What To Consider When Hiring A Freight Forwarder Company For Your Business
Selecting a freight forwarder company is the same as choosing the right accountant, vendor, manager, or supplier. You are not just picking someone to transport your products, but you are also choosing a business partner that can help drive the success of your business.
Consumers are all about fast-paced and efficient delivery. Getting a trusted freight forwarder for your venture’s logistics is vital to your growth. Therefore, you must selectively choose one that provides the kind of services that fit your business’ needs.
What are Freight Forwarder Companies?
Have you ever wondered how your favorite imported brands get to the shelves of local supermarkets? Freight forwarders are responsible for ensuring that goods and services are transported on behalf of the shippers.
Freight forwarder companies are firms that arrange the storage and the shipping of the goods and merchandise to their respective destinations. The shippers are usually the businesses that sell or produce the merchandise. These forwarding companies offer various services such as:
- Export booking
- Import booking
- Preparation of insurance and related documents
- Shipping preparation
These companies do not move the shipment themselves. Instead, they act as middlemen between the shipper and different transportation services. They provide added convenience for businesses because they are the ones who handle the logistics part of the business operations.
What are the Factors to Consider When Selecting A Freight Forwarder Company?
Logistics is a big part of a company. Without it, companies will not be able to send out their goods to their consumers. Hiring a forwarding company helps lessen the responsibilities of the business when it comes to arranging, coordination and booking shipments.
Selecting the right forwarding company is crucial. Otherwise, you are jeopardizing a big part of your business. Choosing a freight forwarder company can be tricky if you do not know what you should look for. These are some helpful tips you can consider:
- Know what your business needs. Assessing your shipment requirements is important because it lets you determine what kind of service you need. It allows you to close in on a certain number of forwarding companies instead of selecting from a long list. Take into consideration the following:
- Seasonal shipments
- Shipment type
- Suitable modes of shipment
- Mode of payment
- Volume of cargo
- Check the freight forwarder’s experience. Experience generally translates to reliability. Choose a freight forwarding company that has the expertise and credibility in the global shipping world. An experienced forwarder helps businesses in ensuring that deliveries arrive on time and minimizing shipping-related problems. It must be capable of handling a variety of scenarios such as:
- Cargo rerouting
- Customs hassles
- Port shutdowns
- Warehousing problems
- Worker strikes
- Ask about the forwarder’s capacity for handling multiple shipping. Ensure that the forwarding company has connections with different carriers that can cater to various shipments. It must also be able to adjust to your changing demands. If the company has secure networks, it can guarantee timely delivery and movement of goods.
- Inquire about who manages the shipping operations. Ask who is tasked to oversee the shipments. This person is your direct contact when you want to coordinate with the delivery of your goods. This person will work with you with documentation, management of shipping, updating cargo status, and more.
- Ask if they have experienced customs agents in your shipping destinations. Destination agents can help solve unexpected problems such as port strikes, shipping delays, customs issues and other related complications in your destination country. Forwarding companies that have customs agents ensure you that your goods will reach their destination despite possible shipping-related troubles. For instance, Packair shipping and forwarding operates in the Los Angeles area and beyond, which can make them the go-to forwarder company in the region.
- Check if the freight forwarder company has insurance. The freight forwarder company should have an insurance policy that covers shipments in case of damage, loss, or theft.
- Assess their customer support. Customer service is essential to assist clients with their shipment. Check how long it takes the company to get back to their clients regarding their freight tracking. Excellent customer support can help appease clients who experience troubles and delays in their shipment.
- List down your requirements. Inform the freight forwarder company your requirements such as:
- Delivery speed
- Goods to be transported
- Packaging standards
- Volume of products to be shipped
The rise in online buyers and the developments in e-commerce has led to the increase in the growth of the logistics industry. Freight forwarder companies should have the necessary experience because businesses trust them with a vital part of their operations. As a business owner, you need to screen the forwarding company before deciding because you are entrusting them with a big responsibility.
Craig Ericson is a business enthusiast writing for Pack Air. His passion for writing was something that he retained, which motivated him to write pieces to help even the common reader understand a wide variety of topics. He likes to play basketball during his free time.