What is the % a freight foward look per shipment in profit? I currently export and import from the USA to UK and I really start to enjoy this business.
Hi Raphael, sorry for the delay in replying. There's really no fixed percentage of profit as such. There are variables when it comes to calculating profit such as, what the company fixed costs are, what the market will bare (i.e. competitor rates), any discounted rates that a freight forwarder may have with a shipping line or airline, taxes etc. When all of these factors are understood, you'll be able to calculate the profit that you need to make in order for it to be worthwhile.
Good day Alan, if I incorporate a Freight Forwarder in the UK, do I need a license or some kind of surety bond like in the US? No NVOCC, no printing house BLs...I just want to negotiate better terms with ocean carriers. Thanks sir!
Hi MAtogabke, No you do not have to register in the UK to become a Freight Forwarder unlike the USA. However you need to know ALL aspects of International trade, documentation, freight rates Insurance, Export Packing, Letters of Credit. The list and knowledge required to be successful is a very long list. To negotiate competitive rates with a shipping/Air line you have to registered as a freight forwarder. otherwise you cannot get competitive rates or Freight forwarders discounts I strongly suggest that you study our Import/export course which among many subjects discusses freight rates for air and sea and freight calculations.
Hello Mr Allen, Thank you so much for your videos and it is like my reference book and I am in a process of open my new freight forwarder and I would love to ask how we can know which shipping lines are in conference and which on them are non conference?
Hi Abdul, thanks for the question. The two easiest ways to find out if a shipping line is conference or non conference is: Check their website: Many shipping companies will list their partnerships and affiliations on their website, including any conference lines they belong to. Look for a section on the website about the company's history, services, or partnerships. Contact the shipping company: You can reach out to the shipping company directly and ask if they are part of a conference line or not. Most shipping companies have customer service representatives who can assist you with your inquiry. Hope this helps.
It's good to see the overall pictures for the shipping cost. Thanks again Allan.
You're very welcome and I'm glad you enjoyed.
Good day Alan, nice video just started working as a Freight Fowarder 6 months ago very helpful information to get started!
Hi Guillem, thanks for your comment! I’m glad these videos have helped you! All the best for the future for you.
Thanks Alan, valuable lesson and still some of us learning from your videos.
I’m so glad to hear you found the video helpful, thanks for your comment.
What is the % a freight foward look per shipment in profit? I currently export and import from the USA to UK and I really start to enjoy this business.
Hi Raphael, sorry for the delay in replying. There's really no fixed percentage of profit as such. There are variables when it comes to calculating profit such as, what the company fixed costs are, what the market will bare (i.e. competitor rates), any discounted rates that a freight forwarder may have with a shipping line or airline, taxes etc. When all of these factors are understood, you'll be able to calculate the profit that you need to make in order for it to be worthwhile.
Good day Alan, if I incorporate a Freight Forwarder in the UK, do I need a license or some kind of surety bond like in the US? No NVOCC, no printing house BLs...I just want to negotiate better terms with ocean carriers.
Thanks sir!
Hi MAtogabke, No you do not have to register in the UK to become a Freight Forwarder unlike the USA.
However you need to know ALL aspects of International trade, documentation, freight rates Insurance, Export Packing, Letters of Credit.
The list and knowledge required to be successful is a very long list.
To negotiate competitive rates with a shipping/Air line you have to registered as a freight forwarder. otherwise you cannot get competitive rates or Freight forwarders discounts
I strongly suggest that you study our Import/export course which among many subjects discusses freight rates for air and sea and freight calculations.
Thank you so much for sharing your precious knowledge with us.
My pleasure Ravinder, I hope it helped.
Hello Mr Allen, Thank you so much for your videos and it is like my reference book and I am in a process of open my new freight forwarder and I would love to ask how we can know which shipping lines are in conference and which on them are non conference?
Hi Abdul, thanks for the question. The two easiest ways to find out if a shipping line is conference or non conference is:
Check their website: Many shipping companies will list their partnerships and affiliations on their website, including any conference lines they belong to. Look for a section on the website about the company's history, services, or partnerships.
Contact the shipping company: You can reach out to the shipping company directly and ask if they are part of a conference line or not. Most shipping companies have customer service representatives who can assist you with your inquiry.
Hope this helps.