The simple answer to ‘what is a freight forwarding company’ is that it is a third party agent who organises the transportation of goods with the carrier for you, whether it be via road, rail, air or sea (or a combination of these).
So, you may be wondering why as a company you would want to invest additional expenditure in recruiting the services of a freight forwarder to act on your behalf? In truth, the use of a freight forwarder will actually save your company money.
A freight forwarder utilises their contacts with a range of transport providers in order to offer you a range of price and service options. The freight forwarder’s networks and experience means that they are in a position to negotiate lower costs with the transport providers than if you were to ship your goods independently. The freight forwarder will assess the speed and reliability of the providers against the prices received and will work out the most cost effective routes, utilising the most appropriate forms of transport.
Once a decision has been made on what option to go with and your freight has been prepared for shipping, the freight forwarder takes control of transportation responsibilities and manages the coordination between all transportation providers tasked in getting your products to their final destination.
As well as cost savings, there are many other benefits from working with a freight forwarder… If you want to know more join us for our next blog.