TIPS FOR ADDING BROKERAGE
Posted on 27 Mar, 2018 by Admin
Transportation businesses sometimes want to expand and start a freight brokerage business as well and they want to do this because they have overflow freight and to keep their customers happy.
The essential tips for a business who wants to get their hands dirty with a brokerage should be firstly to operate the brokerage as a completely separate company. This way the brokerage and the trucking company would be two separate legal identities and completely unrelated, which will be beneficial from a legal stand point.
The steps involved in creating a brokerage firm would have to be taken, as a separate operating authority will have to be taken as a broker and acquire around $ 75, 000 and register it as a new entity.
Moreover, workforce plays an important role for every business so an experienced broker should be hired, this person can show you the ins and outs of the industry as his portfolio will be stacked with experience. Thus guidance on matters such as Freight rates is essential before committing to move a load for a shipper, so you quote a good price not that high not that low.
Technology is changing, each day there is a new innovation thus if you are going into a new business plan then you should be able to use different software’s designed for brokers, as a broker’s job is quite different than those of a carrier.