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Page 1: Who are custom brokers and what do they do

Who Are Custom Brokers and What Do They Do?

Custom brokers act as agents for importers who do not want to go through the common customs

shenanigans. A customs broker can therefore act individually or for a company but in both cases, this

agent will be responsible for conducting business on behalf of their client. In order to operate, a customs

broker needs to be licensed and this is done by the Customs Service to ensure that only legitimate

custom brokerage companies or individuals come in contact with those in the import and export

business.

What is needed is a deep understanding of trade agreements between different countries so that when

businesses want to export and import they will have someone to go to. Customs usually comes with

plenty of regulations and trade requirements and going through it once is hectic enough.

As a customs broker, an individual is responsible for not only managing the regulations, but also

ensuring that goods are transported to their destination. This means that custom brokerage companies

usually work with a transportation company in order to get the goods to their destination. Carriers and

shipping routes are plenty but choosing the right one requires some knowledge of the industry in

relation to the goods being hauled.

During this whole process the broker will have to settle appraisals, exchange rates, shipping routes and

any other duty that may be required of them. When they deal with customs, brokers will have to be

informed about all relevant calculations affecting duty and if any problems arise involving entry of

certain products, they will have to mediate between customs and the client.

This takes a lot of pressure off the client moving the goods because international trade comes with

complexities and dynamics that can interfere with a perfectly good business making it virtually

impossible to make any money. With even the simplest import into the country, there are about 500

pages of regulations that need to be considered so that you do not break any laws and carryout what is

required of you. Brokers know everything there is to know about the industry and will help you through

all the red tape so you can concentrate on other matters.

Scammers also exist in the business so beware of custom brokerage companies which are not accredited

or brokers who are not licensed. Also, in addition to getting your goods past customs, you will need to

Page 2: Who are custom brokers and what do they do

involve another party; transportation company. Sometimes the broker will connect your goods through

a third party to get them to the required destination. Since the company is liable for any damage or loss

of goods, you can be assured that the shipment will reach its destination.

All that is needed to become a customs broker in the US is a high school diploma and a training course

for which you would most certainly be eligible. The information can be obtained online on the United

States Customs and Border Protection website along with a list of the many ports you can work at.

Online courses are convenient and fast so a lot of aspiring custom brokers prefer to take them. A

licensing exam is also required before the port can verify your credibility. You can apply for the

examination online as well for a standard fee, and hope for a notification saying you passed.

When you pass the exam, you can then apply for a custom brokers license and wait to hear from the

Customs and Border Patrol Agency. Jobs are plenty for customs brokers because trade never really dies

out. You can open your own agency or choose to work for one that is already established and has a

guaranteed client base.


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