Being a freight broker is a very important job.
Freight brokers are responsible for the movements of millions of dollars of goods each day.
They are responsible for identifying trucking companies that can take on cargo and get it to its destination on time and at a fair price.
Freight brokers can work for large corporations or do it individually as a home business.
Before becoming a freight broker, there are some qualifications individuals must meet:
- High school diploma or high school equivalency like a GED
- At least two years of experience working in the industry
- Create a book of business and repeat business colleagues
- Knowledge of working with Microsoft Office Suites
- Possess problem-solving abilities
- Great communication skills, both verbal and written
- Outstanding negotiating skills
- Ability to decipher contracts
- Demonstrated ability to meet sales targets and online deliveries
Article Table of Contents
- 1 What are the Duties of a Freight Broker in Indiana?
- 2 Licensing Requirements of a Freight Broker in Indiana
- 3 Freight Broker Programs in Indiana
- 4 How Much Do Freight Brokers Make?
- 5 Frequently Asked Questions
What are the Duties of a Freight Broker in Indiana?
The main goal of a freight broker is to make sure that they provide reliable transportation to get goods to their destination in a fast, safe manner.
They act as a liaison between shippers and carriers.
Here are some of the key responsibilities that a freight broker is expected to conduct:
- Generate leads to keep their business pipeline full
- Identify reputable and safe carriers
- Negotiate fees and provide customers with quotes
- Book loads with available trucks/carriers
- Track status and location of loads on the road
- Work with shippers, carriers, and dispatchers to coordinate merchandise drops
- Keep records of all activities
- Update customers on the status of shipments
- Troubleshoot issues
- Many use freight or load boards to help them keep trucks filled.
Licensing Requirements of a Freight Broker in Indiana
According to DieselGypsey.com, the State of Indiana does not have any requirements for freight brokers on a state level because the profession is regulated at the federal level.
Before you can get a freight brokerage license, you will need to register the business with the U.S. Department of Transportation (U.S.DOT), they will then provide you with a unique U.S.DOT number.
Once you have that number, you can apply for a license to the Federal Motor Carriers Safety Administration (FMCSA).
The FMCSA is the Department of Transportation responsible for regulating the entire trucking industry.
The process from start to finish usually takes around six weeks and will cost $300.00.
Before you are issued a license, you will have to show that you have enough personal liability insurance and get a surety bond for a minimum of $75,000.
You will also need to show agents in the state that you intend to work with and provide the administration details.
While there are no educational requirements for the education or training of freight brokers in the state of Indiana, it is a very competitive business.
Those that take a training program will be prepared to hit the ground running and know what to expect as they begin their new career.
Freight Broker Programs in Indiana
Even though many people have experience in the transportation industry, they still find it valuable to take classes in freight brokerage, as there is a lot of responsibility on their shoulders.
They could be booking thousands of dollars in goods.
So, they need to know how to properly ensure the load, find reputable carriers, and attract well-paying loads.
In the state of Indiana, there are several good educational options.
Here are a couple of local programs:
- Indiana University South Bend: Online Freight Broker/Agent Training
- Indiana University Northwest: Freight Broker/Agent Training
How Much Do Freight Brokers Make?
Freight brokers can make a good salary in Indiana.
According to the Bureau of Labor Statistics, the average salary for cargo and freight brokers in the state of Indiana is $47,824 per year for new brokers.
Those with years of experience and good contacts can earn over $70,000 per year.
It is 14% below the national average.
While it may be difficult to get started in the business, those with persistence and good contacts can earn a nice living.Annual Salary Range:
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Frequently Asked Questions
Once I find a good carrier, how can I keep them?
To keep a good carrier, you must be able to communicate effectively with them.
If you have good communications skills, offer good freight, and pay bills on time, chances are you will keep your business successful.
What is the average time customers will stay with a freight broker?
According to shipamt.com, most customers stay with a freight broker is 12 months.
Brokers need to be consistently looking for new business.
Do I need to have a freight board?
Load boards can be a good resource for those looking to get freight from point A to point B.
It helps drivers stay on the road while effectively keeping trucks filled and freight getting to where they need to go.
Read the full guide: How to Become a Freight Broker