Getting Broker license, To avoid friend from selling his Tractors.

I think if you want to be a broker, then be a broker. But leave your friend out of it for now. In a few months, you'll know why. And later, you'll know when to try and include him.

 

Um brokers don't have "authorities." Owner Operators and trucking companies have those. Brokers are just sales weasels that operate as middle men

 

Fill out the application. Once approved find some company that will bond you. Easy Peasy

Form OP-1 - Application for Motor Property Carrier and Broker Authority and Instructions | FMCSA

 

Don't forget cost associated with truck, trailer, tags, HVUT, insurance, diesel, maintenance, tires - oh wait, that's for a trucking company. Nevermind, lol.

OP, you basically just need a computer and a load board subscription. Be careful, because there's tens of dollars at stake.

 

The guy that is chatting with you knows what he is talking about. He is a motor carrier in Wisconsin.

you also didn’t respond about your buddies position. Leased on or has is own numbers. Owner operator is not the answer. It’s more specific, and it does matter. If you want to buy trucks, run them, and broker to others. You will need numbers as a broker and carrier. If you just worry about your own fleet you need MC authority and you are not a broker but just sales in your fleet to find direct customers.
Once you need help with finding drivers outside your company to take over a load you can’t handle, you will need numbers as broker.


Just a heads up. You will need big money for either endeavors. And 100 grand is not big money. Broker will pay carriers even if broker has not collected from customer. Otherwise you will be blackballed quickly. Let’s say you broker 25 loads a weeks for a couple of customers. That’s big cash. If you just plan to broker a bit of overages it’s nothing more than paying a owner op leased on. No biggie. Say you but 5 trucks and all of them operating. That’s 5 drivers getting paid with all expenses for 37 days before a check gets cut from a customer. Many go thru 850 a day or more in fuel a day. Wrecker bill, authority full insurance, trailers, lawsuit, you should have min half a million in checking account to even go that route. I pay 26K alone for insurance on one rig. Let that sink in. There is a reason why many are closing the doors in the past two months. If you don’t have capital you are done. One truck breaks down in Wyoming and while you are looking for a affordable tow out of ditch law enforcement calls the wrecker. Now you owe 28k and your gonna pay.

 

Don't worry about what he does with his trucks, unless you want to buy him out when the time comes.

If he's killing it like you said, then he doesn't need help. And if he gets tired of it, then he won't need help.

Just focus on what you're trying to do first. Because for the next few years, you won't be in the position to help him anyways.