Learn the Fundamentals of Freight Shipping

Aman Singh
22 hours ago
4 min read

Updated: 5 minutes ago

Have you ever wondered how the latest mobile phones in your hand, the new sofa inside your home, and the raw materials of the factory reach you from far away? This is all made possible by freight shipping. It is a system that plays an important role in running businesses and delivering electronics, furniture, packaged food, raw materials, and industrial equipment to warehouses, manufacturers, and customers. This system works not only in the USA but all over the world.

If you are new to the term logistics or you know the term but do not know much about it, then the terms FTL, LTL, BOL, and freight brokers can seem confusing. If that’s the case, fret not, we are here to clear all your doubts and guide you step by step on how freight shipping works. Augustus Transport and brokerage helps expert shippers to streamline the movement of their cargo by coordinating with trusted carriers and managing pickup and delivery. Let’s delve into this topic in detail and learn about it.

What is Freight Shipping?

Freight Shipping simply means transporting commercial goods in bulk from one place to another. This is done through:

Trucks (Road Freight/ Truckload)-
Ships (Ocean Freight)
Rail Freight
Air Freight

These methods are for big shipments that cannot be handled by regular couriers. For example: 20 pallets of furniture from London to Texas, or from Texas to New Jersey– this would be done through freight shipping.

Step-by-Step Guide to Freight Shipping

Let’s break this so that you can become an expert as well:

Step 1: The Goods are Sent to the Shipper

Everything starts when the shipper (distributor or factory) wants to send goods.

From Pickup → Delivery Location

Example: Pickup from a New Jersey supplier and deliver to a Texas warehouse.

Step 2: Share all the shipments Details

For the second step, you have to share all these details:

Addresses
Freight Type (pallets, machines)
Pallets Count
Weight, dimensions
Special needs (fragile, temp control)
Timeline

These are the factors that affect costs, truck type, and route.

Step 3: Book a Broker or Carrier

There are 2 options in this step: Direct carrier and Freight Broker

Direct Carrier:

Meaning: You directly book through a truck owner company.

Benefits: The benefits of booking a Direct carrier are:

Comparatively straightforward
Direct communication with the trucking company
Sometimes the pickup would be faster.

Consider: These are the things that you have to consider:

You will have to negotiate on your own with the trucking company/shipment company.
You have to check the reliability and availability of the carrier yourself.
You will have to manage, track, and document on your own.

Freight Broker:

Example: Brokers like us (Augustus brokerage) are the ones who find the right carrier for you and fix the pricing.

Benefits:

You don’t have to find fast and reliable carriers on your own; brokers like us already have connections in the market.
It's easier to negotiate, as professional brokers like us compare multiple carriers.
Tasks such as setting appointments, managing pickup/delivery windows, and fixing issues related to tracking can be done from one place.

Step 4: Get a Quote & Confirm Your Booking

The price depends on:

Distance
Weight
Trailer (dry van/ reefer)
Fuel
Demand

Approve this, and then your shipment is booked.

Step 5: The Shipment is Dispached and Pickup is Ready

The carrier driver assigns the truck, and then the broker coordinates with both parties involved to streamline operations.

Step 6: Day of Pickup

On the day of pickup, the goods will be loaded, and you will provide them with the BOL (Bill of Loading). The BOL is basically the proof of shipment, which is taken by the driver.

Step 7: Tracking in Transit

Here, the updates are provided along the road. With GPS, you get ETA (Estimated Time of Arrival) and any delays. The broker tracks your shipment, allowing you to relax.

Step 8: Time of Delivery

Unload your shipment, inspect it, and sign your POD (Proof of Delivery).

Step 9: Payment, and then it’s done

Receive the invoice, verify your shipment, and pay for it. This is how the shipment is closed.

Types of Freight: Which One to Choose?

FTL (Full Truckload):

The whole truck is used for your load. It is fast and ideal for 10-26 pallets. If your shipment is large and you want a dedicated space, FTL would be the best option.

LTL (Less Than Truckload):

These share space and are comparatively more cost-effective. They are more suitable and ideal for 1-6 pallets. If the weight and volume of your goods are low and you want cost savings, then LTL is perfect.

Reefer:

Do you need a temperature-controlled shipment? This is essential for and ideal for food, pharma, or temperature-sensitive goods. It maintains the temperature to preserve quality.

Flatbed:

For oversized and heavy items like steel beams, machinery, or long items, this is the best option. With this, you get flexibility with height/length restrictions, but for that, it is important to secure the load.

What are the Must-Know Documents in Freight Shipment?

It is very important to know the documents you need for freight shipment. Without these documents, things can get really challenging:

BOL (Bill of Loading):

This is the contract of shipment and includes the details of shipment. It is important for authorizing the carrier and serves as proof of goods.

Rate confirmation:

This is the document for the price agreement that was decided between you and the broker/carrier.

POD (Proof of Delivery)

This is a document that proves that the delivery has been made. It is crucial for settlement.

Invoice:

This is the document that breaks down the charges and is essential for payments.

This is all you need to know about Freight Shipment. Whether it's FTL, LTL, reefer, or flatbed, Augustus Transport and Augustus Brokerage will be there as a trusted partner for you, which will make every step easy for you. We coordinate from BOL to POD so that your cargo is safe and reaches the warehouse on time, without any hassle.

Now you know most of what you need about freight shipment, so do not hesitate and book Augustus Transport for your next shipment.