS). Because Denim integrates with EZ Loader, it was an intuitive choice for VSH. Almost immediately, Crosby noticed how user-friendly Denim's platform was. Rather than requiring VSH to file complicated paperwork for every invoice they want to factor, Denim takes advantage of its EZ Loader integration to automate much of the process." You have a lot of other companies that want you to do a spreadsheet and then submit it to them," Crosby said. "But with Denim, it’s so easy. All I do is hit 'Submit to Factoring', and it sends information from the TMS to Denim. "Denim didn't just make it easier to get money from shippers — it has also made it easier for VSH to pay carriers. Denim automatically invites carriers to the Denim platform so they can track payments themselves. VSH personnel no longer receive multiple calls from carriers every day asking about payment status. And thanks to Denim's QuickPay feature, carriers are always paid on time. "Denim takes the burden off you when it comes to paying the carrier by doing it for you," Crosby said.
The Benefits of Partnering With Denim
With a newly streamlined back office and more consistent cash flow, VSH can focus on more mission-critical tasks, like ensuring every shipper gets the service they need. And with a more transparent and faster way to pay carriers, VSH has had an easier time maintaining strong relationships with the best carriers. After all, the most powerful way to keep carriers happy is to pay them on time. Plus, better relationships with carriers mean VSH is able to connect every shipper with the right carrier, which has helped drive tremendous growth for VSH overall. In fact, revenue has increased by 300 percent since VSH started working with Denim. "Denim has made my accounting really easy," Crosby said. "Less stress, more streamlined, and getting business done quicker—that's what Denim provides for me." VSH Logistics is a Denim subscriber and takes full advantage of the suite of financial enablement features provided by Denim. If you’re interested in learning more about how Denim can help grow your credit and help build your business, we’d love to talk.