How important is the role of brokers in trucking business?
Discussion in 'Ask An Owner Operator' started by Konrad Po, Oct 9, 2014.
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Impossible. Trade imbalances and truck availability and market demands are always changing. Even if it was all contract freight, what happens when a customer has an extra load pop up? That shipper finds an independent to haul it? He likely gives it to his regular carrier and tells him to take care of it. Now he brokers it out. It is a necessary evil.
Konrad Po Thanks this. -
It would mean you'd have to instead be bonded at a minimum of $75,000 dollars. Shippers pay slowly also. When a broker pays you that doesn't mean the shipper paid them first, it means they paid you out of their own pocket so you won't make a claim against their insurance while they are waiting for the shipper to pay. While I believe pay will increase for drivers if middlemen are removed, it won't go up that much because shippers will have to hire and pay people to find drivers for their loads.
I honestly believe that low wage carriers underbidding everyone due to their cheap labor hurt the industry more than brokers do.ramblingman, 281ric, Konrad Po and 1 other person Thank this. -
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I'm sure it would cost them LESS than paying brokers to do it as a middle man -
Cetane+, rank and barnmonkey Thank this.
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There are load boards for shippers only and many list loads on other boardsCetane+ Thanks this.
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