How to Become a Freight Broker in Utah
When an item needs to be shipped, it is typically sent to a shipping company that will take care of the item’s packaging and document the item’s specifications. Oftentimes, shipping companies need carriers to transport these items to their intended locations, but they may not have time to research available carriers. To work in a timely manner, shipping companies may contact freight brokers who will serve as the middlemen between shippers and carriers. These freight brokers must communicate with both parties during the shipping process, making sure items arrive at their destinations safely and on time. Freight agents will help brokers do research, compile databases of information and assist with customer relations.
Requirements for Becoming a Freight Broker in Utah
Utah state law does not contain any legislation for freight brokers. This is true for all U.S. states. Instead, national law requires that freight brokers first earn a high school diploma or GED. A government-issued Broker Authority license is the most important stipulation for freight brokers across the country. This license must be obtained before practicing.
As with any career field, many advancement options exist. These include obtaining certification, enrolling in a post-secondary education program, finding a mentor or completing an internship or apprenticeship program.
Utah Schools for Freight Brokers
Although freight brokers are not required by law to complete a post-secondary education program before practicing, it could help you start your career on the right track. Consider one of the options below:
- Load Training offers oth in-person and online options for brokerage training. In-person course sessions last for just five days at a time and take place in the cities of Phoenix, Atlanta and Houston. The program teaches students to create a truck availability database, how to respond to inquiries from carriers and shippers, and much more.
- Brooke Training also ffers courses in-person and online. Students will learn basic and advanced industry techniques. Qualifying veterans may attend courses free of charge. The school offers assistance with job placement to all students after course completion.
- Freight Movers School offers two programs that can be taken in-person or online. Course options include basic techniques as well as increasing revenue for advanced freight brokers. Currently, all in-person courses are offered exclusively in Texas and Georgia.
Certifications for Becoming a Freight Broker in Utah
To receive your Broker Authority license (also known as a Motor Carrier Operating Authority license), you will need to follow the standards set by the U.S. Department of Transportation’s Federal Motor Carrier Safety Administration (FMCSA).
This administration requires that you first register your company as a business. You will then need to obtain a U.S. Department of Transportation number. After doing so, you will need to send this number, your application and a $300 application fee to the FMCSA. Within four to six weeks, if your application has been approved, you will receive your license. It is important to keep in mind that all freight brokers are required to carry a $75,000 surety bond at all times, according to the FMCSA.
Career Outlook and Salary Expectations
The Bureau of Labor Statistics (BLS) released data in 2017 that stated that freight brokers in Utah earned an hourly average income of $17.58 or $36,570 annually. The highest paid freight brokers in this state earned $58,630 during the same year.
The BLS also states that there were about 600 freight brokers working in Utah during 2016. By 2026, this number is expected to jump to 870, adding 270 workers to the field in Utah over this 10-year period.
Working as a Freight Broker in Utah
Salt Lake City, West Valley City and Provo are the highest populated cities in Utah. This means that they will have the largest amount of cargo being transported to and from these cities. Hence, freight brokers working in Utah will earn the highest compensation in urban areas like these.
Freight brokers may work at brokerage companies or as entrepreneurs running their own brokerages. While working as a business owner means a higher level of responsibility, all freight brokers will have a higher earning potential with better negotiation, communication and organizational skills. If you work at developing your skills in these areas, you will be able to achieve success as a freight broker in a short period of time. The job market for freight brokers will continue to expand, so now is a great time to get started.