Tips for Choosing the Right Trucking Freight Broker
If you work in the shipping industry, you may need to partner with the right trucking companies to ensure the effective transportation of your goods. To make things easier for you, you should consider hiring a freight broker to connect you to a carrier that has the capacity to move your freight. Most shippers often turn to freight brokers when the freight demand far outweighs carrier capacity. With the help of a freight broker, you will be able to access increased capacity without having to worry about the hassle of managing new carrier relationships. Having a to-go trucking freight broker is an easy and convenient way of boosting up the capacity of your loads without having to qualify and manage many carrier partners. Finding a trusted trucking freight broker is however not an easy task considering that such service providers are popping up at a high rate due to the high demand for freight services. You may, therefore, need to look into some tips as will be highlighted below to make an informed choice.
Licensing is one crucial aspect you should look at when hiring a trucking freight broker. Any individual arranging transportation for compensation is required by the federal law to have a federal property broker license issued by the relevant licensing authority which in this case is the Federal Motor Carrier Safety Administration. Such a broker has fulfilled all the licensing requirements, is credible, has undergone proper training, is qualified and experienced to offer freight brokerage services. You should, therefore, be wary of motor carriers that broker loads without having broker authority as that is an indication of a questionable reputation.
To find the right trucking freight broker, you may also need to investigate the broker’s carrier selection process. Since you would not entrust your freight with just any carrier, your preferred broker should not do so as well. A good freight broker at a bare minimum will first verify the carrier’s safety rating, operating authority and insurance coverage before tendering your load to them. Additionally, a written contract between the broker and the carrier is important as it is proof of accountability and commitment to service delivery and also acts security for your goods.
The other effective tip to finding a reliable trucking freight broker is to examine the broker’s trucking selection process. You should find out whether your preferred freight broker uses electronic posting services, where the broker posts the available loads and the carrier posts the available trucks or whether they draw from other fleets as well. To ensure that all your loads are covered more effectively, you should opt for a freight broker that uses other resources rather than one that uses only the electronic posting services.
When choosing a trucking freight broker, it is also advisable to run a credit check. All freight brokers are required to be financially solvent and also able to pay their carriers. To determine this you may need to find out how prompt your preferred freight broker is in paying vendors, whether they are profitable or have faced any liens or legal judgments against them.