How To Become a Freight Forwarder

In today’s business world, logistics have become a critical component for almost every business. Without the service for companies indulged in bring materials in or shipping them out for you, a manufacturing concern will find it hard to run a business as costs of performing these tasks may be great, especially if your clients are at a distance.

The same is true for suppliers who have to ship out their goods to the clients in large quantities and need a freight forwarder. The business is booming just about everywhere in the world and does provide good profits as one grows in it over a period of time.

The process of becoming a freight forwarder is not a very difficult but if one has to achieve success, the performance has to be good and consistent as this is a very unforgiving business.


  • 1

    Understand the industry

    The first step is to understand how the industry works. Get in touch with people already into freight forwarding and discuss various market segments that are available and how to setup the business. You can also contact your local chamber of commerce and seek help on how to setup a company and be associated with the chamber.

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  • 2

    Setup the Company

    Make sure that you are able to get all the paperwork in pace when you setup your company. It is ideal that you seek the help of a professional and if possible, engage a lawyer to make sure that all the legal aspects are being covered. Also make sure that the agreement that will take effect on each job is clear and does protect your rights. Otherwise you may be facing a lot of legal issues.

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  • 3


    You will need to take insurance on the packages that you will carry for your clients. In case that you have some sort of a loss in terms of goods, you will be covered and will not have to pay for the product out of your own pocket. This is an additional cost but it does benefit in the longer run.

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  • 4

    Start with a few clients

    You will need to identify your market niche and start your work accordingly. In the beginning, you will probably need to get some business via personal contacts and later you will start getting repeat buyers and referrals from you buyers as well. Do not aim for the big guys right away unless you are putting in a large setup and have the kind of resources to be able to lock horns with the big guys in the industry.

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