Below is a portion of our Transportation Guide:
Freight Brokering as a Business
1. Load life cycle
A load is defines as product that a shipper needs to move to a consignee. The shipper is also referred to as a customer ( your customer ). The consignee is the person receiving the freight/goods. Once you have obtained the business of ABC Foods, they will start to offer you certain loads. If you are to accept these loads, you will in turn sell the load to a carrier at a lower rate than you quoted the customer. Sound confusing? Just wait. Once you agree to cover the load for this customer, you start your search for a truck that wants the load. You then negotiate a rate with that truck. Once ya'll have agreed on terms, you will set that carrier up. They will send you their set up packet. It usually contains their MC # ( authority ), their insurance, w-9, and references. In turn you will send them your set up packet ( usually containing the same info ). After, and ONLY after, they have faxed back the signed broker/carrier contract ( this is a contract stating that they will not back solicit your customer for freight ), do you go any further. You never give out any detailed info on who your shipper/customer is until they have signed the contract. Once they have done that, you then fax them a rate confirmation ( explained later ). They sign it and fax it back. You now have that load covered.
2. Types of freight
The types of freight you can broker are endless. The most common are Flatbed freight, refrigerated freight ( reefer ), van freight, and auto hauling. Other types are;
oversized (wide load, extended, maxi, step deck, double drop, Less than truck load or ltl of any of these, and more), boats, household goods, government, logs/timber, and the list goes on.
Whichever you decide to get into, I recommend you do research and ask questions on that topic. I would say that the easiest, but most competitive is Van freight. Your van freight can consist of auto parts, dry foods, papers, plastics and more. It is the least likely to give any problems. When dealing with Reefer Freight, you have to worry about temperature control. Flatbed freight, you have to worry about straps, chains, tarps, and more. Then once you get into specialized such as oversized, boats, maxi, etc;, you have to worry about permits, escorts, and more.
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Freight Trucking / Transportation Broker / Auto Transport / Freight Broker / Trucking Company
Freight Factoring / Dry Freight / Reefer Freight / Flatbed Freight / Find Loads / Broker From Home
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