If you’ve been reading recent freight industry news, you’ve likely seen a number of stories about double brokering and its impact on the supply chain.
The illegal practice of double brokering has increased over the last several months, and these bad actors are giving a bad name to the freight brokering industry. These scams cost the the industry over $100M annually.
But don’t confuse double brokering with co-brokering. Co-brokering is a perfectly legal arrangement that allows brokers to work with other brokers when they need additional resources or assistance – for example, a freight broker may need assistance from someone who specializes in a specific niche or when resources prevent a brokerage from taking on the business.
This infographic outlines the differences between the two.
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