Have you ever been curious about what freight brokers and agents actually do? A property broker, otherwise known as a freight broker, serves as the transportation intermediary between the company needing to transport their goods and the motor carrier wanting to provide the delivery service. A property broker or freight broker carries a very important responsibility in the transportation industry.
Among the main responsibilities of a property broker include searching for carriers that have the capacity and capability to meet the demands of manufacturers or shippers. With increasing outlay in transportation and a shortage in the number of carriers nowadays, becoming a licensed property broker or freight agent is a great choice for a potential lucrative occupation.
Major Responsibilities of a Freight Broker
Freight brokerage is a fast-paced job that is interesting and always in demand. It connects the transporter and the receiver with secure services to sensitive cargo or important goods. Since there are instances that require special delivery service for bulky, fragile, perishable, or hazardous freight, the need for a qualified freight broker is very important.
One of the responsibilities of a property broker is to guarantee that he will find a suitable carrier for particular goods. A lot of factors and options when making a decision for a shipping company must be considered especially when transporting heavy loads. Matching the kind of cargo and the carrier is very important for safety and security.
Most of the time, a company will call a freight broker to transport goods immediately. With a trusted list of agents and carriers ready to assist manufacturers with the shipment of their products, a property broker usually spends his time talking over the phone. He can do the transaction via phone calls.
When dealing with manufacturers and carriers, a major factor being considered by brokers is the cost of delivery. Foods, clothes, and different products we buy in the market are being delivered by shipping companies. The importance of these goods reaching our homes matters most not only to manufacturers but also to the person behind the shipping or delivery.
Freight Brokerage and Freight Brokers
Freight brokerage does not only aim to deliver us our basic commodities. Just like any other profession a property broker’s job is difficult if you do not know the basic knowledge and terminologies in the business. The responsibilities of a property broker should not be mistaken with the job description of a freight forwarder.
Although freight forwarder training can also be beneficial to brokers, freight forwarders are individuals who receive and store the goods for shipment. These are just two careers in the freight brokerage business that an individual can consider if he wants to get a good income.
Indeed, freight brokers are helping to assist companies in finding the right carriers that have a strong platform of experience in transportation. Their responsibility to bring us all the necessary commodities makes property or freight brokerage an ideal career even for those who do not have a college diploma.
What Skills Do Independent Freight Agents Need?
A service-minded freight broker needs several skills if they are going to be successful in the logistics industry. It is a very fast-moving industry with a high turnover rate, so a successful freight broker must be ready and willing to work at all times. They will not only need excellent communication skills, but they will also need customer service skills, negotiation skills, excellent problem-solving abilities, and natural interpersonal skills that will make working with them easy. All of these skills will help their relationships with customers and overall customer satisfaction.
On the educational side of things, there is not much that an independent broker needs. First, he or she would need their high school diploma. There are also classes and programs available that will help you get your freight broker license. Finding a nearby freight broker training program can really get your foot in the freight broker business, teaching you important things in the freight carrier services and the freight brokerage industry.
How Do Brokers Make Their Money?
Until now, we have used fairly generic terms to explain what freight brokers are, what they do, and what they need to do their jobs successfully. But, what exactly do freight brokers do? How do they operate? How do they spend their days at work? There are several different options for operating as a freight broker, and which one you choose is really up to you. You should take factors into consideration such as the amount of time you have to dedicate and the availability of the work in your area before deciding how exactly you want to operate.
There are some freight brokers who operate as independent contractors. This means that these freight brokers basically hire themselves out to be the middleman between delivery services and companies needing to transport their goods. There are also some freight brokers who work for freight brokerage companies, doing the work that is assigned to them and taking on clients as their free time comes up. However you decide to operate as a freight broker, you are gaining valuable knowledge and experience that will help you in the freight industry.
The salary a freight broker earns is called the spread in the industry. Basically, the spread is the difference between the amount that the shipper wants to pay in order to ship their product and the amount that you as the freight broker are able to negotiate as the final shipping rate. This means that a large part of determining the salary for a freight broker will depend on that individual’s negotiation skills and how well they are able to get the price down for shipping.
The day-to-day grind for a freight broker can consist of several main jobs that need to be done. First, you may be able to find a professional freight broker using their list of contacts and their load board to connect with shippers. Freight brokers may also need to track shipments for their clients and handle any paperwork that is included with the shipment.
