CHICAGO--(BUSINESS WIRE)--Loop, the modern audit & payment platform for the next-gen supply chain, today announced its collaboration with J.P. Morgan Payments to help make financial operations more accessible and profitable for every shipper, carrier, and third-party logistics provider. Together, Loop and J.P. Morgan Payments will boost working capital with freight payments — and facilitate stronger relationships between carriers and shippers built on speed, transparency, and trust. Customers including Great Dane, Loadsmart, and J.P. Morgan Chase benefit from Loop’s logistics-AI solution and J.P. Morgan’s stability and innovation. Together, Loop and J.P. Morgan offer a market-leading financing rate which is a win-win for both shippers and carriers.
“Loop and J.P. Morgan Payments turbocharged our freight audit and pay. With quick pay now on 15% of our FTL payments, we get meaningful margin back on every transaction,” said Jeff Toman, finance executive at Great Dane, a leading manufacturer of high-performance commercial transportation equipment. “In the age of rising costs and increasing demands on carriers and shippers to do more with less, it’s a competitive advantage to have Loop and J.P. Morgan Payments in our corner.”
Trucking revenues in the U.S. total more than $940 billion, or 80%, of the nation’s freight bill, according to the American Trucking Association. Yet a tangled legacy network of paper invoices and delayed payments snarls supply chains and drives up costs. As shippers push to reconcile invoices, capital is trapped, a dynamic mirrored by their carrier counterparts. While quick pay options have long been accessible to shippers with flexible balance sheets or those partnered with specialized financial institutions, major gaps persist across the supply chain.
Legacy payments are late up to 30% of the time according to J.P. Morgan Payments proprietary research. This adds friction, hurts carrier relationships, and incurs late fees. And even as the industry digitizes, transparency and compliance in the supply chain are growing issues, with rising rates of fraud. This collaboration fills these gaps, ensuring carriers receive payments faster while shippers receive a market-leading financing rate thanks to the enhancements made through AI. Loop’s logistics-AI and automation improve accuracy, speed, and trust, enabling J.P. Morgan Payments to provide capital and payment flexibility with confidence. Together, the firms are unlocking working capital that propels growth and collaboration across the supply chain. In addition, Loop will join the J.P. Morgan Payments Partner Network, which delivers end-to-end payment experiences through an ecosystem of third-party applications that can grow businesses faster, provided by experts in industries such as energy, healthcare, transportation, consumer/retail, and more.
Loop's logistics-AI platform for spend management and auditing radically streamlines the invoice approval process for shippers, reducing the usual weeklong review to just four hours. Recognized carriers can receive payments often on the same day through J.P. Morgan Payments’ advanced payments platform for a small fee. Shippers can earn money back and configure the solution to extend their payment terms for more strategic capital management. J.P. Morgan Payments combines treasury services, trade & working capital, card, and merchant services capabilities to help clients pay customers or employees, in different currencies, around the world. It processes nearly $10 trillion in payments daily, operating in over 160 countries and over 120 currencies, and is #1 in USD payments volume.
“We’re pleased to work with Loop, a leading technology company with deep expertise in the supply chain, to help solve a major pain point in freight payments with access to the flexibility and network of J.P. Morgan Payments–it’s a game-changer for our clients that ship goods to monetize their capital,” said Brian Holcomb, Head of Treasury Service Payment Product Solutions, J.P. Morgan Payments. “Together, we see a significant opportunity to take what was historically a sunk operational cost component for these businesses and instead help drive revenue and cost efficiency.”
“For too long, misaligned incentives have persisted across the industry. We’re excited to put the combined power of our platform and J.P. Morgan Payments’ expertise and capabilities to work on behalf of carriers and shippers to create a rare win-win,” said Matt McKinney, CEO and co-founder of Loop.
ABOUT LOOP
Loop’s AI-based approach to managing transportation audit & pay upgrades the modern supply chain with a platform that enables hyper-efficiency, improves cost control, and yields better outcomes with enhanced analytics. Loop's AI thrives on the complexity of supply chain data and documentation– a superpower that helps logistics companies bypass the tedious processes of digital transformation and move directly to workflow automation. Precision audits, seamless dispute resolution, and tailored insights deliver exceptional results for customers. Loop was founded by Matt McKinney and Shaosu Liu, who drew upon their backgrounds at Uber Freight to tackle the massive problem of building a new structure for the legacy freight payment system that supports the global supply chain.
Learn more at https://loop.com/
