It's is always confusing when a client shops around for getting certain licensing whether it is for freight brokering or any other type of business license. If you don't go directly to the governmental body to obtain your licenses, you are at the mercy of third parties assessing all sort of fees. Let's look at it a little closer.
I don't have any problem with a third party company making a profit for filing certain papers. But when it is so easy for the client to go directly to the source and do their own filing, they are sometimes so much better off.
Now it depends on what licensing you are going after. The freight broker OP-1 is quite intimidating. It's better to have someone else do this for you. But the BOC-3 and the UCR filing are quite simple and inexpensive. You should pay no more than $35-$40 for the BOC-3 and going directly to the government for the UCR registration will cost $39 for a freight broker without trucks.
I'm getting feedback from clients that some UCR fees are running nearly $200 through a third party. This is America and they can do this all they want. But it's not necessary to spend this kind of money for such a simple registration.
My clients ask me about getting the BOC-3. I tell them to go anywhere but don't pay more than $35-$40. At some point I will be surveying various vendors and putting some on my "recommended" list.
But as far as getting your broker authority is concerned, our training includes working with you over the telephone and Internet to
- first get your MC#,
- then the application going for the surety bond or trust fund and
- then I leave it up to the client to get the BOC-3 because companies will actually be calling trying to sell you the BOC-3 plus whatever else they can
But all you need from these third parties is the BOC-3, paying no more than $35-$40.
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