The broker is the individual who owns the brokerage, the business license and brokerage’s authority to operate is obtained under their name. A broker can recruit Freight Agents to broker loads under the name of his or her brokerage.
Also referred to as freight broker agents & logistics coordinators, a Freight Agent works for a broker (under the broker’s MC Number/Authority) as a representative of the company taking home 50% – 60% of the money he/she earns. You may want to consider becoming a Freight Agent before you start your own freight brokerage if you don’t have any industry experience or contacts, but that’s up to you.
Only the Broker is responsible for handling the administrative side of the business, both Freight Brokers and Freight Agents coordinate the movement of freight to make money. Both must be disciplined, self-motivated, possess excellent communication skills, provide outstanding customer service, and be knowledgeable of the constantly changing shipping rates and market trends so that they can competitively negotiate rates with shippers and carriers. Succeeding as a Broker or Agent is a full-time commitment that is going to require you to implement sound business fundamentals, it is helpful to learn the best practices early on. Everyone in a brokerage works together to go the extra mile for customers and doing their best to build lasting relationships with shippers. Do what you can to keep the customer long term, don’t sweat the small stuff or the things out of your control, and remember to have fun with it!
Any accounting, finance, business administration, logistics, customer service, sales, or telemarketing experience will be useful to you as a Freight Broker/Agent. None of these are required prerequisites but they can’t hurt! With experience as a dispatcher or transportation manager, you will know what transportation managers and dispatchers like to see and hear from freight brokers. If you have any personal relationships with ties to manufacturing, agriculture, or trucking you may already have an “in” with a customer if you are able to get a referral!
Set goals. If you want to make 6 figures a good goal to focus on is 5 loads/day. Every successful freight broker/agent knows that the rush of energy and excitement that you have when you learn about starting a freight brokerage is magnified every single time that you book a load for a great profit. You’re probably super excited to finish your training and get started but focus on the task at hand throughout the entire process. Right now you should be focused on what you need to do in order to move your first load. Be patient and commit to the process we teach you, it is likely going to take 4-12 weeks before start to see a consistent stream of income.
Successful Freight Brokers and Agents understand that the entire broker business is a relationship business. Who does a shipper give their freight to? Someone they trust. Once you have moved a few loads for someone and they trust that when you take a load that you are going to get the job done, congratulations, you have just become a reliable transportation intermediary. That trust in your services is how you get someone to think of you whenever they need to get a job done. Relationships will naturally form over time if you just do your job. There is no secret formula, it takes time and effort. Oh, and don’t take freight you can’t move! Your reputation and credibility as a broker are crucial to your success. Never let a carrier file on your bond and pay carriers in a timely manner, because no carrier is going to want to work with you if they think they might not get paid. Once you learn the technicalities behind booking a load, it’s as simple as giving the shippers and carriers you work with a quality and stress-free experience.
Becoming a freight broker doesn’t require you to complete any training. But if we gave you a phone number to a direct shipper today would you know what to say to the person on the other end or would you freeze up? Without actually knowing what you’re talking about how do you expect to:
A) get them to trust you enough to give you their freight, or
B) know how much to quote them for the shipment if they ask for a rate? If you quote the shipper too high the shipper will just hang up on you and if you quote them too low you will either lose money or lose the customer because you can’t move it.
Rates are constantly fluctuating. Trucks are a commodity and rates fluctuate across the country due to equipment availability, seasonal supply, and demand. Learn what lanes are worth, some loads are easier to book than others due to the supply and demand of trucks in both the origin and the destination of the load. Learn how to recognize the loads that are going to make your phone blow up when you post them.
Everyone needs training in some way shape or form. Most people are not fortunate enough to have a successful mentor in their life willing to show them the ropes on the job as a beginner. When a company is considering who to hire for a Supply Chain Management position, they almost always require some sort of previous experience. But how do you get that initial experience if no one will hire you? Professional training is an excellent solution that is available to you, just make sure you get a certificate!
Know what you are getting yourself into. Taking a course is a great way to see if this career is a good career choice for you without fully committing. Don’t switch careers just to figure out that you don’t like the work.
Prepare for the challenges that are sure to arise. Learn industry standard assessorial charges so you don’t get ripped off. You have the opportunity to become an expert before you start.
You want training that you can reference in the future. We don’t expect you to remember every detail in our courses a year or two from now, so you can always refer back to them if you ever have questions.
Handle your business. Training is important so that you don’t feel overwhelmed when you find yourself under pressure.
Start your own Freight Brokerage and learn the best practices of successful Freight Brokers. Step by step tutorials guiding you through independently obtaining your Authority, general business license, and getting bonded without paying for a license filing service. Includes Contracts and Forms
Learn the ropes and start brokering freight for an established Freight Broker. Becoming a Freight Agent requires almost no overhead and you can work from practically anywhere. Receive 50%-60% commissions on the freight that you move. Invest in yourself and utilize professional training so you may become a knowledgeable resource for your future customers.
Includes Freight Broker training for you, In-House training for your new AND experienced Agents, plus, training for your Dispatchers for when you can proudly say you have trucks! Not every shipper is going to want to work with you if you don’t own any of your own equipment. It is no coincidence that the 1,000 largest trucking companies in America almost all have a Brokerage division too!