From A to Z:
How A Freight Broker Works

What is involved when you work with a freight broker?

Here’s a quick breakdown of the life of a load when you use a freight broker.

How A Freight Broker Works

In 2017, the trucking industry was worth $700 billion. It makes you wonder where all that money is coming from!

We can attribute at least some of this cash flow to the clients who ship their cargo via land transportation services.

Sometimes between these shippers and carriers is a liason. You might know them as a freight broker.

The duties of a freight broker can be a bit murky to those unfamiliar with the industry. If you’re interested in learning more about freight brokers, check out our guide below!

Get A Freight Shipping Quote

AZ Contracting Services, LLC is the Best In The West when it comes to our freight and logistics services. Get your service quote today by calling (623) 584-7010 or click the Contact Us button!

What’s a Freight Broker?

A freight broker is a middleman between clients shipping goods and transportation services.

They are experts on transportation services and carriers. So, clients can commission them to find the best transportation deal, rather than hiring any old carrier. The difference in costs is then used to pay the freight broker and is known as a spread.

What Are a Freight Broker’s Responsibilities?

Freight brokers will work with their clients through the entire shipping process.

Their work begins by collecting information on the shipment. That means they’ll need to learn where it is being shipped from and to, contact information from both the shipper and recipient and any compliance standards.

They will also need to be aware of any special handling instructions, as well as any special equipment used in the process.

After the broker has collected this information, they can enter it all into a freight management system. They’ll then confirm the pickup and delivery times and locations.

The broker works with the carrier to confirm drivers have valid licenses, that they have the proper cargo and liability insurance, and that their transportation equipment is clean and up to date. They also make sure the carrier is able to adhere to the set timeline and can handle any special needs required by the shipper.

A good broker will be in contact with the carrier during the entire loading process. After everything’s been hauled, they will confirm that the full order has been loaded. They will stay in contact with the carrier to affirm the order is in transit and is eventually delivered.

The broker will receive signed paperwork from the recipient confirming the delivery. They can then invoice the shipper and begin the payment process for the transportation service.

When Should You Hire a Freight Broker?

If you are looking to cut your shipping costs, you might want to hire a freight broker. They are experts in their field, so they can match their clients with the most cost-efficient carrier.

It may just seem like an extra expense, but an experienced broker will save you money in the long run by finding you the best shipping deals.

Brokers can also be useful if you are expanding your shipping routes to areas that you are less familiar with. They can help you with any geographical difficulties that may arise. Furthermore, they are equipped to deal with any unplanned issues, such as rebooking a truck or assisting a carrier who’s had a breakdown.

Starting a Partnership

Freight brokers are in business to help both shippers and carriers create a streamlined connection. If you have plans to expand or want to capitalize on an already successful company, the expertise of a freight broker could be the next step for your business!

If you want more information on how a freight broker can help you, check out the rest of our website or contact us directly!

Get A Freight Shipping Quote

AZ Contracting Services, LLC is the Best In The West when it comes to our freight and logistics services. Get your service quote today by calling (623) 584-7010 or click the Contact Us button!