Why You Should Start a Brokerage Within an Asset-Based Company
Contact: Neil Humphrey, 703-299-5717
For Immediate Release
Alexandria, VA (June 18, 2019) – Transportation Intermediaries Association (TIA) released the highly anticipated whitepaper outlining “Why You Should Start a Brokerage Within an Asset-Based Company.”
Starting a brokerage from an asset-based company comes with challenges; however, the added value of knowing all aspects of the logistics process can become an integral part of daily operations. This whitepaper provides a strategic blueprint and resources for asset-based companies to start and grow a brokerage.
“The opportunities in the market are ripe for companies of any size”, stated Robert Voltmann, TIA’s President and CEO. Logistics and supply chain research and consulting firm Armstrong & Associates estimates that net revenues for U.S.-based 3PLs grew by five percent in 2017 to hit $77.1 billion, and gross revenues rose 10.5 percent to reach $184.3 million. The firm predicted revenue growth in 2018 would continue at a similar rate in 2019.
In order for asset-based companies to advance and be successful, an analysis of one’s processes and strategies may need to be refocused and refined. Alec Gizzi, CTB, Executive Vice President of JBS Logistics & Warehousing, Inc, put it simply, “It is very difficult to get into this market today without some type of service that makes you a little bit unique.”
To stay ahead of the curve and maximize growth, asset-based logistics companies will need to pool their talent, capital and technology resources and operate at scale. This paper covers important considerations of legal, business and technology strategies to accelerate success. It also focuses on how the people, processes and technology of logistics are also different from trucking. The two sides of a business complement and contrast each other. To be successful as an asset-based logistics provider, a company will require both sides to work together and independently.
The information given in the Asset Based Whitepaper, along with taking the next steps in programs such as TIA’s New Broker Course or Certified Broker Course, culminate to accelerate a brokerage’s path to successfully stand out.
The Transportation Intermediaries Association (TIA) is the professional organization of the $186 billion third-party logistics industry. TIA is the only organization exclusively representing transportation intermediaries of all disciplines, doing business in domestic and international commerce. TIA is the voice of the 3PL industry to shippers, carriers, government officials and international organizations. TIA is the United States member of the International Federation of Freight Forwarder Associations, FIATA.