How do I check a freight brokerage’s dispatcher turnover before buying?

Dispatchers carry the relationships in a freight brokerage, so turnover matters more than in many businesses. Request a staff history covering everyone who has held the role. Include start dates, end dates, the accounts they handled and why they left, as the owner understands it. If the list is hard to produce, the business may not track its people closely.

Then check what happened after each departure. Did the carriers and shippers stay? Compare load volumes before and after. A departure that was followed by a drop suggests the customer followed the person, not the company.

Speak to the current team, with the seller’s agreement. Ask what the job is like, how they are paid and whether they have considered leaving. Ask the owner how a new dispatcher is trained and how long it takes before they are working alone. Your lawyer can check whether departing staff signed any agreements about clients, and whether those still apply. Your accountant can compare payroll history with the pattern of turnover you uncover. Compare how long dispatchers stay with how long customers stay. If both are short, the problem may run deeper than one weak hire, and you should ask the owner what has been tried.

Key takeaways

• Get a full staff history with dates, accounts and reasons for leaving.
• Compare load volumes before and after each departure.
• Ask your lawyer whether departing staff signed client agreements.