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An LTL freight broker is a intermediary between the freight shipper and the freight carrier. The broker adds value to the transaction in various ways. In this article we will discuss what an LTL freight broker is and how they can help you.
LTL freight brokers are specialized transportation intermediaries that work with LTL carriers. This kind of broker will have contracts with many different LTL companies and often an online system that makes shipping easy. As LTL specialists these brokers can be valuable in helping you understanding your carrier options.
Pricing advantages
LTL brokers are great resources to find better pricing on your LTL freight. The reason behind this is brokers aggregate the freight spend of all the customers they have under one contract with a carrier. This enables them to have more buying power with the carrier. Also, brokers have technology that makes it easier for the carrier to do business.
Transportation management systems
Many LTL brokers have very sophisticated online systems that you can use for free. These systems enable you to enter your shipment information once and get quotes from several different carriers. Once you see the rate you like you can book the shipment. The system will create your bill of lading. Also, it houses all of your product information and addresses.
Outsourced vendor management
Imagine if you had to negotiate and maintain dozens of carrier relationships. Carriers are updating and changing all the time. Contracts come up for renewal and need to be reviewed. Insurance information needs to be maintained. Through out the year different events impact service levels. A good LTL broker takes care of all of this for you so you can focus on your business.
Customer service and support
A broker often can be your dedicated customer service department for your LTL shipping. They will quote, enter, track and follow up on shipments for you. This can be a very time consuming endeavor for some companies. Having a broker there to help you can be a serious advantage.
Help getting your freight classed correctly
One of the more difficult aspects of LTL freight shipping these days is the need to classify your cargo. If you have multiple products you are shipping this can be really difficult. The system is complicated. Often an LTL broker can assist with this and be a trusted adviser. The wrong freight class can result in a rebill, which can be very frustrating.
Assistance with freight claims
Hopefully you don’t have any freight claims. In the case that you do, a broker can assist in the filing and follow up of your claim. Carriers have a long time to respond. Your LTL broker can stay on top of it for you. Also, there are several things you should do before you file your claim and your broker can assist with that as well.
Thanks for reading this article. We hope that it makes your LTL shipping easier. At BAM Freight we are an LTL broker agent for Globaltranz Enterprises. We would be glad to consult with you about your freight needs. Happy to help in anyway we can!
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Dave Stevens
Transportation Executive with experience in developing processes and controls for early stage start up companies. Specialties include: Sales, Marketing, Transportation, Trucking, Brokerage, Project Transport and Rail Operations.,Organizational Design, Process Development, Accounts Receivable Management, Leadership, and Business Start-ups.
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