Trucking brokers help manufacturers and wholesalers find transportation services, determine fair rates, and establish relationships with carriers. They work on commission and require specialized licenses and sureties. Brokers can ease the burden on shippers and increase the amount of products delivered. Training programs are available, and brokers are regulated by federal codes and insurance parameters. While there are no strict educational requirements, many have degrees in marketing or business administration. Starting at established brokerages can lead to successful independent businesses.
Trucking brokers are sales professionals who help manufacturers and wholesalers secure transportation services for their products. A broker reviews the company’s capabilities, needs, and shipping requirements and determines fair shipping rates. He or she contacts authorized carriers to establish short-term or long-term business relationships. It is common for trucking brokers to work exclusively on commission, charging fees for providing a quality transaction between a distributor and a haulage company. Most countries require truck brokers to obtain specialized licenses and apply for sureties from local banks or insurance companies before offering their services.
A broker can significantly ease the burden on wholesale and shipping companies, allowing each to focus on other aspects of their business. Manufacturers and distributors rely on brokers to research the speed, effectiveness, reach and rates of shipping companies. Brokers are useful for shippers as they increase the amount or products they can deliver, ensuring full truck loads and constant work.
Many trucking brokers learn necessary skills on the job from formal training programs, which can take place in physical classrooms or through online servers. Teachers provide potential brokers with the basic information and resources needed to begin building a distributor customer base, establish communication with transportation company representatives, and meet industry standards. The length of training programs varies, but most courses can be completed in about five to ten days.
Trucking brokers’ business practices are regulated by federal codes and insurance parameters. Therefore, a person who wants to work as a stockbroker is usually required to hold a license authorized by a national government organization. In the United States, the Federal Carriers Safety Administration will provide a realtor license to an individual who pays a fee, passes a criminal background check, and has a strong credit history. Typically, brokers are expected to have insurance to protect themselves and sureties to protect other parties involved from short-circuiting payments or services.
There are no strict educational requirements to become a trucking broker, although many professionals hold an associate’s or bachelor’s degree in marketing or business administration. University courses in economics, accounting, advertising, and other aspects of business are especially useful for those who work independently. Many trucking brokers start their careers at established brokerages, working as agents under the supervision of executives. Once they’ve gained experience and built a solid customer base, agents are often successful in starting their own businesses. An independent broker can set his own hours and work from home with the assistance of a telephone and Internet access.
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