You know, the business concept of freight brokering is quite simple: you find shippers with cargo to move and you find a truck to move that cargo. You then collect a commission for your matchmaking skills.
Pretty simple, right? Well, some people buckle under the first step - the application for their MC number.
This form looks very intimidating because trucking companies use the same form and much more information is required from them. But for the broker, it should take only about 8 minutes to complete IF you know what you are doing. If you don't know what you are doing, it can be confusing and frustrating.
For example, if you were to apply for an EIN number for an LLC, the application will tell you that the LLC is not a corporation. And you can even elect to treat it as a sole proprietor IF you are a single member in the LLC.
Yet, on the application for the MC number, it asks you to select which business entity you are: corporation, sole proprietorship or partnership. The instructions give an example for a corporation as John Doe Inc. or John Doe LLC. What's going on here?
First, you read from one source that an LLC is not a corporation; now you are required to select corporation for an LLC on the Motor Carrier application.
This is just one example of how many individuals get confused when trying to become a freight broker on their own. You can eliminate that confusion and here is where it all begins: http://www.atexfreightbrokertraining.com
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