Cloud-based network helps trucks find loads and make cashless business transactions
The logistics start-up 4TiGO, The Truck Network, is paving the way for transporters to join the mainstream cashless economy with an innovative B2B payment system designed specifically for the Indian transport industry.
The cloud-based technology platform and complementary business services of 4TiGO bring various stakeholders in the logistics industry — including consignors, consignees, fleet owners, transport companies and agencies—together onto a common platform and enable them to exchange information, transact and manage their entire business. All the transactions made on the platform are cashless and securely facilitated through 4TiGO’s partnership with Federal Bank.
Additionally, 4TiGO has announced the facilitation of working capital credit for the transporters on its network. Through the extension of credit, 4TiGO aims to boost the business of truck drivers, fleet owners and MSMEs, and drive the smooth management of cash flow that could support their business requirements. The start-up has been funded by Infosys co-founder Nandan Nilekani and Accel Partners.
Vivek Malhotra, Co-founder and Chief of Strategy and Marketing, 4TiGO, said, “The idea is for a truck driver, anywhere in India, to be able to find a load, seal the deal and be on his way, all in just three clicks. To achieve this, we have created an intuitive user-interface by combining 14 streams of technology. By using 4TiGO’s platform, they would also be able to gain additional earning of about Rs. 25,000 a month on each truck.”
The potential of 4TiGO has been recognised by Federal Bank and the Indian Oil Corporation Limited (IOCL), both of whom have partnered the platform to provide a multitude of benefits to its members. By partnering Federal Bank, 4TiGO has developed an innovative B2B electronic platform that delivers on the promise of “fulfilment assurance” and “payment guarantee”. 4TiGO is also leveraging the 800 retail outlets of IOCL to provide complementary amenities to the truck drivers, such as fuel discounts, overnight stay facilities, secure parking, breakdown assistance, repair and maintenance facilities etc. for greater driver safety and convenience.
“Traditionally, the industry has been heavily dependent on the use of cash for funding the trips. Handling of cash has its own issues and risks. We are looking to help the small transporters and fleet owners leapfrog into the emerging cashless economy by facilitating online transactions for everything from lorry-hire to fuel and toll payments and even the remittances by the driver to his family. This would reduce the official cash requirement to under Rs 1,000 / day per truck. The other big challenge the small transporters and fleet owners face is access to sufficient working capital. We are addressing these issues through the power of the network and its strategic partnerships. Both our partnerships, with Federal Bank and with IOCL, have converged to help us provide excellent business solutions that can solve these issues. With help from Federal Bank, we will be able to facilitate them with access to working capital which will go a long way in unlocking the real growth potential of many of these businesses,” said Vivek Malhotra.
4TiGO’s platform is all ready for the changes that would be implemented when the Goods and Services Tax (GST) is made operational, in mid-2017. For each trip, the national transit pass for goods movement would be accessible on 4TiGO’s mobile platform to facilitate smooth movement across all states.https://ssl.gstatic.com/ui/v1/icons/mail/images/cleardot.gif Currently operating in the six southern states, south Maharashtra, Gujarat and NCR, 4TiGO recently expanded their footprint in Tamil Nadu and have already signed-up over 150 transporters and fleet owners across all major transportation centres in the state. Over 1000 trucks have joined the 4TiGO network to support the demand of the transporters on the network who are expected to be placing over 300 loads every day in search of trucks.
The platform was earlier unveiled in Bangalore and Chennai as well.