JITpay™ GmbH Digitizes Billing Processes in Logistics

Founded in 2018, the financial service provider JITpay™ from Braunschweig has rapidly developed and recorded a meteoric revenue increase of 1375% in 2020 compared to 2019. In addition to traditional financial services such as debt collection or factoring, JITpay™ offers additional services tailored specifically for logistics service providers, which also benefit shippers. There is also a tool for order creation and order transmission linked in a telematics system called JITfleet™. This culminates in a seamless digitization from order to billing.

(Braunschweig) JITpay™ GmbH (JIT = Just In Time/™ = Trade Mark) was founded in 2018 by Dr. Daniel Steinke, Boris-Michael Steinke, and Dennis Wallenda (all still in leadership positions). The core business is payment services, but from the beginning, the goal was to offer customers more and create added value. Thus, with the additional tool JITfleet™, order capturing is possible, also by the shipper, for order processing with the logistics service provider. It continues all the way to the signed delivery receipt and an automatic payment trigger. JITpay™ transfers the money the next day after order fulfillment to the contractor and monitors the payment receipt by the client. And all this for less than 2% of the invoice amount, which is less than a cash discount.

Digitally Controlled via App or Web Portal

All these functions are completely handled digitally via an app. The following functions are included in the app:

Android app for mobile devices; GPS tracking; real-time status messages; tour creation and editing; digital delivery proof (E-POD); exchange of loading equipment, photo function/document upload; damage documentation; receive/write messages; central phone book

In addition, there are portal functions with the same and complementary features:

Web portal for common browsers; shipment capturing; creation and transmission of freight orders (DIN-5018 compliant); tour formation and tour transmission; JITfleet™ – Multi Carrier Management; geofencing; integrated connection to JITpay™ – central billing; integrated connection to JITpay™ – (reverse) factoring

Place order – Execute transport – Transmit POD – JITpay™ triggers payment</caption]

Customers No Longer Need Telematics or Order Processing

Especially smaller and medium-sized transport companies no longer need expensive software, as they do not require more. Managing Director Dr. Daniel Steinke states: “Considering all these services included in the commission of just under 2%, it is cost-neutral for the payment recipient, as the expenses for their own telematics system or their own order processing would be significantly more expensive.”

The client, usually the shipper, also benefits from the tools, as they can also utilize telematics and do not have to worry about the payment process to the contractor. Creditor management is also a time-consuming matter. Immediate payments also enhance their good reputation and ensure a good relationship with the contractor, meaning the logistics service provider or transport company. An additional tool with the following functions is integrated for shippers:

Capture, share, and manage freight orders; tour formation and transmission; geofencing; management of delivery receipts; selection of delivery receipt types; E-POD, geofence, scanning of barcodes (NVE), image upload; document upload; management of the branch; JITfleet™ – Multi Carrier Management; integrated connection to JITpay™ – (reverse) factoring; integrated connection to JITpay™ – central billing

100 Percent Payment Guaranteed

JITpay™ customers no longer have to worry about incoming payments, and the receivables are 100% secured (minus the commission). Of course, clients must be seriously verified. But after that, the times of receivable defaults are over, as JITpay™ takes over receivables management until, in an emergency, a collection or, in the worst case, the procedure in a bankruptcy case is necessary. Losses always hurt, so good risk management is important. “Here, our many years of experience in logistics cost billing benefits us, which we combine with modern IT and classic risk mitigation methods,” reports Dennis Wallenda.

Freight forwarders also benefit from the following additional options:

Management of the branch; overview of shipments; shipment capturing; tour formation and transmission; JITfleet™ – Multi Carrier Management; transmission to JITpay™ – external contractors; JITpay™ Easy Order Sharing; document upload; integrated connection to JITpay™ – (reverse) factoring; integrated connection to JITpay™ – central billing

All these tools save participants from order placement to delivery a lot of effort and thus time. And these are also the advantages of JITpay™ in competition with other service providers in the logistics industry. Additionally, the focus is clearly directed at the logistics sectors. According to Dennis Wallenda, Managing Director of JITpay Financial GmbH: “Our offer is fundamentally aimed at all logistics providers, but especially at the many SMEs, to whom we provide easy and quick access to services that they could not or could only use with much effort and cost.”

With JITpay™, payment is guaranteed and liquidity is increased</caption]

The Offer Hits the Nerve of the Logistics Industry

“In 2018, my brother Boris-Michael Steinke, Dennis Wallenda, and I came together and bundled our experiences in logistics, IT, and financial services, focusing on logistics,” reflects Dr. Daniel Steinke, Managing Director of JITpay™. Dr. Steinke adds: “From mid-2019, the business gained momentum and culminated in 2020 in a sustained upward curve with an increase of 1375 percent more revenue compared to 2019.”

In the background, JITpay™ is working on a new website. They want to make the offers even more transparent.

New Service Offers

With the existing offers and despite the success, JITpay™ is working on new service products. For example, a proprietary credit card is in planning. This would allow the drivers of clients to make payments, such as refueling on the go, within the proven system.

Since September, a cooperation has been running with another newcomer in the industry, the digital freight forwarder sennder. The two start-ups are pooling their expertise in a new partnership to digitally accelerate the billing and payment processes for sennder’s transport companies. The two companies have developed a product for freight forwarders that simplifies the invoicing process and significantly shortens the payment duration. Sennder and JITpay™ support transport companies in strengthening their cash flow and liquidity.

Geographical Expansion

A geographical expansion is also planned. So far, the services of JITpay™ GmbH are available in Germany and Poland. This year, an expansion to other European countries is planned. They are also keeping an eye on other modes of transport. “The challenge here is not the linguistic change, but the regulatory requirements, which vary from country to country in Europe and even more so worldwide,” explains Dr. Steinke regarding the expansion intentions.

The distinctive green-orange of JITpay™ sticks in your mind</caption]

About JITpay™

JITpay™ is a rapidly growing payment service provider specialized in the logistics industry. Founded in 2018, JITpay™ GmbH digitizes and consolidates the billing and payment processes in logistics. As part of the central billing (ZAL®), JITpay™ takes over the billing of all logistics costs for shippers, freight forwarders, and transport companies.

JITpay™ combines central billing with a specially developed fully digital (reverse) factoring program that enables immediate payment to service providers as well as flexible payment terms for clients. JITpay™ has its own factoring company. The headquarters with over 50 employees is located in Braunschweig, with another location in Berlin. This year, the start-up expects to break even and achieve a “black” result. After nearly three years, JITpay™ already counts around 1,000 customers.

Photos: © JITpay™

www.jitpay.eu

Dr. Daniel Steinke, Founder and Managing Director
JITpay™ GmbH. Freight forwarding merchant and graduate in business administration.
> 20 years of experience in the logistics industry as a consultant and corporate logistics manager in the industry. Since 2005 self-employed in logistics consulting and logistics cost billing for the shipping economy.

Dennis Wallenda, Founder and Managing Director of JITpay™ Financial GmbH. Graduate in business law. 10 years of experience in corporate banking at NORD/LB and BNP Paribas and specialist in structured financing.