5 Questions You Should Ask Your Freight Broker

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Have you at one point wondered what a freight broker is? Well, a freight broker is either an individual or company that’s in the business of processing shipments for individuals or organizations from one point to the next.

No matter how trustworthy or efficient your freight broker may be, you can prevent a whole load of critical mishaps or costly mistakes by asking them all the right questions. Here are six of the most important questions you should ask your freight broker.

1. How Long Have You Been In Business?

Companies often focus on survival for the first year or so. If the company has been in business for a long time, that’s a good indicator that the business has a fair level of experience.

Steer clear from start-up companies with zero history or low ratings from its customers. Save yourself from painful experiences in the future and do some thorough research online on the longevity of the company in question.

2. Is your contingent cargo insured?

In case a shipment gets lost, damaged or stolen in transit, freight insurance provides reliable protection. This applies even though the trucks, not the broker, physically handle the freight.

If you have a claim to make, you want to be sure that your Freight Broker provides an insurance option. Make sure you take this option out if you want to claim on any damages or losses.

3. How Do You Treat Your Carriers?

Find out if your freight broker establishes and maintains long-term and mutually beneficial relationships with their carriers. Find out how fast they pay trucking companies once a package has been delivered.

Business partnerships that are built on trust are the most valuable. Trust is created when there’s a close working relationship between the two parties.

The higher the freight carrier satisfaction, the more profitable and long-lasting the business will be.

4. How Financially Stable Are You?

Perform a quick credit check to find out if your freight broker pays its vendors on time and in full. You can also complement your research by reading reviews online left by their previous customers.

If there are any legal judgments, lawsuits or any serious financial case against them, that’s a clear indication that you should keep your distance.

It’s also best if you start building a relationship with a brokerage that’s steadily increasing in technology, staff, capabilities and revenues over time. Underperforming brokerage companies are a hazard to your business and you shouldn’t take any chances with them.

5. How Do You Ensure Compliance With The Business Partners And Cities I Ship To?

When it comes to the handling of your cargo, this is one of the most important questions you can ask. Your freight broker should have links to various networks and connections all over the country. If not every region, at least in major cities that serve as the origin or the destination of your freight.

Your freight broker should be well versed with the trade agreements, custom rules, duty rates, government regulations and compliance requirements anywhere you’re either shipping to or from.


Freight brokers play a significant role in maintaining working relations between shippers and carriers. Shippers will inevitably experience challenges such as rail and driver shortages, a rise in transportation cost and more - this is where freight brokers will always come in handy. The more professional and trustworthy they are, the higher the success of your shipping business. Contact Freight Broker Australia today to discuss your freight management needs with leading experts in the industry.