Why a transportation intermediary/broker?
There are as many reasons to use a transportation intermediary/broker as there are deliveries to be made. We have extensive experience in logistics and supply chain planning and the ability to execute those plans. Our methods are constantly tested and updated.

Frequently Asked Questions:

What is a property broker?
Property broker is the term that was established years ago by the Interstate Commerce Commission of the United States to describe individuals or companies who have met all government requirements for licensing.

Brokers have been around in virtually every industry since the concept of trade began. Today, we have food brokers, manufacturers' representatives, and re-sellers of almost every service and product imaginable.

What are the requirements of a property broker?
Each person or company must complete an application through the Department of Transportation to obtain their Authority. In order to activate the Authority, a surety bond with an approved bank or insurance company must be obtained and "process service" agents in all 48 contiguous states must be maintained.

What is a surety bond?
Each company or person wanting to operate as a property broker must prove that they are capable of paying the various trucklines, airlines, railroads or any other mode of transportation being used by the property broker.

An individual and/or a company's financial strength is investigated thoroughly by the bank or insurance company. Only then is a "bond" issued.

Accordingly, if for some reason the property broker fails to pay one of its contractors for services provided without sufficient legal excuse, the bank or insurance company that issued the bond must pay the contractor. As you can imagine, the bank or insurance company issuing the bond is very careful about the companies or individuals they insure.

Does a property broker carry cargo and liability insurance to protect my interest?
The law does not require a property broker to carry insurance for either cargo or for public liability. Only property brokers and logistics companies who have a sincere interest in their client's business will carry both. C.L. Services, Inc. carries $100,000.00 in contingent cargo insurance and $1,000,000.00 in general liability insurance. This insurance coverage is in addition to the minimum requirement of $100,000.00 primary coverage required of all carriers within the C.L. Services, Inc. system.

How do I know my shipments are being protected with insurance?
Each carrier being contracted to C.L. Services, Inc. must provide a current certificate of insurance, a copy of his or her operating authority certificate issued by the Department of Transportation, their federal tax I.D. number and sign our contract in order to become qualified in our system. Our Carrier Relations Department personally calls the carrier's insurance provider to verify coverage and to request an additional certificate of insurance showing C.L. Services, Inc. as the certificate holder. Our state-of-the-art computer system continually monitors expiration dates for insurance coverage and active operating authority for all carriers and will not permit any carrier to be utilized in our system if coverage expires or authority is revoked.

Why would I use a broker?
We have all heard the old adage that "You can't be all things to all customers all the time" and so it is with transportation brokers. A broker does not always fit with the needs of a customer. However, in the case where a customer has a high or fluctuating volume, flexible and/or seasonal rate requirements, or special handling needs, a broker is often the best option.

Why would a carrier need to use a broker to supply freight?
The overwhelming majority of for-hire motor carriers operating today are small businesses or individuals with fewer than 15 trucks. Fleets of 5, 10, 15, 50, 150 and even greater often do not have sales representation in all of the markets they serve. Most have a limited number of customers in their "home market" to supply outbound loads. They rely on third parties to provide return loads from areas where they do not have sales representation. These return loads are known in the business as "backhauls". Having a return or backhaul load enables the carrier to offset their costs. In essence, we serve as the sales agent for carriers who do not have sales representation in a given geographic region. In addition to our general for-hire fleets, we utilize our relationships with many of our private shipper/carrier fleet partnerships.

How are brokers able to offer better and more flexible rates?
Brokers cater to the backhaul needs of the carriers. By providing shipments that meet a specific geographic need, a good broker can obtain better rates, no matter what the geographic direction. One carrier's headhaul is another's backhaul. We provide a competitive rate to the shipper/customer. The carrier pays our fee by allowing us to invoice the shipper/customer and pay them something less than we invoice.

How many different carriers do we use?
C.L. Services, Inc. currently has in excess of 5,000 carriers under contract. In day-to-day business, we utilize the services of less than 100 carriers and fewer than 50 carriers handle the majority of our business. Our philosophy is to build close relationships with the carriers handling our business, which results in better service to all parties involved.

I've heard so many bad things about brokers!!
In the early days, brokers were often the individuals or companies on the fringe of the transportation world who had some "in" with a specific shipper. Over the years and for many different reasons, there have been transportation brokerage businesses that have failed. The same holds true for any industry, and one needs to be careful and selective in choosing a broker. Today, the overwhelming majority of transportation brokerage businesses are modern businessmen and businesswomen conducting their trade in an ethical manner using cutting edge technology to provide a quality service to the shipping public, trucklines, airlines, railroads and ocean carriers.

Upon request, we will provide credit and financial information relative to C.L. Services, Inc. Making this information available to our shipper customers and carrier partners demonstrates our commitment and ability to provide the service to our shipper customers and meet our financial obligations to our carrier partners.

Simply put, we operate in the capacity of a truckline, airline, railroad or ocean carrier. The only difference is we contract the actual movement of the goods using licensed transportation companies that have met our stringent qualification requirements.