Start A Freight Brokerage Business - Business Ideas
Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.
The transportation industry has experienced rapid interest and growth over the past years. The increased demand has created business opportunities for various professionals, among them freight brokers. Freight brokers connect shipping companies with carriers. Serving different markets, freight brokers help make goods transport a reality for their customers.
If you are looking for a business opportunity within the transportation industry, you may consider starting a freight brokerage company.
To start, take the prerequisite course and look for an internship opportunity where you will gain industry experience. Then, follow licensing requirements and focus on building business relationships with potential customers.
Starting a freight brokerage business requires a great deal of effort, dedication, and most importantly passion.
If you're interested in how to sell freight brokerage, or selling freight brokerage online, you can use this page as a guide for everything you'll need to know.
Key Stats
Startup Costs
Min Startup Costs | Max Startup Costs | |
---|---|---|
Office Space Expenses |
$0 |
$7,000 |
Employee & Freelancer Expenses |
$150 |
$250 |
Website Costs |
$223 |
$7,015 |
Business Formation Fees |
$600 |
$4,700 |
Software Expenses |
$162 |
$2,894 |
Advertising & Marketing Costs |
$0 |
$1,400 |
Total Startup Costs |
$1,135 |
$23,259 |
Case Studies
Successful Businesses
Business | URL | Rank | |
---|---|---|---|
|
Easy Auto Ship |
diytransport.com |
23,489 |
|
DAT |
dat.com |
26,896 |
|
TQL |
tql.com |
123,082 |
|
Freight Broker Boot Camp |
freightbrokerbootcamp.com |
401,283 |
|
Trinity Logistics |
trinitylogistics.com |
556,337 |
|
Online Freight Brokers Course |
freightbrokerscourse.com |
900,678 |
|
King of Freight |
kingsoffreight.com |
1,326,256 |
|
LACBFFA |
lacbffa.org |
1,664,817 |
|
Loadpilot |
loadpilot.com |
1,685,744 |
|
Fifth Wheel Freight |
fwf.com |
1,937,616 |
|
Freight Broker Online Portal |
freightbrokerportal.com |
3,442,979 |
Pros & Cons
Pros | Description |
---|---|
Flexibility |
You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own. |
Ability to start your business from home |
It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning! |
Little startup costs required |
The cost to start a freight brokerage business costs significantly less money than most businesses, ranging anywhere from 62 to 23,259. |
Rewarding work |
Starting a freight brokerage business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about. |
Scalable |
With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers. |
No overhead costs |
To get your freight brokerage business started, there are no costs associated with overhead, storage, packaging, etc. This will save you a lot of time and money! |
Cons | Description |
---|---|
Crowded Space |
Competition is high when it comes to your freight brokerage business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies. |
Longer Sales Process |
A freight brokerage business can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers. |
Work can be inconsistent |
As a freight brokerage business, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have. |
Lack of benefits |
With a freight brokerage business, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming. |
Isolation |
Often times, as a freight brokerage business, you typically work alone and do not have much face-to-face interaction with other team members. |
Taxes |
As a freight brokerage business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it. |
Hey! 👋 I'm Pat Walls, the founder of Starter Story.
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