I'm thinking of becoming a broker...is it worth it?

[gonzojones]

I'm currently considering becoming a broker or broker agent, being as such that my back condition (degenerative disk disease) is not going to let me drive, see the country, hide from lot lizards, and scare myself silly.

Is this a worthwhile endevour? There's a company advertising on thetrucker, Transport Training of America, Inc., that is offering a course which might be covered by vocational rehab. The course includes material such as:

+ The requirements of a broker and how to obtain them
+ The broker/freight agent similarity to the travel agent
+ Overview of the Workbooks, Textbook and Legal Terminology and Scenarios
+ Overview of the forms for Domestic Truck, Rail (Intermodal) Domestic and International Air and Ocean Freight
+ Review and Build the Shipper Packet
+ Writing your Business Profile and Developing the Shipper Letter.
+ What is a Contract between You and the Shipper?
+ Establishing the Shipper Credit Limits
+ Helpful Government Websites
+ Development of a Shipper Database
+ Development of a Carrier Database
+ Development of Rates
+ Marketing (10 sources for finding Shippers)
+ Contacting the Shipper
+ Prospecting
+ Developing the Shipper Profile
+ Developing the Carrier Profile
+ Using the Internet to determine where the Freight is but the Trucks aren’t.
+ Discovering where the Shippers are.
+ Posting your loads
+ Finding Trucks
+ Posting Bid Requests
+ “Instant Notification”
+ Using the Thomas Register
+ Using the Thomas Regional Directory
+ Using the “Safer System” to qualify your Carriers
+ Mileage Calculations
+ Working the Internet Sources
○ Internet Truck Stop
○ Carrier Depot
○ Get Loaded
○ Flying J
○ H.I.S.
○ Post Everywhere

and more.

Do a lot of carriers and owner/ops use brokers, or would I just be wasting my time and effort? Does anyone know anyone who has went through this program?

Any advice, pointers, best wishes, run for the hills, etc. would be greatly appreciated.

[DrivingZiggy]

I use brokers a lot. It would be great to have more of them out there who actually understand the driver's side of the business. The vast majority that I deal with have no concept of what the trucking industry is. They only know how to get their commission.

[Truckdobe]

Good brokers are hard to find. I use brokers all the time and share my info freely, good or bad (LOUDLY on the bads).

The only problem I see with all of the new brokers is that someone already has the freight, providing it's not a new establishment, and almost the only way to get a foot in the door is to undercut someone else. As outdated as rates are now, more undercutting is not in order.

[gonzojones]

I use brokers a lot. It would be great to have more of them out there who actually understand the driver's side of the business. The vast majority that I deal with have no concept of what the trucking industry is. They only know how to get their commission.

That's one o the main reasons I wanted to get on a truck for a few years. I've known all along that I won't be able to put 20 to 25 years in driving, but I figured that after 5 or so, I would be well equipped to do a good job at driving a desk (lots of experience and contacts). Unfortunately, after (relatively) leaving me alone for a couple of months, my spine, hip, and left leg are telling me that unloading trucks, pushing a clutch for 11 hours a day, etc. is NOT in my best interest. :yikes:

So, right now, I'm focusing on learning as much as I can from the driver's point of view. I realize it's a poor substitute for real driving experience, but I'm hoping that with an attitude of respect and a willingness to listen and learn, that I can service the drivers, the shippers, and make a bit of coin for myself.

Roll Safe!

Gonzo the Above Average

The only problem I see with all of the new brokers is that someone already has the freight, providing it's not a new establishment, and almost the only way to get a foot in the door is to undercut someone else. As outdated as rates are now, more undercutting is not in order.

Truer words have never been spoken

[daytrader]

Starting out as a broker is hard work. many hours a day. like 12+ just working the phones and fax.

Starting out as a agent is nice. You do not have to carry your own broker authority. You can work under some one elses for a percentage and let them provide the capitol. The problem is, most want you to have a asset base of clients (SHIPPERS).

Haveing your own authority is easy, just you have to have the capitol to run. Many of your POD will not be paid till 30-90 days after receipt of the BILL. The carriers you use to move these loads will like to be paid in 10-30 days. Some in 24 hours for a nice cut. If you just move 1; 300 mile load a day for 20 days a month. You move them for only 1.50 a mile. You will have to have 9k. Just to pay the carriers. Not to mention extra costs or advances.

You can snow ball real fast as happened to me the first time. Figured move a few loads a week and work off my investment capitol. The problem. The 3 loads a week I picked up. Turned real quick into 10 a week, then more and more. I ended up having to sell my client list with a non compete clause.

I think working as a agent would be the best way for most. They can work on some one elses dime and still build great relationships with carriers and shippers. Many brokers are now putting non comp clauses in the agents contracts.