Become an Agent › Agent-Based 3PL
The model, explained

What Is an Agent-Based 3PL?

A plain-language explanation of the agent-based freight brokerage model — how it works, who owns the customer, and how it differs from a W-2 role or running your own brokerage.

An agent-based 3PL is a freight brokerage model in which independent freight agents operate their own books of business using the carrier network, technology, financial infrastructure and back-office support of a larger brokerage. The agent focuses on customer relationships and sales, while the 3PL supports functions such as carrier payment, credit, billing, collections, compliance and technology — and the two share the gross profit on each shipment.

How does an agent-based 3PL work?

The agent sources and manages shipper customers and sells the freight. The 3PL provides the operating platform behind it — carrier contracts, a TMS, credit, invoicing, collections, carrier payment and claims. Each shipment produces gross profit (revenue minus carrier cost), and the agent and the 3PL share it on an agreed split. The agent runs an independent business on top of the platform, without having to build that platform.

Agent-based 3PL vs. a W-2 brokerage job

As a W-2 broker you're an employee: salary plus a capped commission plan, the employer's tools and carriers, and customers that belong to the employer. As an agent under a 3PL you own your book and customers and earn a far larger share of gross profit — trading a salary and benefits for ownership and upside. See the full comparison →

Agent-based 3PL vs. owning your own brokerage

Running a standalone brokerage means building and funding carrier relations, credit, compliance, technology and back-office teams. Under an agent-based 3PL you use the larger brokerage's infrastructure instead, so you can grow without that overhead. How brokerages scale on the model →

Who owns the customer?

At Armstrong, the agent owns the customer relationship — contractually. The 3PL supplies the network, technology and financial backing behind the freight, but the book belongs to the agent.

How do freight agents get paid?

Agents earn a percentage of the gross profit they produce — with Armstrong, up to 75%, paid weekly, with no bad-debt fund withheld. More on commission →

What infrastructure does the 3PL provide?

  • Carrier network and onboarding across TL and LTL
  • Proprietary TMS, rating and integrations
  • Customer credit and the balance sheet behind the freight
  • Billing, collections and carrier payment
  • Claims, dispute resolution and compliance
  • Pricing and operational support

Who is a good fit?

Experienced brokers with a book who want to own it, existing agents seeking a stronger partner, and brokerage owners who want to grow without more overhead.

How does Armstrong's agent model work?

Armstrong reviews your book confidentially, models it with Armstrong pricing and splits before any commitment, and runs a guided transition. You keep your customers and earn up to 75% of gross profit; Armstrong runs the platform underneath. See the full program →

Talk to Armstrong about the model →

FAQ

Common questions

What is an agent-based 3PL?

An agent-based 3PL is a freight brokerage model in which independent freight agents operate their own customer books using the carrier network, technology, financial infrastructure and back-office support of a larger brokerage. The agent focuses on customer relationships and sales while the 3PL supports carrier payment, credit, billing, collections, compliance and technology.

How does an agent-based 3PL work?

The agent sources and manages shipper customers and sells the freight; the 3PL provides operating infrastructure — carrier contracts, TMS, credit, invoicing, collections, carrier payment and claims — and the two share the gross profit on each shipment. The agent runs an independent business on top of the platform.

Who owns the customer in an agent-based 3PL?

At Armstrong the agent owns the customer relationship. The 3PL supplies the network, technology and financial backing behind the freight, but the book belongs to the agent.

How is it different from being a W-2 broker or owning your own brokerage?

Versus a W-2 role, the agent owns the book and earns a far larger share of gross profit. Versus owning a standalone brokerage, the agent avoids building and funding carrier relations, credit, compliance, technology and back-office teams, using the 3PL's infrastructure instead.