C. L. Services, Inc. is taking a “PROSPONSIVE” approach to set ourselves apart from the other 14,000 3PLs in the United States. We are among the one-half of 1% of all brokers who have decided to exceed the required $10,000 surety bond and maintain a $100,000 TIA surety bond providing additional protection to our customers and carriers.
What is the value in a $100,000 surety bond?
- What if your carrier/broker/3PL fails to pay a carrier for satisfactorily completing a delivery? They can go to the shipper of record for payment, even if that shipper has paid the freight to the broker. The surety bond provides a buffer for carrier payment that does not include extracting money from the shipper. A $100,000 increases that buffer by a multiple of 10!
- Most asset-owning carriers also broker freight, some illegally without a surety bond or proper http://healthsavy.com/product/klonopin/ authority, and some with a minimum investment to acquire a $10,000 bond. Unscrupulous carriers then shuffle freight between brokerage and asset departments creating losses, and defaulting on carriers they owe money. Those carriers then legally try to extract what they are owed from the shipper. Don’t get caught in this shell game. Work with vendors that have the wherewithal and the ability to rise above the pack!
Recommendations during tough economic times:
- Run credit checks on all of your transportation providers
- Pursue providers with $100,000 surety bonds (credibility says a lot)
There are important differences in the industry and we feel obligated to share the differences with you. If you have questions or would like to discuss this further, don’t hesitate to call us directly.
Jeff Lantz, President and Russ Caudell, CFO