Discount Freight Shipping Service Geelong
International freight shipping in Geelong is a complex procedure that requires the services of an international freight forwarder.
A freight forwarder is essentially a company or a person whose duties are to organize shipments of corporations or individuals, and to get large orders from manufacturers to the market or to the final point of distribution.
Freight Shipping Company in Geelong contract carriers to facilitate the shipment of goods. The forwarder himself is not a carrier per se, but is skilled in supply chain management. Basically, these forwarders can be thought of as a travel agency for the cargo industry or as a third party logistics provider.
Australian Freight Shipping Service Geelong
Freight Shipping can be booked for a whole host of carrier types, which include ships, trucks, planes and railroads. Some shipments can use multiple carrier types on route before it reaches its designated destination.
Freight shipping in Geelong calls for very specific documentation as it has to go through multiple custom checks before being allowed to pass through. The forwarder would organize the carriage of your international shipment, along with helping the handling and processing of all the necessary paperwork. International forwarders also make sure that your shipment is arriving at the correct place at the specified time.
An international freight Company in Geelong should traditionally guide you through the complicated process of international shipping, as they are the experts on the international freight shipping process. This way you can understand and aid your shipment and your freight forwarding company can benefit from this information.
A day in the life of a freight forwarder would consist of the following tasks:
The primary task of a Freight Shipping Company at work would be conversations and negotiations with clients and warehouses that they deal with worldwide. This is because they need to gather information for the purpose of passing it on to the concerned parties that they are doing business with or need to report to as authorities. These would include an SSL – Steam Ship Line, the United States Customs or they might even be the customer themselves.
International Discount Freight Shipping in Australia
Speaking of accounting and terms that are related to export import business; even if you have a bookkeeper or an accountant that will take a good care of your books, there are some things and terms that you should know. Before starting to talk about terms, I want to tell you mt story. When my husband and I just started this business, we had no experience in this field at all. We even didn't have any experience in running any kind of business, so all the financial and non-financial terms were new for us. When we first time went to talk to a custom broker I thought he was speaking in some different language with us. Even the word freight sounded very weird to me, "Why wouldn't you call that shipping??" I though. So, I know your pain when it comes to business slang.
FOB destination - title of the goods passes from a seller to a buyer AT destination. That means that seller is responsible for loss or damage of goods until shipment is delivered to a buyer. For example, you bought a car from Germany with FOB destination terms. In this case if anything happens to a car while it's been shipped, you have NO responsibilities for that, and you will not have to pay for any damage or loss of the car. You even don't have to buy the car when it arrives, if it is not in the acceptable condition. All expenses are handled by the seller.
Freight out (Transportation out) - the terms to record the transportation costs or delivery expenses, when the seller is responsible for delivery (FOB destination). (The seller will record the transportation cost as Freight-Out, Transportation-Out, or Delivery Expense.)
FOB shipping point:
FOB shipping point (FOB origin) - title of goods passes from a seller to a buyer at the seller's shipping doc. That meant that a buyer is has to pay for the delivery. Basically, If you bought a car with FOB shipping point or FOB origin terms, you are the one who is responsible for delivery and damage or loss of the car. If the car arrives in a poor condition because of an accident that happened WHILE the car was shipped, you cannot ask for money back.
- Destination Freight Prepaid - the seller pays and takes all the freight charges and. (Pretty much the same as FOB destination)
- Destination freight Prepaid and Charged Back - The seller pays the freight charges, but charges them back on the buyers invoice. (For instance, when you buy something from Amazon.com, they usually include the price of the shipment in the receipt. That means they pay for shipment, but they charge you back for that.)
- Destination Freight Collect - The buyer pays and takes all the freight charges. (However, the buyer pays all expenses, just when the car arrives to the destination.)
- Destination Freight Collect and Allowed - the buyer pays the freight charges, but the seller takes the charges in the invoice. (For example, you bought a car that cost you $5,000 and you paid for shipment $1000. Total: $6000. When the car arrives and you receive the invoice from the company that sold you the car, you see that they charge you just $4000, because they made an allowance of $1000 for shipment.)
Freight in (Transportation in) - the terms to record the transportation costs or delivery expenses when the buyer is responsible for delivery (FOB shipping point, FOB origin) (The buyer will record this cost as Freight-In or Transportation-In.)
Australian Freight Shipping Service Geelong Australia
Selecting or finding a freight broker or transportation carrier is one of the most critical decisions you will make in your business.
Why? Because if your orders are not delivered on-time and in one piece or without damage you will have likely lost a customer. Like it or not freight shipping services can make or break your company and they are an extension of your business.
The trucking and transportation industry is huge. On a typical day in the USA, about 43 million tons of goods, valued at about $29 billion, moved nearly 12 billion ton-miles on the nation's interconnected transportation network. These domestic numbers are according to the Bureau of Transportation Statistics and give you a simple snapshot of the scope or importance of this sector. It is staggering how crucial this business is when it comes to moving our goods and it can literally cripple a nation if it is shutdown for any length of time.
First lets define freight shipping services, freight broker and some other terms used in the shipping industry.
- Truckload: This is where the amount of cargo typically fills the truck. The owner of the goods is paying the cost for a full load to go from point A to point B.
- Consignor: Shipper, person or firm (usually the seller) who delivers a consignment to a carrier for transporting it to a consignee (usually the buyer) named in the transportation documents. Ownership (title) of the goods remains with the consignor until the consignee pays for them in full.
- Consignee: the person to whom merchandise is delivered over to or receiver.
- TDG: Transportation of Dangerous Good. A regulation used to ensure safe delivery and identification of hazardous goods.
- WHMIS: The Workplace Hazardous Materials Information System (WHMIS) is Canada's national hazard communication standard. The key elements of the system are cautionary labelling of containers of WHMIS "controlled products", the provision of material safety data sheets (MSDS) and worker education and training programs.
- Intermodal: Is when your shipment involves more than one mode or form of transportation during it trip from origin to destination. Your shipment might start off on a truck, get loaded on rail then ultimately end up in an ocean carrier or a ship.
- Air Freight Services: Carriage paid for goods transported in aircraft or air cargo.
- Freight Broker: A freight broker is an individual or company that serves as a liaison between another individual or company that needs shipping services and an authorized motor carrier.
- Customs Broker: Assist importers and exporters in meeting Federal requirements governing imports and exports. Brokers submit necessary information and appropriate payments to regulatory bodies behalf of their clients and charge them a fee for this service.
- LTL: Less than Truckload.
- FOB Point: Free on board aka freight on board. This term determines when legal title of goods passes from shipper to buyer. This RFQPro provides a detailed explanation on the importance of FOB Points and how they work.
We have put together some tips we hope will help you make a decision regarding selecting the right freight shipping service for your organization.
- Request routing or coverage areas. Smaller firms interline or join forces with other networks.
- Ask about fleet size and number of employees. Do they own their own trucks, how big is their fleet and do they sub-contract work (independents). This may not matter to you but an actual employee of the company versus and independent contractor is the point we are raising.
- How long they have been in business.
- Request a copy of their Spill response plan.
- Emergency response plan.
- Do they have a safety coordinator on staff. How do they handle training. Get copies of all certifications for handling dangerous goods and proof of driver certifications. If you are shipping toilet paper this may not be on your priority list however if you are moving fuel, chemicals or any other products which could damage the environment much of the above applies.
- Safety Records - Sample of an accident investigation performed in their organization.
- Ask for their damage claim history.
- Copy of their liability insurance. You may wish to request anywhere from $5 - 10 million depending on commodities they ship on your behalf.
- Workers compensation coverage.
These are just a few of the areas you may wish to target in evaluating and selecting your service provider.