10 Most Common Freight Broker Documents

April 23, 2025

Freight Broker Documents - Complete guide

10 Most Common Freight Broker Documents

Launching a thriving freight brokerage hinges on your ability to know which documents you need and how to use them effectively. From legally binding agreements to shipment-specific records, mastering this paperwork is crucial for compliance, efficiency, and building strong relationships.

In this article, we’ll highlight the most common documents you need to operate legally and successfully in the freight brokerage industry.

1. Shipper-Broker Agreement

The shipper-broker agreement is the foundational contract that defines the legal and operational relationship between a freight broker and shippers. It clearly outlines the broker’s responsibilities in arranging transportation and establishes mutual expectations for a successful partnership.

It usually includes:

Duration of the contract
Payment terms
Liability and insurance details
Termination conditions
Confidentiality terms

Gaining access to ready-to-use shipper agreements, like the one outlined above, is just one of the benefits of our 90-Day Freight Broker Course. This comprehensive program also features modules covering all the essential aspects you need to successfully launch your brokerage.

2. Broker-Carrier Agreement

A broker-carrier agreement outlines the interaction between freight brokers and carriers. Specifically, it outlines how loads are assigned and handled.

Essential elements of this document include:

The carrier’s responsibilities
Payment rate and timing
Insurance and liability requirements
Safety and compliance expectations
Procedures for claims and damages
Bill of lading requirements

3. Co-Broker Agreement

A co-broker agreement is needed when two freight brokers work together to move a load. This usually happens when one broker has a load from a shipper but doesn’t have the capacity or carrier connections to cover it.

These records include:

Shared responsibilities between the freight brokers
How the revenue is split
Procedures for dispute resolution
Who communicates with the shipper and carrier
Liability and responsibility for issues

4. Load Tender and Confirmation

A load tender is an offer with shipment details that a broker sends to a carrier. If the carrier accepts the load, the load confirmation proves that they accepted the job under the terms stated in the load tender.

These documents include:

Pickup and delivery destination, dates, and times
Freight details (weight, size, type of goods)
Agreed payment rate and terms
Instructions for check-ins, paperwork, and proof of delivery

5. Rate Confirmation

A rate confirmation is a document a broker sends to a carrier after a load is accepted. It confirms the agreed-upon payment rate between the broker and carrier for moving the cargo.

This document covers:

Rate and payment terms
Freight details
Fuel surcharges
Broker and carrier contact information
Accessible fees for detention, layovers, etc.

6. Bill of Lading (BOL)

A bill of lading is a receipt that confirms the carrier has received the goods from the shipper. It also serves as a contract of carriage between the shipper and the carrier.

A proper bill of lading receipt contains:

Details of the shipper, carrier, and consignee
Description of the goods
Special delivery instructions
Payment terms
Signature from relevant parties

7. Invoice

After a load is complete, a carrier or broker will send their bill via an invoice. It lists the total amount owed for the services provided during the transportation process, including extra charges like detention or lumper fees.

This document covers:

Invoice number and date
Pickup and destination address
Payment terms
Load reference and motor carrier (MC) numbers
Itemized service charges (line haul, fuel, detention, etc.)
Payee name, address, and banking details
Remittance instructions
Applicable taxes

8. Broker Authority

Broker authority is the legal permission required to operate as a freight broker in the US. It’s issued by the Federal Motor Carrier Safety Administration (FMCSA) and is often referred to as getting your “MC number.” Without this, a freight broker can’t legally arrange freight shipments.

To apply for an operating authority, you’ll need to:

Pay a $300 application processing fee
Submit the OP-1 application online through the FMCSA’s Unified Registration System (URS)
Get a USDOT Number, if applicable
Secure a $75,000 surety bond or trust fund
Complete a BOC-3 form for designating a process agent

9. Certificate of Insurance (COI)

The COI verifies that a carrier has adequate insurance coverage for potential liabilities. Brokers request COIs before assigning a load to verify that a carrier meets their insurance requirements.

This document typically includes:

Carrier’s name and address
Insurance provider’s name and contact info
Types of coverage (e.g., liability, cargo, auto) and amount
Policy numbers and effective/expiration dates of the policy

10. Carrier Packet

A carrier packet is a collection of documents freight brokers require before doing business with carriers. This packet confirms the carrier’s qualifications and is necessary for regulatory compliance.

It typically includes:

W-9 forms
Certificate of insurance
Copy of operating authority
Carrier profile (contact and equipment info)
Signed broker-carrier agreement
Other licenses, permits, and compliance records

FAQs

1. What does a freight broker need from a carrier?

To set up and assign loads, a freight broker needs these documents from a carrier:

A carrier’s operating authority
Proof of insurance
A signed broker-carrier agreement
A W-9 form from a carrier

2. How long must freight brokers retain their records?

Freight brokers are legally required to keep transaction records for at least three years. These records are crucial for ensuring compliance, supporting audits, and resolving disputes.

3. Why are freight broker documents important?

Freight broker documents are important because they help maintain records for every load. This makes tracking each transaction, from pickup to destination, much easier.

Additionally, proper paperwork is key for due diligence with shippers, carriers, and freight forwarders, and for running a successful freight brokerage.

Final Thoughts

We’ve covered the key documents that freight brokers need, but this isn’t an exhaustive list. Several other contracts and compliance records are also needed to run a successful and legal operation in the transportation industry.

To learn more, check out the 90-Day Freight Broker Course. Our complete guided course teaches everything you need to know about freight transportation, from understanding the paperwork and legal requirements to the documentation you’ll handle while interacting with other players in the trucking industry.

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