The logistics industry is booming. In fact, the U.S. The Department of Labor predicts that the demand for logistics professionals will grow by 17 percent between now and 2026.
That’s a lot of jobs in one sector and a sign that companies that service these industries will see an upswing.
However, this also means that the freight logistics market is becoming highly dynamic and fragmented, making it very challenging for a single trucking company to meet all of its shipping needs in-house.
That’s where freight brokers come in.
A freight broker provides trucking companies with access to more opportunities when it comes to shipping goods across state lines or even internationally. In addition, they act as a liaison between multiple third-party carriers, helping them find the right one based on their unique needs and specifications regarding pricing, timing, quality of service, capacity and more.
Whether starting up your own trucking business or expanding your current operations, this blog will explain why every trucking company should partner with a freight broker.
Large Fleet Network
A freight broker has access to a large network of carriers and can help you find the right one for your load. They also offer expertise in matching carriers with the equipment you need and personnel with experience in your industry. This means less time spent searching for carriers on your own, so you can focus on running your company instead of doing paperwork.
Licensed and Insured
A freight broker is required to be licensed by the Federal Motor Carrier Safety Administration (FMCSA), the government agency that regulates trucking companies. This license means that you can rest assured that your broker understands how to operate a business better than most owner-operators.
They also have been vetted by this government body, which means they have passed background checks and other requirements for becoming an FMCSA-regulated broker.
In addition to being certified by the FMCSA, many brokers also carry general liability insurance policies tailored specifically for their industry. This coverage protects both you and your freight from potential liability issues related to accidents on the road or damage during transport.
Brokers Can Pick up the Slack When You’re Overbooked or Understaffed
When you’re overbooked or understaffed, your business can suffer. However, a freight broker can help you get the truck you need, even in these situations. Brokers are experts at finding the best deals, and they can act as an intermediary between you and a carrier when necessary.
With their deep relationships with thousands of carriers, they can also negotiate better prices for your cargo than you could do on your own.
Brokers Know How To Get the Best Deals
A freight broker can help you get better rates on both your shipping costs and the price of your cargo. Why? Because they have access to a huge database of shipping companies and trucks, which allows them to negotiate the best rates for each one.
At the end of the day, you can trust a broker to do what is best for your trucking company. They are experts in their field and know how to get you the best deals on freight rates, insurance premiums and other services. If you are looking for an alternative way to grow your trucking business, hopefully, this post has provided some insight into why brokers might be right for you.
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