3 Important Steps To Becoming A Licensed Freight Broker

Posted on: 19 March 2021

The transportation industry is only projected to continue to grow in the upcoming decades, and a wide range of professionals are needed to meet the transportation industry's needs.

One type of in-demand professional in the transportation industry is licensed freight brokers, who help bring together a company that needs to ship goods with a transportation company that can fulfill that need. To become a successful freight broker, one must complete freight broker training and gain experience in the industry. To have a successful career as a freight broker, there are some steps one should take.

Gain a Deep Understanding of the Industry

If you want to be a successful freight broker, it helps to understand the transportation industry. This experience can be gained in a variety of ways. Working as a truck driver or working with a trucking company are ways to gain transportation experience. One can work a logistics role with a company as well to gain an understanding of what goes into the transportation of goods. On-the-job training in the transportation and logistics industry is not required but will give you a deeper understanding of the industry.

Obtain Training

You are going to want to obtain training to become a freight broker. This is a complex industry, and you will want to understand how to help your clients and learn the ins and outs of how the industry works. You will learn about all the legal boxes you need to tick to become a licensed broker. You will learn about the ethics and practice of operating. You will learn strategies that will assist you with setting up your business. Many online training programs will help with the licensing process. Contact a company that offers online freight broker training to learn more.

Get a Licenses

You cannot just decide to become a freight broker and start operating as one. If you want to operate as a legal freight broker, you will need to obtain a valid license. You must obtain a freight broker license through the Federal Motor Carrier Safety Administration, FMCSA.

The FMCSA will issue you a motor carrier (MC) number. Then, you will have to obtain a PIN from the FMCSA, a process that can take about a week. Then, once you have that information, you will need to apply for a license and pay the fee for the licenses. The processing of your application can take a few weeks to a few months. If you want to work interstate, which will help your business prospects, you will need to apply for a Department of Transportation number.

In addition to a license, you will need to obtain a bond or trust to operate as well.

If you want to become a freight broker, industry experience is a plus. You will also want to obtain online training and get a license so you can legally operate.