Freight Broker
A licensed intermediary that connects shippers who need to transport freight with carriers who have available trucks. Freight brokers do not own trucks or haul freight; instead, they negotiate rates, coordinate logistics, verify carrier credentials, and manage the shipment process. Brokers must hold an active MC number from FMCSA and maintain a $75,000 surety bond or trust fund. They earn revenue from the margin between what the shipper pays and what the carrier receives.
Detailed Explanation
A licensed intermediary that connects shippers who need to transport freight with carriers who have available trucks. Freight brokers do not own trucks or haul freight; instead, they negotiate rates, coordinate logistics, verify carrier credentials, and manage the shipment process. Brokers must hold an active MC number from FMCSA and maintain a $75,000 surety bond or trust fund. They earn revenue from the margin between what the shipper pays and what the carrier receives.
Example
A manufacturer contacts a freight broker to ship 20 pallets from their plant in Ohio to a customer in Georgia. The broker finds a vetted carrier, negotiates a rate of $2,200, charges the shipper $2,800, and earns a $600 margin.
Related Resources
Need Help With Your Freight?
Understanding freight terminology is the first step. Let us handle the rest — tell us about your shipment and we will match you with the right carrier.