Please Explain Difference for me

[Jumbuck]

Hi. Could someone please explain to me the difference between a Expediting "carrier" and a "broker?"
Not sure what the difference is. Thank you for help.
Jumbuck

 

[davekc]

A carrier either has their own trucks or contractors leased to them and a broker does not.
Keep in mind, that some carriers are also considered a brokerage with the proper licensing.

 

[scottm4211]

In Canada, an owner operator is often called a broker rather than a company driver. We're weird that way.

 

[Jumbuck]

I was told by another expediter driver that the company I run for was "just a Broker" and not a carrier! He actually had a sneer on his face. Is there anything detrimental about being a broker (and working from a shoestring) as opposed to a regular carrier?
Thanks
Jumbuck

 

[davekc]

I was told by another expediter driver that the company I run for was "just a Broker" and not a carrier! He actually had a sneer on his face. Is there anything detrimental about being a broker (and working from a shoestring) as opposed to a regular carrier?
Thanks
Jumbuck

As long as they carry the proper insurance and you are satisfied with their compensation, it shouldn't matter.

 

[Jumbuck]

Thank you, sir. Thats the way I saw it. If their check cashes I really don't care if they work out of a drafty barn!
Thanks, Jumbuck!

 

[xiggi]

You contract on with a carrier, your broker after being in expedite for a year.

 

[seekerman]

Hey Xiggi. I have been contracted to a carrier for over a year now. Does that mean I am a broker, and if so, what does that mean regarding how I may operate. I thought a broker was an entity separate from a carrier and only "brokered" loads to those who choose to operate under their own authority.

 

[Jumbuck]

That's what I thought, too!

 

[xiggi]

Hey Xiggi. I have been contracted to a carrier for over a year now. Does that mean I am a broker, and if so, what does that mean regarding how I may operate. I thought a broker was an entity separate from a carrier and only "brokered" loads to those who choose to operate under their own authority.

Read what I wrote a little closer.

 

[seekerman]

I thought you left out the "a" before broker. So are you saying that after a year my carrier becomes my broker. If so, how does that change the relationship between myself and the carrier. Many questions.

 

[chefdennis]

use the "grammer" in its correct context gentleman....

 

[seekerman]

Jeez Chef. Now I'm really confused.

 

[Rocketman]

Pretty sure he is saying that after a year in this business you will be broke....r than you were when you started (as in, it takes about a year for most to lose their tail in this biz). Great play on words...had to read it a couple times myself...and sadly, alot of truth to it.

 

[xiggi]

Pretty sure he is saying that after a year in this business you will be broke....r than you were when you started (as in, it takes about a year for most to lose their tail in this biz). Great play on words...had to read it a couple times myself...and sadly, alot of truth to it.

Ding, Ding, Ding, We have a winner!

 

[seekerman]

Thanks Rocketman. It was a great play on words. I'm going back in service on Monday and I've been concerned about what I'm going to encounter. Pre-holiday last year was outstanding for me, as I guess it was for everyone. This year was much different. I guess I'm maybe a little too concerned else I might have caught the beautiful irony in Xig's words. But after a year, I guess I'm hooked on the gamble. Didn't do too bad in the sprinter last year. I can't wait to get back out there to see if I can't beat the odds. Once a gambler.......

 

[Rocketman]

For the most part, those that can make it a year without going waaay backwards and are capable of remembering what it took to get them there... can make it. Sounds like you have a good year in. Just keep your eye on the ball and dont forget the nest egg and your chances are good.

 

[Rocketman]

My answer to the broker/carrier question: A carrier is licensed to transport freight with their own equipment and/or equipment leased from contractors. Most carriers also have what is called broker authority which means they are allowed to sell freight to other carriers. Most carriers do this as a means of covering their overflow work.

A broker "only" is a company who would go and sell the freight services but has no actual authority (license) to haul it. The broker must enlist the services of a carrier to actually get the freight moved.

I think you will find that most freight businesses have and do both.

 

[Jumbuck]

My answer to the broker/carrier question: A carrier is licensed to transport freight with their own equipment and/or equipment leased from contractors. Most carriers also have what is called broker authority which means they are allowed to sell freight to other carriers. Most carriers do this as a means of covering their overflow work.

A broker "only" is a company who would go and sell the freight services but has no actual authority (license) to haul it. The broker must enlist the services of a carrier to actually get the freight moved.

I think you will find that most freight businesses have and do both.

Thanks, that was the answer I can understand!

 

[Jefferson3000]

Hey Xiggi. I have been contracted to a carrier for over a year now. Does that mean I am a broker, and if so, what does that mean regarding how I may operate. I thought a broker was an entity separate from a carrier and only "brokered" loads to those who choose to operate under their own authority.

He's joking with you.