Make or Break: 5 Keys to Choosing A Freight Broker
Choosing a freight broker for your shipping is a critical business decision. To ensure you make the right choice, you need to ask the right questions. Here are five things you should ask of any freight broke you are considering using:
1. Are they licensed?
This is one of the most important things to consider when selecting a freight broker. Not only does it show they mean business, it is also required by US law. The US federal law requires all freight brokers, or anyone arranging transportation for compensation, to have a federal property broker license issued by the Federal Motor Carrier Safety Administration, or FMCSA. This is a must for moving freight across the border or within the United States.
2. How long have they been in business?
The longer a freight broker has been in business, the better. If they were able to make it through the tough financial times of the past few years, that probably means they have something good going for them. If they’ve been around a long time, it usually indicates a solid management team. Align yourself with a successful and experienced broker for the best shipping experience. C&D has been helping companies simplify their supply chains since 1999.
3. Do they offer multiple modes?
A freight broker that offers multiple modes of transportation – truck, rail, air and more – can make things more convenient for you by offering more options from a single source, and ensure seamless integration between the modes. Another advantage to offering multiple modes of transportation is if there are shortages in one mode another mode can provide additional capacity.
4. Do they have references?
When choosing a freight broker to partner with, you are essentially adding another “employee” to your company. If you were hiring an employee for a critical role in your company you would check their references, wouldn’t you? Talk to people who have worked with the freight broker in the past. Ask them about their experiences and if they would recommend working with this particular freight broker.
5. Do they put the price in writing?
Always get the price quote in writing from your freight broker. In shipping there can be many fees and taxes involved. Getting the quote in writing will help you understand the price and avoid getting blindsided. If the potential costs aren’t clear to you, question your freight broker.
There you go – 5 things to think about before you select your freight broker.
To learn more about the freight services that C&D Logistics offers, and how we stack up on the 5 points covered here, [contact us…].