What is a broker carrier agreement?
A broker carrier agreement, also known as simply a carrier agreement, or sometimes a carrier packet, is a legal contract between a freight broker and a carrier laying out the terms of transport for goods or materials.
Does the broker pay the carrier?
When the broker pays the invoice, the factoring company pays the carrier the balance after deducting a fee for their services. If a broker doesn't pay or is slow to pay, the factoring company works with you and your customer to collect the payment.