Freight broker

A freight broker is a licensed intermediary who connects shippers that have freight with carriers that have trucks. The broker arranges the load and keeps a margin between what the shipper pays and what the carrier gets; the broker does not own trucks or haul the freight.

Why it matters: most owner-operators haul broker freight, especially on the spot market, so understanding the relationship protects your money. Check that a broker is properly licensed and bonded with FMCSA, watch their credit and pay history (slow-pay brokers are why many operators use factoring), and confirm the rate and any accessorials in writing on the rate confirmation before you roll. Verify authority on the FMCSA SAFER system.

As you grow under your own authority, building direct relationships with reliable brokers – or shippers – is how you stabilize your freight.