Choosing a freight broker is part due-diligence, part chemistry. The wrong broker can cost you missed appointments, surprise accessorials, or worse — a cargo claim with no recourse. Here’s our checklist.
1. Verify FMCSA Authority
Look up the broker on SAFER. They need active broker authority (look for “Broker of Property” status). If status is “inactive,” “revoked,” or “out of service” — walk away.
2. Confirm $75K BMC-84 Surety Bond
Federal law requires every property broker to maintain a $75,000 surety bond (BMC-84) or trust fund (BMC-85). This is your protection if the broker collects from you and fails to pay the carrier. Ask for the bond company name and policy number.
3. Insurance Verification
Brokers don’t carry cargo insurance themselves — the motor carrier does. But a good broker will require minimum $1M auto liability and $100k cargo from every carrier they dispatch. Ask their threshold; if they don’t have one, that’s a red flag.
4. Years in Business + References
Brokerage is hard. About 50% of new brokerages fold within 5 years. Ask how long they’ve held FMCSA authority, and request 2-3 active customer references in your industry.
5. Carrier Vetting Process
Ask: How do you onboard carriers? What CSA scores disqualify a carrier? Do you check authority, insurance, and operating ratio every load, or just at onboarding? “Every load” is the right answer.
6. Communication & Tech Stack
Modern brokers offer EDI/API integration, real-time GPS tracking (Macropoint, Project44), and same-day BOL/POD delivery. Older brokers still email PDFs and phone-check drivers — that can work, but ask about visibility before you book.
Questions to Ask Skyline
We answer all six questions in writing on day one. Email Sales@skylinetransp.com or call (279) 300-3808 — we’ll send our authority docs, bond letter, carrier vetting checklist, and 3 references on request.