7 Things to Consider When Picking a 3PL or Trucking Broker

One truck broker may look back on simpler times in the middle of a chaotic afternoon. Meanwhile, other semi brokers look forward to the day when widespread automation removes unenjoyable tasks from their workloads. Unfortunately, both the simplicity of past years and the opportunities of future years cannot help the present moment of frustration, and for trucking brokers, that’s especially true. And standing out from the crowd isn’t an easy task. However, shippers can put an ace in their pocket by finding the hidden diamonds in the brokerage industry. Unfortunately, only some trucking brokers are as invaluable as they should be. Let’s break down the role and characteristics of broker transportation.

1. Onboarding Processes

Shippers know that thoroughly onboarding a new carrier can be labor-intensive or easily underdone. The shortages of trucks and trailers have further complicated this, and such deficiency is partly due to the semiconductor shortage.

In late 2022, Transport Dive reported forecaster and author Don Akes saying, “Every segment has pent-up demand. We would be operating at record production numbers if we didn’t have the supply chain issue.” A premier trucking broker will have an established onboarding process to hear their shipping clients' needs with an accurate implementation timeline for transporting freight.

2. Expertise and Reputations

Semi-brokers must have an active broker license through the federal motor carrier safety administration (FMCSA). From there, a surety bond ensures the carriers will get paid should the semi-broker be unable to complete their end of the bargain. Many brokers will offer this information and their proof of insurance on their websites to prove their legitimacy.

Once a trucking broker has been proven active and approved by broker authority, shippers must remember that the best referrals are word of mouth. Look for a semi-broker with case studies and customer stories to prove their experience to incoming shippers and carriers. 

3. Scalability

While all successful businesses grow through time, shippers and BCOs know that a subtle market shift can significantly impact their workload. With this industry insight in mind, shippers must consider working with a freight brokerage that can handle influxes in freight. 

Do they have enough carriers when import bottlenecks open up? 

Broker transportation scalability is more than just carriers - it’s about having a support team. Is it a one-person show trying to dispatch trucks and communicate with shippers when inclement weather strikes? Shippers and BCOs must discuss with any potential broker for trucking business their long-term growth goals to ensure they don’t need to switch or add on another 3PL service at an inopportune time.

4. Registration and Service Guarantees

The FMSCA is the operating authority for the United States trucking industry. A trucking broker’s first step is to “register your business” and sign a form BOC-3 to become a legal process agent. From there, the broker must utilize a surety bond or trust fund to offer their clients a financially backed service guarantee.

However, to become a certified broker, service guarantees should be more than just the bare minimum. Know what’s available and where each obligation and promise of service lies.

5. Technology

For years shippers and carriers coordinated transport via paper and telephone. Load boards were some of the first logistic options to get digitalized, yet they lack the personal aspect that a freight broker has to offer. Shippers can get the best of both worlds by partnering with a tech-savvy semi-broker.

A tech-savvy trucking broker will offer modern track and trace technology to give them peace of mind on every leg of the transportation. In addition, they will be fluent and capable of using warehouse management systems (WMS) and transportation management systems (TMS).

6. Capabilities

Broker trucking is only helpful when it is full service. To get the most out of broker transportation, shippers have to partner with those who have what it takes to achieve their transport goals. Dry van and less-than-load capacity can be easy enough to find, but does the broker have refrigerated freight capabilities?

Importers and exporters will need specialty freight services such as drayage or intermodal capacity. Broker trucking is truly just the beginning, shippers can get a capacity and rate negotiating advocate with rail and air too.

7. Size of Carrier Network

A capable carrier network is more than the number of trucks connected to a brokerage if it’s not available in the necessary location. If the contending trucking brokers are versed in cross-border laws, do they actually have available capacity? 

On the other hand, shippers must ask if the carrier relationships are high quality. How often can the broker coordinate shipper of choice status? If the carriers are contracted with multiple brokerages, wherein the line of importance does this potential broker partner lie? A carrier network is only as helpful as the carriers are available and proven to get freight to its destination on time and in full.

Skip the Hard Work and Choose Capacity Solutions as Your Trucking Broker First

Shippers and BCOs have countless tasks to coordinate daily to ensure consumers have everything they need when they need it. The right trucking broker will have everything a shipper needs to onboard easily and partner with high-quality carriers. Technology will optimize significant processes that are already in process to get even niche freight transported wherever it needs to go. 

Don’t waste time searching for a broker that fits this bill. Capacity Solutions by Geodis is the premier freight brokerage solution for the everyday shipper. Stop by our Texas or Tennessee offices or start a conversation today to see for yourself!