Why a freight broker needs a lawyer to set up his company?


Freight brokers are involved in the transportation of goods and need to be aware of laws governing shipping. Since freight brokers are often self-employed, they have many responsibilities that they need to handle on a daily basis.

What is a freight broker?

A freight broker, also known as a freight forwarder, is a person or company that provides services related to the transportation of goods. Freight brokers undergo freight forwarder training courses before becoming a pro at their jobs and opening a company! Their work includes arranging for the movement of cargo from one location to another by means of land, sea or air. The term “freight broker” may also refer to an individual who arranges shipments on behalf of another party but does not actually handle any physical goods themselves.

The freight broker needs a lawyer to register his company:

A freight broker is a person who arranges for the movement of goods from one place to another. This can be done by air, sea or land and it involves several parties including the shipper, carrier and consignee. The freight broker takes care of all these transactions on behalf of his client and charges him a fee for this service. In order to run his business legally, he needs to register his company with local authorities as well as Federal Trade Commission (FTC).

The first step in this process is setting up an LLC or corporation depending on what type of entity you want your business registered under. Once this has been done by hiring an attorney who specializes in corporate law, then he will draft all necessary documents like Articles of Incorporation/Organization along with other legal documentation which must also be signed by both parties involved such as shareholders/owners(s) etcetera.


The company should be registered in the state where you live and operate:

This will allow you to open bank accounts, issue invoices and collect payments for services rendered.

It is also important that you get an Employer Identification Number (EIN) from the IRS. This number will be used on all tax related matters for your freight brokerage company.


A freight broker would need advice from a lawyer:

A freight broker should receive advice from a lawyer who knows about freight shipping laws and regulations in their state, county and city. The most important thing for a freight broker to know is that they can be held liable if they are not legally registered as required by law. If you don’t want to get into trouble with the government and lose your license because of non-compliance with state laws, then it’s best to hire an attorney who specializes in this area of practice.


A lawyer can help you avoid mistakes that could cause problems for future:

If you’re thinking of starting your own freight brokerage business, it’s important to consider all of the steps involved in setting up your company. The process can be complicated and time-consuming, especially if you’re not sure where to begin. A lawyer can help you avoid mistakes that could cause problems for you down the road.

A lawyer is trained in navigating legal issues related to business ownership and operation, so he or she will know what questions to ask when discussing potential options with clients like yourself.


Hiring a lawyer ensures that you are fully compliant with all laws:

As a freight broker, you need to be fully aware of the laws and regulations that apply to your business. This is especially important if you plan on hiring employees or subcontractors.

Hiring a lawyer ensures that you are fully compliant with all laws and regulations related to running a freight brokering company. Your lawyer will help ensure that any contracts entered into by your company, comply with federal law and do not contain any provisions which could put either party at risk for liability in the future.


Legal advice can help freight brokers save time and money:

The legal advice given by a freight lawyer can help you save time and money. A lawyer is trained in the law and knows how best to handle your business’s unique needs.

A freight broker who is setting up his company may need advice about:

  • The type of company (e.g. sole trader or limited liability) that he should form.
  • Whether or not he needs a Business Number.
  • How long it will take him register his business name, if he decides on one that hasn’t already been registered by someone else before him.

The freight broker is an independent business person:

The freight broker is an independent business person. As such, he or she has the right to make all decisions regarding the company’s operation, including hiring staff and setting up contracts with clients.

The freight broker should be aware that these activities may require legal advice that can only be provided by a qualified lawyer. It is important for him or her to find a good lawyer who would help him in setting up his business legally so as not to violate laws governing this type of enterprise.


An online freight broker business can be a profitable venture:

An online freight broker business can be a profitable venture. Freight brokers are paid by the shipper to find a suitable carrier for their cargo, and they charge a fee for their services. They may also receive payments from carriers if they refer customers to them.

The majority of online freight broker businesses are set up as sole proprietorships or partnerships, but some people choose to incorporate their business in order to protect themselves from personal liability (i.e., being held personally responsible for debts incurred by the company). This is especially true if you anticipate having any employees and/or if your business will generate significant revenue over time.



If you are considering starting an online freight brokering business, it’s important that you know how to register your company legally with the state and federal governments so that you don’t face any legal problems later on. A freight broker needs a lawyer because he needs his company registered with local authorities as well as Federal Trade Commission (FTC).