How to Become a Transport Broker

Transport brokers are the middle man between the shipper and trucking company.

Many things you see in your home or workplace were probably transported to you by a truck. Since many of our goods are shipped and delivered to us through trucks, the size of the trucking industry is large and interconnected. A transport broker, also known as a freight broker, is responsible for being the liaison between the shipper who needs goods sent to a certain location with the transportation company that is willing to provide services of transporting the goods.

Instructions

1. Obtain training for transportation brokerage. Transport brokering training will give you all the trucking information you need to receive a license to be a transport broker and/or an understanding of your duties and responsibilities for being successful as a transport broker. Classes are typically short. You may participate in a weekend course or a five-day course. Options are also available for you to take a course online or at a center (See Resources).

2. Obtain your brokers authority. The broker authority is a credential issued by the Federal Motor Carrier Safety Administration (FMCSA), which is a part of the United States Department of Transportation. Fill out form OPD-1, which will begin the process of being approved as a broker.

3. Obtain a surety bond or trust fund. Visit your local bank or a bonding company. Your personal credit will determine how much the bond or fund will cost. Check your personal credit by going to Experian.com, Transunion.com and Equifax.com so you will know your personal credit score. You are required to have a $10,000 bond or fund. You will also need to fill out form BMC--84 or BMC--85 from FMCSA.

4. File a processing agent form. The cost for sending in the processing agent form may cost close to $50. The form is called OC-3

5. Locate a freight agency if you are unable to afford the surety bond, trust or you do not want to go through the process of getting licensed. You will split the profits between the freight agency for your service. You can visit freight agencies by contacting your local Chamber of Commerce.

6. Locate clientele. After you have all your proper licenses or found a freight agency to work with you and need to find customers. Network with various organizations in your area. Contact the Chamber of Commerce for new businesses that have started, and advertise yourself using flyers, brochures and business cards, which can be designed by a freelance graphic designer from sites, such as guru.com and getafreelancer.com

Tips & Warnings

• Depending on the transport broker school you attend, it may offer agent placement after completing your classes.

References

• Gatlineeducation: Freight Broker/Agent Training

Resources

• Federal Motor Carrier Safety Administration: Federal Motor Carrier Safety Association
• Transport Training International: Transport Training International