Transporting cargo from one place to another is not as easy as it may appear at first sight. Business owners have two possible ways out. They are able to handle all the shipping activities on their own. It’s not a good solution for small firms who possess neither capacities nor finances to cope with such tasks.
The second way out is to hire a professional freight broker who is ready to pick up the most effective mode of transportation and the needed containers. Moreover, some specialists are even ready to do all paperwork for you. One of the most significant consequences of double brokering is that your business may be blacklisted. Then, you can hardly find carriers who are ready to transport your cargo even for all the money in the world.
Although the use of freight services seems to be an ideal solution, there are still some difficulties and problems you should be ready to face. Thus, nowadays more and more entrepreneurs state that suffer from the so-called double brokering. What is it and how can it affect your business? Discover is below.
The term of double brokering implies that a broker takes payment for brokering a shipment, re-brokers it to another company, and then fails to provide payment to the carrier once the freight has already been shipped. Clients risk losing their cargo. Moreover, when it comes to insurance claims, the chances to get compensation are low.
No wonder, when choosing a logistics company you want to cooperate with, it’s of prime importance to pay attention to the ratings and reviews by former clients. Luckily, nowadays, thanks to the Internet, you have an awesome opportunity to find any information even without leaving your house - just via your smartphone or computer. To find a really trustworthy logistics broker, you have to pay attention to the following aspects:
There are lots of online services providing up-to-date statistics about all kinds of things. You are to use such platforms to get acquainted with stats about the logistics agency you are interested in. It doesn’t mean that you have to cooperate only with the firms with the highest ratings.
●Positive reviews by former or regular customers.
Customers’ reviews are a valuable source of information. They allow you to discover major pluses and minuses of this or that freight broker.
●Capacities of the firm.
It’s clear you have to evaluate the capacities of the brokerage you are going to work with. If it doesn’t possess the needed number of vehicles or workers to cope with your order, it’s better to look for alternatives.
Moreover, when signing an agreement, you have to pay attention to all the details. You are to consider whether brokers have the right to transfer your cargo to anyone and under what circumstances. Otherwise, you risk experiencing cargo losses and damages or significant financial problems.
So, professional logistics is a must when it comes to organizing the stable functioning of any company. Yet, the risks of cheating are still present. Thus, you are to select freight forwarders carefully.
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