A freight broker or agent, also known as an interstate freight agent, is the person who completes shipping business transactions on behalf of your company. You can consider them to be your "in-house" sales representatives. They handle all the legal paperwork of a deal and can even negotiate pricing that will benefit your business without asking you to get involved in the process.
Sellers choose to work with freight agents and brokers rather than selling their goods directly because it provides them with security and hands-on assistance during the shipping process from beginning until the end. For shippers, it is often more convenient to have brokers on their side of the business transaction because they are experts who can assist with everything from finding shipping carriers to keeping track of your goods during shipment.
They complete shipping deals on behalf of your company.
They handle all the legal paperwork of a deal.
1. What is a freight agent and what do they do?
A freight agent is a person who acts as an intermediary between a shipper and a transportation provider. The carrier can be any mode of transportation, but most freight agents handle over-the-road truckload carriers.
Freight agents typically charge a fee for their services, which can include:
Billing. Billing the customer for the actual freight cost paid to the carrier. Billing can be done weekly, monthly, or by load.
Logistics. Arranging truckloads with multiple stops in one line haul is called logistics broker. The agent can arrange for local pick-ups and deliveries to consolidate the freight into one shipment, saving on fuel costs. Some agents offer shrink-wrapping services for palletized freight.
Pricing. The agent works with carriers to find the best pricing structure for their customers' freight broker templates, including discounts (e.g., HOS or fuel surcharge reductions), priority routing, and other offerings that may be available through the carrier.
Customer follow-up/customer service. Agents follow up on freight bills and payments. They also ensure the customer's freight arrives in good condition, on time, and at the agreed-upon price.
What do they do?
Freight agents to start a freight trucking business, match a shipper with a carrier who will provide an appropriate shipment at a competitive price. Agents generally serve as third-party intermediaries between shippers and carriers.
The number one question that is asked to me today is how much money can I make as a freight broker agent?
This question is the deciding factor for almost everyone getting into the industry and it drives us to try to do our best in being a successful Freight Broker Agent.
There are some determining factors that can shape how much your salary or income can be when you start off as a freight broker or freight agent.
Consider what type industry you are looking to market and work in and then draft a solid business plan from that perspective.
A few ideas to have in your business planned that will determine how successful you want to be.
There are a lot of freight brokers who are happy moving a few loads daily and enjoying a very relaxed life style.Factors to consider:Am I a freight broker owner or a Freight Agent?How many hours am I going to invest daily?What key industry or niche am I looking to move freight in?What percentage is my commission when I move freight as an agent?How much am I willing to invest financially in tools to help me move freight?
Comparison for freight forwarder vs freight broker can create exposition between people.
A freight forwarder is an agent of the shipowner who is responsible for the movement of products from one place to another and freight brokers are companies that work as the middlemen in the transportation of goods.
GoMax Logistics Inc., your air freight shipping services provider in Los Angeles, keeps the safety of shipments above all other concerns.
We adopt a one-stop-shop strategy during the delivery of shipments and monitor of goods to respond quickly if your flight gets off track.
