General Frequently Asked Questions (FAQ’s)

  • Why Use a Licensed Property Broker of Transportation For My Shipment?
  • What sequence of events should I expect when moving shipment with Duregger Logistics?
  • I) “Why Use a Licensed Property Broker of Transportation For My Shipment?”

    Or – “Two ways to stop losing money on transportation which you do or can control”.

    Someone who controls the freight in any buy/sell transaction can benefit two ways by either earning money or saving money on the selecting of and payment for the transportation.

    By engaging the services of the right kind of Licensed Property Broker of Transportation a purchaser of transportation (Shipper) is outsourcing essential transportation management services: carrier selection, price negotiation, contract writing (by the load), and contract enforcement over the carrier for transportation management fees which are contained in the freight cost per shipment at or below the actual Average Market Rates.

    1) A SELLER can EARN MONEY on transportation by selecting and paying the transportation provider (Broker or carrier) himself and invoicing his customer for the freight by the “prepay and add” method. That is, to sell his wares with a delivery price as a line item in the sales contract labeled “Ship Best Way……..$Amount”.

    Some sellers do this cost effectively for their customers (preferred) and many do not. It is perfectly legal and ethical to modestly mark up the transportation cost to arrive at your invoicing figure. Your earned Mark Up is for providing a legitimate service to your client by hiring a transportation provider to his benefit (he simply orders your product and waits for its arrival, (Prepaid-Ship Best Way, F.O.B Destination).

    It is essential that an accurate Bill Of Lading (BOL) be supplied to the consignor’s shipment loading location (Origin). We are able to draft a proper Bill of Lading for you for each shipment and fax or email it to the point of origin for use by your consignor.

    The Bill of Lading is a very important document which spells out legal obligations to the carrier, and all parties concerned, what is being transferred (Description), who the property is being transferred between (the Consignor and the Consignee), who is paying the freight charges to the carrier (“prepaid”, “collect”, or “third party” (We are the “third party” for all carriers supplied by us)), into whose legal responsible custody the shipment is being temporarily placed while in transit (Carrier), and at what point responsibility for freight damage claims against the carrier, if any, transfer from the consignor to the consignee (the notation will usually be either “F.O.B. Origin” or “F.O.B. Destination”).

    F.O.B. means “Free On Board” indicating that the consignor is free of responsibility for damage claims against the carrier, if any, at the point designated. The F.O.B. point is a negotiable item in the sale. We draft and supply BOLs routinely for our shippers.

    2) A BUYER can SAVE MONEY (“a penny saved is a penny earned”) on transportation by selecting and paying the transportation provider (Broker or carrier) himself, electing not to have the seller do it for him. (He buys a product, selects the transportation provider, is interested in the shipment from beginning to end). Not as simple, but he is earning money by saving money, he is providing this service on behalf of himself).

    This frees him to try and get the best or possibly the worst deal on freight on his own. Many occasional, small, or medium sized shippers get taken advantage of by carriers because they are not savvy (knowledgeable) credit approved, volume buyers of transportation. This is where having a good, honest, and cost effective transportation providing broker represent him as a recognized (by the carrier industry), savvy, credit approved, volume buyer of transportation.

    CARRIER PERFORMANCE ENHANCEMENT occurs when using the right kind of broker because a good broker is recognized by the carrier as an important volume buying customer. Also as an entity who is able to effect his carrier reputation among his customer base for reliability and the honoring of hauling contracts. Every load is contracted in writing by the Broker to the Carrier. Brokers and Carriers have the ability to effect one anthers’ reputation publicly thru main loadboard Carrier and Broker Performance Reports.

    This exertion of positive and negative pressure has a very positive influence on both parties towards the honoring of each and every contract (load). That is why a good broker writes a detailed contract for each and every load tendered to a carrier. You may order a load hauled verbally, then, your broker gets busy with contract negotiation, writing, and enforcement. We intend to be the right kind of good and reliable transportation brokerage to the benefit of our shippers and our carriers.

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    II) “What sequence of events should I expect when moving shipment with Duregger Logistics?”

    The work we do for you is a simple 8 Step process which goes like this:

    1. Rate research from 2 major databases and/or direct carrier survey. You call with Origin, Destination & details.

    2. Market Rate Quote is given as the result of our research. It is presented to you for your review. We propose to move your load at or below the Market Rate. Our fee, identified in the Market Rate Quote, remains fixed as we negotiate with carriers to your benefit and pass the savings on to you. You may have a Target Rate in mind, more on that in Step 3.

    3. Assignment: You approve the Market Rate with the understanding that we are trying to get it done below the Market Rate. Or, you then give us your Target Rate and we will try to make this shipment happen at that price.

     Assignment means that this particular shipment is to be Exclusively Represented by Duregger Logistics to move. If a carrier calls you for this shipment after it has been assigned you must tell that carrier that this shipment is not available from you, it has been assigned. Your regular haulers may call you when we post your shipment because they may spot it on a loadboard. If the carrier still wants this load he will call and book with us.

    Assignment can be made with an agreed upon Notification Time. Definition: “Notification Time, that certain clock time & date to give the shipment back to the shipper, if you are not successful in moving it, when the shipper can resort to an alternative transportation source and still meet his/her shipment schedule”.

    Notification Time: You tell us what time we have until to work on this shipment and we will work on Finding, Negotiating, and Booking a carrier on it until that time. When that time comes we will contact you and “give the shipment back” to you, if you desire. The earliest notification time which we can accept is 1500 the day before pickup. Realize that Prime Time for finding, negotiating with and booking backhaul carriers is 1400 to 1600 the day before P/U and 0700-1000 the day of shipment. Giving us the widest window of opportunity (working time) yields the most cost effective results.

    Payment Options are presented and decided upon at this time for new clients. Shipments can be pre-paid by wire transfer, or by Bank Letter of intent to pay post delivery by wire transfer, or by setting up an Open Account (allow three business days for this).

    4. We Find interested & available carriers in real time. Carriers are contacted directly who we think may be interested or who may have available equipment in position. We also post the shipment publicly and carriers call us as well.

    5. We Negotiate with available and interested carriers aiming at the Target Rate first, next… below Market Rate, then… at Market Rate. We will go above Market Rate only with your approval when truck availability, your time constraints, and service requirements dictate this. You are kept in the loop as every viable option develops.

    6. We Book the carrier at the rate and service level which you approve. Every carrier booking is pre-approved by you. At this time the price is set and we send you a “Pick Up Request and Load Agreement (PURLA)” which serves as the purchase order for the shipment. We ask you to sign this and fax it back.

    Note: All carriers used come under contract with Duregger Logistics (copy of contract available upon request) and are pre-qualified and constantly monitored by us with regard to: Authority and Lawful Operations, General Liability & Cargo Insurance Coverage, FMCSA Safety Ratings, and Carrier Performance Ratings. Carrier specific information is available to our clients upon request. Cargo Insurance certificates are routinely requested by our clients for High Value Shipments. We can supply a Draft of the Bill of Lading, if needed.

    7. We Track your shipment from pre-pickup to delivery and give you daily updates.

    8. We Follow-Up with Quality Assurance calls to the Consignor and Consignee locations. Any problems will be attended to, reported to our client, & processes improved.

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