Are you an exporter looking forward to getting a freight forwarder from China to save your time and money? Well, you are in the right spot. This article covers various aspects of how to deal with a freight forwarder and some valuable tips that every entrepreneur must know.
A perfect freight forwarder business partner can greatly benefit your business in terms of saving time and money. However, it is not as simple as it seems to be. Dealing with freight forwarders is very complex if you are at the beginning stage of your business.
Besides considering other important aspects while dealing with a freight forwarder, one of the most important things is maintaining an efficient working relationship. Read this article thoroughly to learn what to consider while dealing with a freight forwarder.
5 Tips You Must Know For Using Freight Forwarding
A freight forwarder is a third-party agent who serves as a bridge between your company and logistics companies. They serve to help you with the exports of your company products outside the country. Here are five important tips you must know for using freight forwarding.
1. Your Priorities
Knowing your priorities and goals is the most important thing to consider in order to succeed in life. You must know the primary reason for using freight forwarding services. Your goals play a crucial role in determining the type of freight forwarder you should get.
Most entrepreneurs get freight forwarding services to save time. This spares them time to focus on other important business matters that might help them grow. Others might look forward to saving money as most freight forwarders offer great packages at fair costs.
Discussing your goals with your freight forwarder helps him meet your requirements by delivering the right services. Moreover, it also strengthens your relationship with the freight forwarder, which may positively impact your business in the long run.
2. Responsibilities of The Forwarder
It is crucial to know the responsibilities of your freight forwarder if you don’t want nasty surprises in the later part of your partnership. Before signing the contract, read the terms of service carefully and clear all your doubts regarding your partner’s responsibilities.
You should know who will be responsible for paying transportation taxes, duties, and other charges. Moreover, you should also know about any insurance offered by the freight forwarder or the person responsible for import and export documentation.
In short, the contract should clearly mention the responsibilities of the freight forwarder. If you think that your freight forwarder is offering packages at very low costs, you should check his offers carefully. It is better that you ask him questions to clear up any ambiguities.
3. Global Connections And The Accreditations
Many young entrepreneurs face problems while looking for freight forwarders because they often run into inexperienced people. It is because freight forwarding is an unregulated industry with no requirements. Anyone in the market can claim to be a freight forwarder.
The simplest way to assess your freight forwarder’s services is to look for his accreditations and global partners. A perfect freight forwarder must have a wide network of logistic partners throughout the world along all the important routes.
Freight forwarders with international accreditations are trustworthy as global brands and markets already assess them. Such freight forwarders have a thorough experience as it takes a lot of hard work and consistency to earn international accreditations.
4. Your Freight Forwarder’s Resources
You should thoroughly observe your freight forwarder’s resources to know how useful they can be to boost your business. A well-educated freight forwarder who knows how to use technology to manage his work and deal with clients is considered to be the perfect one.
A freight forwarder must possess a strong network of business partners at every major route and market throughout the world. A freight forwarder with an efficient transport network can provide you with cost-effective logistics services with timely deliveries.
Besides, a freight forwarder should possess the most important resources, warehousing, and distribution facilities. Ensure that your freight forwarder has adequate storage space, distribution networks, and inventory management systems across the globe.
5. Consider The Add-on Services
You should know exactly what your freight forwarder is offering. Some freight forwarders offer a great bundle of services that might include transportation across all three possible routes, i.e., land, air, and sea. Others may often have precise location deliveries.
Moreover, some freight forwarders also offer warehousing and transportation in all major cities across the globe. Expert freight forwarders have proper distribution networks and inventory management systems that ensure fast deliveries at reasonable costs.
With advancements in the transport sector, most logistics companies are using electric trucks. Ensure that your freight forwarder’s logistics company has efficient charging stations along important routes so your clients may get timely deliveries.
Final Words
Adding freight forwarders to your company’s employee list is a great way to speed up your growth. Remember that “Your growth is your freight forwarder’s growth and vice versa.” A perfect working relationship with your freight forwarder may prove very beneficial for you.
This was all about how to deal with a freight forwarder and what things to consider before signing a contract with a freight forwarder. A freight forwarder is an excellent option, but it may also affect your business negatively if you get the wrong person. Best of luck.
