How Does Freight Shipping Work?

By Augustus Team

Jan 21, 2025

Freight shipping is what keeps businesses running across the USA and worldwide. Whether it’s electronics, furniture, packaged food, raw materials, or industrial equipment—freight shipping helps move these goods from manufacturers to warehouses, and from warehouses to customers.

If you’re new to logistics, the freight process may sound complicated due to terms like FTL, LTL, BOL, freight brokers, dispatching, carriers, and more.

But don’t worry—this guide will explain how freight shipping works in simple human language, step-by-step.

At Augustus Transport, we help shippers understand freight and move cargo smoothly by coordinating with trusted carriers and managing communication from pickup to delivery.

What Is Freight Shipping?

Freight shipping means transporting commercial goods in bulk from one place to another using:

• 🚚 Trucks (Road Freight / Truckload Freight)

• 🚢 Ships (Ocean Freight)

• 🚆 Rail Freight

• ✈️ Air Freight

  
  

Freight shipping is used for big shipments, usually too large for regular courier services.

How Freight Shipping Works (Step-by-Step)

Let’s break it down clearly.

Step 1: The Shipper Needs to Move Goods

It begins when a shipper (manufacturer, distributor, business owner, etc.) needs to send goods from:

📍 Pickup Location ➝ 📍 Delivery Location

Example:A supplier in New Jersey needs to ship pallets to a warehouse in Texas.

Step 2: Shipment Details Are Shared

To move freight, the shipper must share details such as:

• Pickup and delivery addresses

• Freight type (boxes, pallets, machinery, etc.)

• Weight and dimensions

• Number of pallets

• Special requirements (fragile, hazmat, temperature control)

• Pickup/delivery timeline

These details are crucial because they affect:

• the truck type needed

• the route planning

• the final shipping cost

Step 3: Broker or Carrier Arranges Transportation

Now there are two main ways to book freight:

Option 1: Book Directly With a Carrier

A carrier is a trucking company that owns trucks and drivers.

Option 2: Use a Freight Broker (Most Common Choice)

A freight broker connects shippers with the right carrier.

This is exactly what Augustus Transport does—our job is to find reliable carriers, secure competitive pricing, and make sure your freight moves safely and on schedule.

Step 4: Quote & Booking Confirmation

The freight price depends on several factors:

• Distance (miles)

• Freight weight and size

• Trailer type (dry van, reefer, flatbed)

• Fuel prices

• Market demand (busy routes cost more)

• Urgency (expedited loads cost more)

  
  

After approval, the load is officially booked.

Step 6: Pickup at the Origin

Once booked, the carrier assigns:

• A driver

• A truck

• A trailer

The driver receives dispatch details and pickup appointment.

A freight broker like Augustus Transport makes this process smooth by coordinating everything between shipper, warehouse, and carrier.

Step 6: Pickup at the Origin

On the pickup day:

1. Freight is loaded onto the trailer

2. The shipper provides documents (mainly the BOL – Bill of Lading)

3. Driver confirms pickup

4. Shipment starts moving

BOL is one of the most important freight documents because it’s proof of shipment and details what is being transported.

Step 7: Freight in Transit (Tracking & Communication)

Once the truck is on the road, shipment updates are shared:

• Location tracking

• Estimated delivery time (ETA)

• Delay updates (weather, traffic, breakdowns)

• Appointment changes

A big advantage of working with a broker is that you don’t have to chase drivers—your broker handles it.

At Augustus Transport, we stay in touch with carriers and provide consistent updates to keep the process stress-free for shippers.

Step 8: Delivery at the Destination

At delivery:

• Freight is unloaded

• Receiver checks condition & quantity

• Paperwork is signed

  
  

This usually includes: POD – Proof of Delivery

Step 9: Paperwork & Payment

Finally:

• Freight invoice is generated

• Delivery documents are verified

• Payment process is completed

That’s the full freight shipping cycle—from booking to delivery.

Types of Freight Shipping (Simple Explanation)

🚛 1) FTL (Full Truckload)

• One full truck for one shipment

• Faster delivery

• Less handling

Best for: 10–26 pallets or heavy loads

📦 2) LTL (Less Than Truckload)

• Shipment shares space with other loads

• More affordable for smaller freight

• May take longer due to multiple stops

✅ Best for: 1–6 pallets

❄️ 3) Reefer Freight

• Temperature-controlled shipping

• Used for food, medicine, and perishables

🏗️ 4) Flatbed Freight

Used for:

• Construction materials

• Steel, machinery

• Oversized cargo

Important Freight Shipping Documents

Here are the most common documents:

• BOL (Bill of Lading) – contract + shipment details

• Rate Confirmation – agreement between broker and carrier

• POD (Proof of Delivery) – delivery confirmation

• Invoice – billing and payment record

Why Many Businesses Work With Freight Brokers

Freight shipping has many moving parts. A broker helps simplify it.

A freight broker:

• finds the right carrier fast

• ensures competitive market pricing

• coordinates pickup and delivery appointments

• tracks the load

• resolves delays and issues quickly

This is why companies prefer working with trusted freight brokers like Augustus Transport for reliable shipping support.

 Key Learnings (Quick Summary)

Here’s what you learned:

• Freight shipping is bulk transport of goods using trucks/ship/train/air

• The process includes booking → dispatch → pickup → transit → delivery

• Documents like BOL and POD are essential

• LTL is cost-effective for small loads, FTL is faster for big loads

• Freight brokers like Augustus Transport make shipping easier and smoother