A motor carrier operates commercial motor vehicles (CMV’s) to transport property, passengers, or hazardous materials (HAZMAT) and is involved in commerce (transportation related to a business). It could be a company with several power units, or it could be an owner-operator.

Note: CMVs include vehicles with Gross Vehicle Weight Rating (GVWR, which is the prescribed weight limit from the vehicle manufacturer, indicating the total amount the vehicle can weigh to operate safely) or Gross combination weight (GVW, which is the total weight of the truck, any trailers and cargo), of 10,001 pounds or more, whichever is greater.

A broker is the “middle person” between a shipper and a motor carrier. Brokers arrange for the transportation of property or household goods. They don’t transport the property, don’t operate motor vehicles or have drivers, and don’t assume responsibility for the cargo being transported. Hence, they don’t directly engage with it.

A freight forwarder organizes shipments for individuals or corporations. Freight forwarders assemble and consolidate shipments and provide for break-bulk and distribution of shipments. Unlike Brokers, Freight Forwarders assume responsibility for the transportation and may transport the freight itself. Therefore, they are involved directly or indirectly with the cargo.

Note: If you only transport Freight, you are not a Freight Forwarder.

To learn more about entity types, see our video ”How To Identify Entity Types”. Also located on the FMCSA Registration Home Page.