Freight Brokerage is a branch of business that organizes freight orders and passes them on to freight carriers. This should not be mistaken with freight forwarding because freight brokerage businesses do not own vehicles or storage facilities to physically handle the flight.
Note that the freight broker is regarded as the principal and accordingly, the invoice recipient of the carrier. These brokers play a crucial role and offer a valuable service to both motor carriers and shippers. Freight brokers help carriers fill their trucks and in the process earn a commission for their time and effort. These experts also help shippers locate trusted motor carriers that those shippers might not have known earlier.