A freight broker is an intermediary between a shipper and a freight service provider. They do not own the freight they transport, but rather facilitate communication between the shipper and the carrier. Freight brokers can specialize in certain types of freight, such as equipment hauling on lowboys, oversize, bulk tanker, auto, or other types of freight transportation. They use a network of regional, national, and international trucking companies to provide the truck and trailer capacity each shipper needs to get their freight to its destination. Freight brokers are licensed by the Federal Motor Carrier Safety Administration (FMCSA) in the United States and must be granted authority as verifiable via the FMCSA Licensing & Insurance database.
The essential function of any freight brokerage is to make the lives of its customers easier. Freight brokers provide assistance to motor carriers by filling their trucks and providing assistance along the route to help the truck driver deliver the order on time. They are experts at freight and have the experience and connections to optimize your supply chain, finding easy wins that slash your costs—passing the savings on to you. Freight brokers also provide great financial service to truckers, providing fuel advances to help with cash flow and offering quick payment plans.
Freight brokers are useful in times of uncertainty where special actions, such as re-routing a shipment or re-powering a load, are necessary. They are consultants and can be brought on to help as needed, so there’s no need to hire in-house employees to handle your shipping. Freight brokers exist to help motor carriers relocate their equipment to a better freight market, or in many cases, back to their home base.
In summary, a freight broker is a middleman between shippers and carriers, who facilitates communication between the two parties and provides assistance to motor carriers by filling their trucks and providing assistance along the route to help the truck driver deliver the order on time. They are licensed by the Federal Motor Carrier Safety Administration (FMCSA) in the United States and can specialize in certain types of freight. Freight brokers are consultants and can be brought on to help as needed, so there’s no need to hire in-house employees to handle your shipping.
