What do you want in a broker?

Discussion in 'Freight Broker Forum' started by Lilbit, Aug 5, 2008.

  1. TX_Proud

    TX_Proud Light Load Member

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    Lilbit, saw your comment about carrying an additional surety bond. Admirable, not but not necessary or required. One thing you might consider doing is buying a contingent cargo policy. Most carriers have $100,000 cargo insurance and there are those times where the load value may exceed that amount. Unless that is conveyed to the carrier (load value) and a loss occurs, the carrier could be hung out with covering the additional loss. Some insurance carriers will allow the carrier to purchase a rider policy for the additional coverage, but some do not. Contingent cargo coverage is a good safety net for everyone.
     
    Brickman Thanks this.
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  3. Brickman

    Brickman Trucker Forum STAFF Staff Member

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    Lil you may find the first two months slow but should see things begin to pick up very quickly after that as O/Os begin to tell their friends.
     
  4. Lilbit

    Lilbit Road Train Member

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    TX - thanks for the tip on the insurance. I'll add that to my list of things to look into. I'll probably start getting some rate estimates in a couple of months, as I won't need that stuff until I start my own. I'm hoping to be able to spend about 6 months as an agent, and then be able to launch solo. I also have to look into some software. I have found one that I am interested in, and the company is sending me more info on that. I will look into some other options for software as well.

    I also found a site that has information on a lot of shippers and carriers (in the 100,000's on shippers) that I can access for various subscription rates. I'll probably start with a monthly subscription with them. I will need that kind of info as an agent as well. They have a sample list of shippers that I was able to look at that only included the company name, and there were a lot of very recognizable names on the list.

    The one thing I am finding it difficult to find information on is actual shipping rates. That seems to be a state secret. I know there are a lot of factors involved in that, such as commodity, location of origin, etc, so on.

    Well, time to log off for a bit, and go walk my dog. Can't wait until I can move into a place where I can just let her out to run. I'll just need an 8' fence for that! She can clear a 6' fence.
     
  5. Highballin

    Highballin Road Train Member

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    You will have to have to get proof of insurance and authority so best thing if their policy does not cover the cargo dont use them.
     
  6. Lilbit

    Lilbit Road Train Member

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    Good tip here too. I like to cover my butt as much as possible. :yes2557: I also plan on checking safety ratings, etc, as well as checking the shippers out carefully too. I plan on paying my bills, so I want to make sure that the companies I am dealing with pay theirs.
     
  7. Lilbit

    Lilbit Road Train Member

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    I have a question. As an agent, do I have to have a surety bond? My dad (retired trucker with 30+ years and also a former broker) seems to think I do.
     
  8. TX_Proud

    TX_Proud Light Load Member

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    The bond applies to the "owner" of the authority. So if you are an agent only (working for a broker), then no you don't need one. If you apply for and are granted authority in your own name, then securing a surety bond and BOC-3 is required before your authority is actually active.
     
  9. Lilbit

    Lilbit Road Train Member

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    Thanks TX! I thought that was the way it worked, just wanted to make sure. Just ordered the 'training manual' I wanted today, so I should have that next week some time, and hopefully, be ready to get rolling a week or so after that. I could wing it, but I'd rather have some guidance for getting started. I understand the basics of it, and I'm sure I could figure it out, but I'd rather not have to totally wing it!
     
  10. bordomzero

    bordomzero Light Load Member

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    Sorry if this is a stupid question. But where to find a broker so he/she can find a load over and over again.
     
  11. Old Man

    Old Man Road Train Member

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    The cost of the bond is cheap compaired with the money you need to make advances. If you have direct customers do you expect them to advance you on the loads so yop can pass it on to the O/O? If you book $250,000 in freight each month you will need about $100,000 in cash for advances then you need to collect from the shipper.
    Now if you plan on being a internet broker and just passing along loads you find on the internet or from other brokers or 3pl's then why bother, you will just be adding to the problem we have now with double and triple brokered loads.
    All the so called agent based carriers have plenty of agents that just trool the internet and find loads to re-broker.
    As for your own customers, What can you offer to them to make them want to use your service? Most shippers get dozens of sales calls a week.
    Sorry, I am not trying to be harsh, just some hard questions.
     
    Jetstar3 Thanks this.
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