Jul 19, 2017 • Brokers

Freight Broker License

Freight Broker License

Learn how to get a freight broker license and move freight in a few easy steps.

Freight Broker License

The freight industry is continually expanding and having a freight broker license gives you the authority to earn money by moving truck freight without actually hauling it.

A freight broker license allows freight brokers the authority to move freight by connecting shippers with carriers, essentially brokering the deal. Freight brokers are hired by shippers who have freight that needs to be hauled from one location to another.

Let’s say there is a furniture warehouse in Texas that needs to ship its freight to department stores in Georgia. The warehouse representative is the shipper, who needs to find a carrier to haul the load. This is where the freight broker comes in.

With a freight broker license you are paid by the shipper to find a carrier to haul the load. You can use your broker authority to find qualified carriers on load boards like Truckloads by either posting information about your freight or by doing a truck search to find a potentially interested carrier.

Freight Broker License Cost

To get a freight broker license and have broker authority you must apply for a US DOT number with the Department of Transportation first. Once approved, use your DOT Number to get a Motor Carrier (MC) number and broker authority with the Federal Motor Carrier Safety Administration (FMCSA). This is approved through the completion of the OP-1 Form which includes a $300 application fee.

Broker Authority

Having broker authority isn’t the only requirement to become a freight broker. You will need to decide if you want to start a freight broker company or if you want to work for an established brokerage company.

Regardless of your choice, you should be sure to do ample research in order to better understand the nuances of the trucking industry and which options are best for you. We’ve provided a step-by-step guide to help you become a freight broker.

Guide to Become a Freight Broker

TagsFreight Broker

What is a Freight Agent? [p] Find out what is a freight agent and how they are different from freight brokers.[/p] [h2] What is a Freight Agent? [/h2] [p] A freight agent is an independent contractor who helps connect shippers with carriers willing to haul the freight. A freight agent works for a freight broker and plays a crucial role in the movement of freight, as a customer-facing salesperson of sorts who has to find available carriers to ship a client's freight. [/p] [h2] Freight Broker vs Freight Agent [/h2] [p] The difference between a freight broker vs freight agent is that a freight broker has a <a href="https://truckerpath.com/blog/freight-broker-license/">freight broker license</a> through the FMCSA and is liable for the transportation of the load. A freight agent does not require a license, does not assume the risk of client's creditworthiness in terms of invoice collections and does not require a freight broker bond. [/p] [h2] Freight Agent Salary [/h2] [p] A freight agent salary can be paid as hourly or annual salary and they can also earn a commission percentage based on the profit they are able to bring in for the freight broker. According to the national average freight agent salary is $58,661 (based on 197 freight agent employee reports). Some freight agent salaries are only commission based so there are endless possibilities for earnings. [/p] [p]Let's say that you're a freight agent and you work for a freight broker who is willing to pay you 50 percent commission on the profit of moving a truck load. You found a shipper who is willing to pay up to $2,500 to move a load from Los Angeles to Denver as truck freight. [/p] [p]Using a load board you found a qualified carrier that will move haul the freight for $2,000. The $500 difference is the profit earned for the brokerage and your cut of 50 percent of $500 is a commission payment of $250. It's no surprise to see that a freight agent can have tremendous earning opportunity. [/p] [p] If being a freight agent doesn't seem as lucrative, you can <a href="https://truckerpath.com/blog/how-to-become-a-freight-broker/">learn how to become a freight broker</a> and even start your own freight broker company. [/p] [h2] How Freight Agents Find Carriers [/h2] [button-green href="https://truckerpath.com/truckloads/broker-load-board/?utm_source=blog&utm_medium=freightagent&utm_campaign=aug23"]Try Truckloads for Free[/button-green] [video id="o_tsuJHWayo"] [p] The best way for a freight agent to find a carrier is by using load boards. Load boards provide freight agents with a marketplace where they can post their client's freight for potential carriers to agree to haul. [/p] [p] There is a certain level of trust a freight agent must have in a carrier they choose to do business with. Without the trust that a carrier is qualified to haul the load and will see the job through, a freight carrier puts the freight broker they are working for at risk and can lead to complications and the inability to earn. [/p] [h2] Importance of Networking and Negotiating for a Freight Agent [/h2] [p]From the use of load boards like Truckloads, freight agents can network with qualified carriers and work to develop trusted business relationships that last. Keep in mind that negotiations between the freight agent or broker and the carrier is a huge determinant of potential success. [/p] [p] Although you want to earn the maximum amount, you also need to consider the carrier's needs and the need for knowing when to do a little give-and-take will go a long way in establishing a rapport with carriers. At the end of the day, a freight agent can't make a living if they can't find willing carriers to haul the load. [/p]

Aug 23, 2017 • Brokers

Industry Update - March 1, 2019 <h4>By Jeremy Feucht</h4> <h3></h3> <h3><strong><u>Did you Know?</u></strong></h3> An engine in a semi is designed to run 24/7 for 1,000,000 miles before needing to be completely rebuilt. <h3></h3> <h3><strong><u>Trucking tip of the Week</u></strong></h3> In the cold weather, increasing the air pressure in your tires is a good idea. This helps ensure that cold air does not affect the safety of your tires. In cold weather, air molecules huddle together thus reducing pressure. Be careful though not to over inflate your tires as it makes for an incredibly rough ride and reduces your control over the vehicle. <h3></h3> <h3><strong><u>Weather</u></strong></h3> Good portions of the west and mid-west saw record breaking snow fall for the month of February. This snow fall shut down portions of highways through Washington, Oregon and Idaho in particular. However, these states have not called for Declarations of Emergency because it only affects a portion of the state. Montana, North Dakota, South Dakota, Minnesota and Wisconsin, however, have all declared a <a href="https://www.fmcsa.dot.gov/emergency-declarations">State of Emergency</a> due to a lack of fuel, heating oil and propane for its citizens because of the continued poor weather across their entire state. Propane carriers are usually exempted from hours of service rules this time of year anyway, but fuel haulers will now be granted this exemption until the middle of March. <h3></h3> <h3><strong><u>Legislation</u></strong></h3> The age restriction for interstate driving may change 21 to 18. In a rare move of bipartisanship in both the US House and US Senate, a piece of legislation called the “<a href="https://www.young.senate.gov/imo/media/doc/DRIVE-Safe%20Act%20FINAL%20Draft.pdf">DRIVE Safe Act</a>” looks like it will be pushed through. The act itself does not simply opening the doors for those that are 18 to immediately go long haul, but that does not make it any less controversial. While it is endorsed heavily by the ATA to slow the increasing driver shortage, it still allows younger people, with significantly less driving experience, to drive dangerous vehicles. The legislation would require those under 21 to log significant hours both on duty and behind the wheel as an apprentice before being able to do so on their own. This is the same bill that was introduced in March of last year but has more backing this go around. <h3></h3> <h3><strong><u>I</u></strong><strong><u>ntermodal and Trucking at Odds</u></strong></h3> Lobbyists for the intermodal transportation entities had a chance to have their voices heard this week in DC. Looking to head off the desire for bigger and heavier trucks hitting the roadways, rail and waterway experts were called upon for a <a href="http://www.landlinemag.com/Story.aspx?StoryID=73829#.XHl43vZFw2x">hearing with the US Senate Transportation and Safety subcommittee</a>. Members of the Senate subcommittee though did press back on some of the strategies that ocean liners are beginning to practice using such as “street turns.” A street turn is using the empty container that was picked up at port and using it to haul a load back towards, or even back to, the port.

Mar 01, 2019 • Carriers

Trucking Industry Statistics [p] Here's a closer look at the trucking industry statistics highlighting the significance of the backbone of America - truckers.[/p] [h2]Trucking Industry Statistics[/h2] [p] The trucking industry statistics are truly remarkable. It's an industry topping $726.4 billion in revenue for 2015 and responsible for six percent of all jobs in America. [/p] [p]If you bought it, they brought it. [a href="https://app.appsflyer.com/com.sixdays.truckerpath?pid=Social Facebook"]Truck drivers[/a] keep America rolling by driving countless and lonely hours delivering the cargo we desire. Without trucks to ship things, those shelves would be mighty bare and those same-day delivering services from your online shopping wouldn't be possible without truckers.[/p] [p]Don't believe us? Check out the trucking industry statistics.[/p] [h2]The Trucking Industry Powers America[/h2] [p]Merge onto any highway and you'll see countless semi trucks heading in either direction of the road. Seems like they're endless amounts of them right? You would be correct, in fact [a href="https://app.appsflyer.com/com.truckerpath.truckloads?pid=Social Facebook"]80 percent of all cargo in the USA[/a]![/p] [img src="/uploads/2016/12/Trucking_InfographicsPT1.jpg" alt=""] [h2]The Trucking Industry Can Be Dangerous[/h2] [p]There are 3.5 million truck drivers in the trucking industry who put their life at risk delivering an array of commodities and goods. Drivers operate heavy-duty trucks with a load weighing as much as 80,000 pounds. In 2015, 852 truck drivers lost their life while working, making truck driver the most dangerous job in the USA. So remember to give truck drivers space and don't tailgate.[/p] [img src="/uploads/2016/12/Trucking_InfographicsPT2.jpg" alt=""] [h2]What Do Truck Drivers Haul?[/h2] [p]Truck drivers haul a variety of goods with machinery, electronic and motorized vehicles making up 27 percent of goods shipped by truck drivers in America. The most common thing trucks haul is machinery, followed by electronics and motorized vehicles. Additionally, mixed freight includes commodities such as food and restaurant supplies.[/p] [img src="/uploads/2016/12/Trucking_InfographicsPT3.jpg" alt=""] [p]Let's face it, without the trucking industry we wouldn't be able to enjoy the things we have. Shelves would be empty and people would undoubtedly be in a state of panic if that happens. The trucking industry statistics don't lie![/p]

Jun 27, 2017 • Community