You may already use a freight broker to save time and money for your business. However, there is a lot of competition between freight brokerages, making it possible that another freight broker may be a better fit for your business. Before you make a change, it’s essential to know how effective your freight broker is for your company.
Find a Licenced Freight Broker
One of the most basic requirements is that your freight broker should be regulated. They must be licensed with the Federal Motor Carrier Safety Administration (FMCSA) to arrange transportation.
Part of the licensing process is that the broker must show they have adequate insurance, which is crucial for your protection. If your freight broker is not licensed, that company is not a competent business partner.
Find a Reputable Partner
Even new freight brokers can provide excellent customer service, but knowing your broker has been in business for many years can provide added reassurance about the company’s standing.
Make a quick check on your freight broker’s reviews. If the company has a large number of complaints, it is unlikely that your freight broker can serve your business effectively.
Look Into Your Freight Broker’s Network
Freight brokers make money by leveraging their supply chain contacts to provide you with the most efficient and cost-effective transportation solutions. A weak carrier network reduces your freight broker’s choices regarding route planning and price negotiation.
Freight shipping involves having good relationships with freight carriers, and if your broker has limited options, you should look elsewhere for a more well-established business that can provide a better service.
Response Times and Communication
Your freight broker should be available to answer your questions, so you shouldn’t have to nag your broker for answers to queries or to find where your shipment is.
Communication is vital when moving freight across international borders, and with the latest technology, including phones and tracking devices, there is no reason you should not have real-time updates. Before hiring a company, ask for their email address and test their response times by asking questions.
Value for Money
Choosing a freight broker requires considering their price, efficiency, communication, networks, and responses to problems when they arise. While the cost is an essential element, you could find paying more for your freight broker services helps your business save money in the long run.
A freight broker who can’t leverage a more extensive network for reduced rates might also get your cargo held up at customs due to incomplete paperwork, which could cost you significant amounts of money. These issues could also cause you to lose customers.
Ask About Their Capabilities
Not all freight brokers can arrange transport for a range of goods, and some have specialized niches that are only suitable for some businesses. Ask your broker what they can transport, and what arrangements they have with their carriers. While you may require a general broker, there are other times when a niche broker may be the better option.
In a Nutshell
For your freight broker to be effective, they need to have well-established networks, a firm grasp of the customs requirements for the goods they are transporting, and a competitive price point.
Ask questions before you hire or change your freight broker. A reputable supplier is always happy to answer customer queries openly and honestly.
Contact Asiana USA at (855) 500-1808 to learn more about how our services can streamline your business.