Trucking: Become a Broker, transportation intermediaries association, truck brokerage

Question
Hello Jim:
My neighbor is a truck broker and seems to be doing quite well at it (he has mentioned this twice already) Of course I don't want to ask him how to get into it so that is my question to you.

I am an ex trucker, but always leased to the same company over the years and didn't get into that part of it.

What would you recommend?  Is the capital required large? I am disabled and would work out of my home as my neighbor is doing.

Thank you
Dennis

Answer
Dennis, truck brokerage sounds like a good business to operate from home but it all comes down to contacts.  The internet makes it possible to operate from anywher and develop a following with top notch service.  My only concern is the amount of competition.  Since it's so easy to get started  there are a lot of people chasing the freight and the trucks.  Somehow you need to distinguish your service from all of the others.  There are on-line courses and classroom classes that can teach you the basics.  The investment is in basic office and communications equipment, phon, fax, computer, high speed internet access.  The DOT FMCSA website has the forms to file and explains the legal requiremnts.  http://www.fmcsa.dot.gov/
The Transportation Intermediaries Association (TIA) is the inductry trade association and there website has lots of useful information.  http://www.tianet.org/tia.asp
You may want to tactfully ask your neighbor some questions.  Perhaps if he is doing well and you show an interest you could partner with him fotr a percentage of what you generate.  2 people working under one license as a team should do well as long as you get along.  In this regard it's kind of like real estate where more than one broker can be involved and split the commisssion  In any event it's important to develop a nework early on to be successful.
Best of luck.
JIM