What You Need To Know About Your Freight Broker

There is no doubt that coordinating and shipping freight can be complicated. Freight brokers can make the process easier for all parties by acting as an intermediary between the shipper and transportation service provider. However, choosing a freight broker to work with can be difficult. Essentially, when you choose a freight broker you are adding another member to your team. It is important to make sure that you consider various aspects before selecting a freight broker to work with. Here are a few things you need to know about your freight broker before deciding on one to use.

Asset Based or Non-Asset Based

It is important to know that there are different types of freight brokers. Two major types are asset based and non-asset based. Asset based freight brokers are companies that have their own equipment that is needed to move or store the freight. Non-asset based freight brokers do not own their own equipment (or assets) necessary to move or store freight. Depending on your needs, one option may be better for your organization than the other. It is important to understand the difference between the two and what your organization needs.


Many freight brokers have access to technology that can assist in the shipping process. These state-of-the-art technologies can give information regarding important items like freight tracking and performance analytics. When selecting a freight broker, ask what technologies they have in place that can help you.


The federal law requires all freight brokers, and others that arrange transportation for compensation, to have a federal property broker license issued by the Federal Motor Carrier Safety Administration (FMCSA). It is important to make sure that the freight brokers you consider for your shipping coordination needs are all licensed.

When you are making a decision about what freight broker to use, make sure you know what they have to offer regarding these important topics. For more information about freight brokers, check out these informational articles:

5 Things To Consider Before Selecting A Freight Broker
3 Ways A Freight Broker Can Make Handling Your Freight Easier
Freight Broker Facts

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