Insider Secrets to Successful Freight Brokering

The Curve in Freight Brokering

Your first several years working as a freight broker is like a flat line at first but then it starts to  slope up higher and higher as you learn more and grow the business at the same time. So, you can envision a curve sloping up. These are the learning and building years.

Then at a certain point, your business really kicks in and the slope continues higher. So, at first YOU are working the business; then at some point, the business starts carrying YOU.

In my training, I don't like to focus on getting a jack rabbit start. It can happen; but most likely, you will experience the flat line at first. This is no different than any other service oriented business.

If you have realistic expectations about building and growing the business, you will avoid frustration and burn out. This is important because you have to manage your frustration and point it in a positive direction.

Does this make sense? Leave a comment if it does.

Are You Starting a Trucking Company?

Many of my clients have trucking companies or are starting one. Here is a resource you may want to check out:

“Trucking Basics: a New Carrier Guide” by Penni Royston with Evilsizor Process Servers.

https://www.milesoftraining.com/store/p2/Trucking_Basics_-_A_New_Carrier_Guide_ebook.html

If you want to also set up a freight brokerage to supplement your trucking and go directly to shippers for loads, email me - John, at Atex Freight Broker Training, Inc.

John

Freight brokers: for once in your life - take the bull by the horns!

Every week, I get a lot of emails and phone calls. It's evident that some - before calling or emailing - have not taken a good look at my website and the related materials. Just the free ebook by itself, "Introductions to Freight Brokering", will answer a lot of questions. (You can get it here: www.atexfbt.com)

Yes, I know, some callers just want to make sure I'm a real person and they call with some basic questions. That's okay. BUT ...

Others need to start digging for good, reliable information to make sure they are not going to waste their time and money. Freight brokering is NOT for everyone. It's difficult and goes slow at first.

Some callers want me to tell them that they can make a lot of money very quickly. I tell them, most likely, not here.

Read ALL the materials that I provide. Some are free, some are low-cost. Reach out to other trainers. Learn to sift out the fluff from the reality. I tell it like it is because that's what I expect from others.

So, get in there. Do some digging. I've got two CDs on my website with great audio info. Soon, I'll have the third audio CD ready. It's going to be good.

Stay tuned and remember - in the beginning of starting any business, YOU are going to have to do the heavy lifting; after you get established, the business will carry YOU. It's a worthwhile effort. Go for it, if you want to work for your financial independence.

Freight Broker Information

When seeking information on starting a freight brokerage, look for websites that are packed with it. Look for a diversity of ways the author wants to communicate with you. For example, you would like to see not only written eBooks but videos and audios as well.

In our website, you can easily drill down to scan topics and then open up topics that you might be interested in.

For example, there are tabs at the top such as Training Options, Resources, Veteran Discount, Certificates/Authority and About.

Let's look at them as we drill down, starting with About:

• About - this reveals a bunch of testimonials and contact info,
• Certificates/Authority - this shows certificates that backup John's education and prior brokerage ownership,
• Veteran Discounts - as a Veteran, John has several good discounts available,
• Resources - now here is where you can sink your teeth into some good content in a variety of formats, and
• Training Options - most people train Live in El Paso, over the telephone and Internet or with the home study.

Even the Home Page has a wealth of knowledge. Explore this website, www.atexfbt.com and let John know if you have questions OR if you are ready to get started.

Brokers and Truckers: How Do Each Figure Their Costs, etc.?

Brokers get paid by shippers to move loads. The broker, of course, has to find a truck to move the loads. In the final analysis, the broker pays out most of their income to carriers - as much as 80% to 90% typically. Yes, I know many truckers think the broker is paying out only 40% or 50%, keeping 50% to 60% for themselves. This is not the norm no matter what you hear.

Now, when it comes to carriers, they get their income from brokers and - very similar to brokers making payouts to carriers - these carriers need to pay for equipment, personnel, repairs, insurance, fuel, etc., etc., etc.

The question is: should brokers be concerned about the motor carrier's expenses? The short answer is, No. Why? Brokering and trucking are two related but completely separate businesses.

Brokers work on "margins", carriers work on "costs".

More importantly, the carrier's business smarts is the carrier's responsibility, not the broker's. Further, there is no way for the broker to know if the carrier is exercising smart business procedures or not.

When I go into a store and buy a donut, I don't ask myself, "Is 59 cents enough for the baker to pay for his electricity, dough, equipment, etc.?" No, that would be weird.

If a carrier is NOT working smart, that's the carrier's problem, not the brokers. If the carrier IS working smart that's good for everyone, especially for the carrier. His bottom line increases.

Keep this in mind - smart carriers who know their costs know how to bid competitively on loads. Not-so-smart carriers, without knowing their costs, may bid too high and lose loads.

The broker should tend to his margin while the carrier should tend to his costs.