Chartering of sea vessels. Organization and technology of chartering ships Freight broker services from Inter Marine Service
FREIGHT BROKER
Broker acting as an intermediary between the shipowner and the charterer when concluding a commission agreement. the broker's right to receive commission and its amount are stipulated in the charter.
One-volume large legal dictionary. 2012
See also the interpretations, synonyms, meanings of the word and what a FREIGHT BROKER is in Russian in dictionaries, encyclopedias and reference books:
- FREIGHT BROKER
- a broker acting as an intermediary between the ship owner and the charterer when concluding a commission agreement. Broker's right to receive commission and its size ... - BROKER
FREIGHT - see FREIGHT ... - BROKER
(eng. broker) - intermediary in the market valuable papers (stock exchange) or on a commodity exchange, performing the functions of buying and selling valuable ... - BROKER in the Dictionary of Financial Terms:
an individual or firm that mediates transactions on the stock, commodity and foreign exchange markets. BROKERS enter into transactions, as a rule, ... - FREIGHT in the Dictionary of Economic Terms:
MARKET - a market in which chartering and tonnage chartering transactions are carried out. Monetary terms of services in F.R. is the carriage price, ... - FREIGHT in the Dictionary of Economic Terms:
ORDER - an order for the chartering of the tonnage issued by the charterer to his broker. The freight order contains all the information required to conclude ... - FREIGHT in the Dictionary of Economic Terms:
CONTRACT - a contract under which the charterer gets at his disposal a vessel for the carriage of goods along a certain route or on a certain ... - FREIGHT in the Dictionary of Economic Terms:
BROKER - a broker who acts as an intermediary between the ship owner and the charterer when concluding a charter agreement. The broker's right to receive commission and its ... - BROKER in the Dictionary of Economic Terms:
CUSTOMS - see CUSTOMS BROKER ... - BROKER in the Dictionary of Economic Terms:
INSURANCE - see INSURANCE ... - BROKER in the Dictionary of Economic Terms:
INVESTMENT - see INVESTMENT BROKER ... - BROKER in the Dictionary of Economic Terms:
DISCOUNT - see DISCOUNT BROKER ... - BROKER in the Dictionary of Economic Terms:
VEXEL - see BILL-BROKER, VEXEL ... - BROKER in the Dictionary of Economic Terms:
EXCHANGE - see EXCHANGE ... - BROKER in the Dictionary of Economic Terms:
(eng broker) - 1) in a broad sense - an intermediary facilitating the completion of various transactions (commercial, | fedit, insurance, freight, etc.) between ... - BROKER
(English broker), an intermediary in the conclusion of various transactions; see also Exchange brokerage ... - BROKER in the Modern Encyclopedic Dictionary:
(English singular broker) (broker), an intermediary (individual or firm) in the conclusion of transactions between buyers and sellers. Acting on behalf of ... - BROKER
[from English broker broker] an intermediary between a buyer and a seller, an insurer and a policyholder, a shipowner and a charterer, usually simultaneously crediting a foreign supplier, ... - BROKER in the Encyclopedic Dictionary:
a, m., odush. An intermediary in the conclusion of transactions on the exchange, specializing in certain types of goods or services. Brokerage - referring to ... - BROKER in the Encyclopedic Dictionary:
BROKEP, -a, m. Agent who mediates in the sale and purchase of securities and goods. Exchange b. * Insurance broker (special) - a company or a separate ... - BROKER in the Big Russian Encyclopedic Dictionary:
BROKER (eng., Singular broker), an intermediary (separate person or company) in the conclusion of transactions between buyers and sellers. Acting on behalf of ... - FREIGHT in the Complete Accentuated Paradigm by Zaliznyak:
freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight, freight. - BROKER in the Dictionary for solving and compiling scanwords.
- BROKER in the New Dictionary of Foreign Words:
(English broker) an intermediary in the conclusion of transactions, specializing in certain types of goods or services (for example, ship chartering, insurance, ... - BROKER in the Dictionary of Foreign Expressions:
[eng. broker] an intermediary in the conclusion of transactions, specializing in certain types of goods or services (eg, chartering of ships, insurance, trade in fur and ... - BROKER in the dictionary of Synonyms of the Russian language:
aircraft broker, agent, bill broker, stockist, ... - FREIGHT
adj. 1) Corresponding by value. with noun: the freight associated with it. 2) Inherent in freight, typical for ... - BROKER in the New Explanatory Dictionary of the Russian Language by Efremova:
m. An intermediary (person or company) in the conclusion of various transactions, acting on behalf of and at the expense of ... - BROKER in the Dictionary of the Russian language Lopatin:
br`oker, ... - FREIGHT in the Complete Spelling Dictionary of the Russian Language.
- BROKER in the Complete Spelling Dictionary of the Russian Language:
broker, ... - FREIGHT in the Spelling Dictionary.
- BROKER in the Spelling Dictionary:
br`oker, ... - FREIGHT in the Explanatory Dictionary of the Russian Language by Ushakov:
freight, freight (sea bargaining). Adj. to freight; cargo. The freight contract is entered into by the charterer with ... - FREIGHT
freight adj. 1) Corresponding by value. with noun: the freight associated with it. 2) Inherent in freight, typical for ... - BROKER in the Explanatory Dictionary of Efremova:
broker m. An intermediary (person or firm) in the conclusion of various transactions, acting on behalf of and at the expense of ... - FREIGHT
- BROKER in the New Dictionary of the Russian Language by Efremova:
m. An intermediary - a person or company - when concluding various transactions on the exchange, specializing in certain types of goods or services, ... - FREIGHT
adj. 1.rel. with noun freight associated with it 2. Inherent in freight, characteristic of ... - BROKER in the Big Modern Explanatory Dictionary of the Russian Language:
m. An intermediary - a person or a company - when concluding transactions for the purchase and sale of goods, securities, etc., acting on behalf of ... - BOTTLES; "PETER BROKER" in the Guinness Book of Records 1998:
Peter Broker from Geeshtacht, Germany owns a collection of 8131 unique beer bottles from 110 countries ... - FREIGHT ORDER in the One-Volume Large Law Dictionary:
- an order for the chartering of the tonnage issued by the charterer to his broker. f.o. contains all the information necessary for the conclusion ... - FREIGHT BROKER in the One-Volume Large Law Dictionary:
- see freight broker ... - FREIGHT ORDER in the Big Legal Dictionary:
- an order for the chartering of the tonnage issued by the charterer to his broker. F.o. contains all the information necessary for the conclusion ... - FREIGHT BROKER in the Big Legal Dictionary:
- see Freight broker ... - FREIGHT MARKET in the Great Soviet Encyclopedia, TSB:
freight market, the sphere of international trade in maritime transport services for the movement of goods and passengers. These services operate in various ... - FREIGHT CONTRACT in the Encyclopedic Dictionary of Brockhaus and Euphron:
has the subject of leasing in the form of fishing, in order to benefit from a sea vessel for the carriage of goods or cargo. The ship ... - FREIGHT EXCHANGE in the One-Volume Large Law Dictionary:
- a permanently operating market for chartered ships; organized according to regional, international, commodity or other characteristics. they concentrate all information about ...
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broker acting as an intermediary between the shipowner and the charterer in the conclusion
charter agreement.
The broker's right to receive commission and its
the size is negotiated in
charter.
Watch value Freight Broker in other dictionaries
Freight- freight, freight (sea bargaining). Adj. to freight; cargo. the contract is concluded between the charterer and the charterer.
Ushakov's Explanatory Dictionary
Broker M.- 1. An intermediary (person or company) in the conclusion of various transactions, acting on behalf and at the expense of clients.
Efremova's Explanatory Dictionary
Freight adj.- 1. Corresponding by value. with noun: the freight associated with it. 2. Inherent to freight, characteristic of it.
Efremova's Explanatory Dictionary
Broker- -a; m. [eng. broker] A firm or person acting as an intermediary in the conclusion of transactions on the exchange, acting on behalf of its clients; broker. Auction, insurance b.
◁........
Explanatory dictionary Kuznetsov
Bill broker- - a person who professionally mediates the sale and purchase of bills of exchange (usually foreign) on currency and stock exchanges.
Legal Dictionary
Exchange Broker- -1) an employee or a representative of a legal entity - a member of an exchange and an exchange intermediary; 2) an independent broker.
Legal Dictionary
Board broker- - a broker with the task of guaranteeing an orderly and competitive market for options Usually appointed from among the members of the exchange for an option to fulfill orders ........
Legal Dictionary
Broker- (English broker) - an intermediary on the securities market (stock exchange) or on the commodity exchange, performing the functions of buying and selling securities or exchange commodities. Usually ........
Legal Dictionary
Broker Trading — Job responsibilities... Conducts civil - legal transactions with various kinds of goods on its own behalf or on behalf of clients on the basis of the concluded with them ........
Legal Dictionary
Broker-trader- a member of a derivatives exchange who conducts transactions both at his own expense and on behalf of clients
Legal Dictionary
Bill Broker- - an intermediary in transactions for the accounting of promissory notes and their rediscounting Most widespread V. b. received in the UK, however, their role is significantly reduced there, because functions ........
Legal Dictionary
Vice Broker- - on the exchange: broker's assistant.
Legal Dictionary
Freight- see Freight.
Explanatory dictionary Kuznetsov
Discount Broker- a brokerage firm offering a minimum of services in securities transactions for its clients (for example, only issuing invoices, without legal and other services), ........
Legal Dictionary
Investment Broker- - a natural or legal person who has the right to perform intermediary operations in the securities market, at the expense of the client and on his behalf.
Legal Dictionary
Marine Broker- - see Maritime mediation.
Legal Dictionary
Stock broker- (English, stock broker) - a person acting on his own behalf, selling shares or stocks of his clients.
Legal Dictionary
Insurance Broker- - legal or individual duly registered as an entrepreneur carrying out insurance intermediation ........
Legal Dictionary
Customs Broker- - an intermediary who has the right on his own behalf to perform any operations on customs clearance and perform other intermediary functions in the field of customs ........
Legal Dictionary
Customs Broker (intermediary)- - an enterprise created in accordance with the legislation of the Russian Federation, which has the status of a legal entity and received a license from the State Customs Committee of the Russian Federation for the right of customs clearance .........
Legal Dictionary
Freight Broker- - a broker acting as an intermediary between the ship owner and the charterer when concluding a commission agreement. The broker's right to receive commission and its size are stipulated in the charter.
Legal Dictionary
Freight Contract- - a contract under which the charterer gets at his disposal a vessel for the carriage of goods along a certain route or for a certain period; such a contract may ........
Legal Dictionary
Freight order- - an order for the chartering of the tonnage issued by the charterer to his broker. F. o. contains all the information necessary to conclude a transaction.
Legal Dictionary
Freight Market- - the market in which deals on chartering and chartering of tonnage are made. Monetary terms of services in F.R. is the price of transportation, which has two forms: freight ........
Legal Dictionary
Broker, Adam Fomich- - Moscow police chief; genus. about 1762, d. in 1848 Broker's father was engaged in trade in Arkhangelsk, had a large fortune and was famous in the city .........
Big biographical encyclopedia
BROKER- BROKER, -a, m. Agent who mediates in the sale and purchase of securities, goods. Exchange b. * Insurance broker (special) - a company or individual - an intermediary between insurance ........
Ozhegov's Explanatory Dictionary
TECHNIQUE OF FREIGHT OPERATIONS
Tonnage chartering transactions take place on the freight market.
Large long-term contracts are usually concluded as a result of direct negotiations between the shipowner and the charterer, or international trades(international bid). However, most transactions are made through special intermediary firms, ship brokers.
They differ in the field of activity freight brokers, liner booking agents and ship brokers. Freight brokers specialize in the types of fleet - tankers, bulk carriers, brokers for chartering vessels for the transportation of heavy cargo, brokers working in the market of refrigerated fleet, timber shipping, twin-deck multipurpose vessels, mixed and coastal navigation vessels. However, this division is arbitrary and reflects only the main specialization of this broker.
In relation to the principal - the shipowner or the charterer - differ exclusive broker and market broker.
Exclusive broker has a framework agreement with the principal, who for all its charters first of all turns to this broker, granting him, for a certain period, the exclusive right to find a partner. The broker, however, should keep in mind that the principal constantly monitors the market and in the event that the level of rates or the quality of the broker's services ceases to satisfy him, he can terminate the agreement at any time. The principal ship owner is interested in the vessels operating with the maximum time-charter equivalent, without delays while waiting for the next voyage, so that charterers pay the freight and other payments due to the vessel on time. The principal charterer requires his broker to carry out shipments according to minimum rates market, so that the cargo is exported in accordance with the terms provided for by the sales contract, so that it does not have extra costs - for storing the cargo in the port after the expiration grace period, for extra insurance of cargo due to the use of a vessel over 20-25 years old, in the form of payment of demurrage or dead freight to the shipowner. The exclusive broker must give its principal a forecast of the freight market, which he takes into account when concluding trade contracts (charterer) or when planning a ship repair schedule and delivery of ships on a time charter (ship owner).
Market broker works on one-time orders of various principals (shipowners and charterers) or on proposals received from other brokers.
In practice, there is no strict boundary between the two groups of brokers:
an exclusive broker, in addition to its principal's freight orders, executes individual orders from other clients or brokers. In fact, the only thing that matters is who the broker is in this particular transaction: as an exclusive (direct) or as a market broker.
There are usually two brokers involved in each specific transaction - from the side of the charterer and from the side of the ship owner. Large shipowners and industrial companies (oil, timber, coal) have chartering departments, the so-called house broker, and enter the market independently, without intermediaries.
The broker receives two types of orders from the principal: for a market quote (indication) and a freight order. A market quote is usually requested 3-5 weeks in advance. The principal charterer asks for a quote from the market regarding the rates and conditions of transportation of a specific cargo to a specific country or several countries before signing a trade contract or wishing to choose the best transportation option. When giving such a quote, the broker must explain to the client the dependence of the rates on the size of the consignments; method of transportation and type of packaging of goods (in big bags, on pallets, in separate places, in bulk); transportation season; the total volume and duration of the contract. It is also necessary to draw the client's attention to the fact that the freight rates indicated to him are indicative and may change significantly depending on the state of the conjuncture at the time of entering the market.
The Owner Principal is requesting a quote in order to determine the feasibility and efficiency of chartering his vessel after the completion of the current voyage, time charter or refurbishment.
To prepare a response, it is necessary to ask the shipowner what kind of cargo and in what directions he may be interested, as well as receive information about the ship from him (carrying capacity, capacity, number of decks, age).
Market quotation information (unless it is a detailed study or regular maintenance) is not charged, but in-depth and comprehensive reference can form the basis for a subsequent freight order or even a framework agreement.
The market quotation (indication) is based on the brokerage company's own experience, information it received from partner companies, and for major international transportation routes - from publications in special reference publications and on the Internet - (indications of large brokerage companies, see Appendix No. 10) ...
Freight order- a firm instruction from the principal to the broker to conclude a vessel chartering deal on the terms set out in the order. In order for the broker to negotiate with the partner, the freight order must contain a number of mandatory information.
Charterer's order: type of cargo, its transport characteristics, quantity, margin; whether this shipment is a one-time or part of a long-term contract; ports of loading and unloading; date of cargo readiness for loading; freight work norms; idea of rates and terms of payment for freight; special requirements for the ship (age, availability of cargo equipment, etc.).
Shipowner's order: name of the vessel, its technical and operational characteristics, flag and age of the vessel (for vessels over 20 years old - the period of validity of the Register documents), port or area of release of the vessel for the proposed voyage, date of release of the vessel, list of unwanted cargo and directions of transportation (voyages through the Suez Canal, scrap metal, coal).
There are three groups of freight orders differ in terms of submission deadlines:
Normal position - when the order is issued 2-3 weeks before the deadline for the submission of the vessel for loading (laydays);
Prompt position - the order is issued 3-7 days before the laydays;
Spotprompt position (abbr.spot) - when a ship or cargo is needed immediately.
Obviously, only if the order is issued in a normal position, the broker has enough time to carefully prepare the deal, select a partner, "negotiate" the freight rate. This is especially important if market conditions are unfavorable for the principal (ship owner or charterer).
On the other hand, if the supply of tonnage exceeds demand and the freight rates fall, then the charterer may decide to enter the market in an industrial position. A similar tactic will be followed by a shipowner - if the demand for tonnage and freight rates tend to grow.
Upon receipt of the freight order, the broker proceeds to charter the vessel. This work can be conditionally divided into three stages: preparation of negotiations (prefixing); negotiations (fixing); registration and control of the execution of the transaction (postfixing).
When preparing for negotiations, it is necessary: to obtain from the principal all additional information that may be required in the process of negotiations; choose the time to market (see above); select potential partners and determine the form of the proposal for each of them, determine the sequence of negotiations, the information that should be provided in your initial proposal, and the information that should be obtained from the partner.
When chartering a vessel, it is primarily advisable to offer the cargo to the original shipowners or ship operators. This allows you to speed up the negotiation process, eliminate or reduce to a minimum the size of the brokerage commission, and thereby reduce the freight rate. The next group of possible partners is the exclusive brokers of shipowners, and only the last thing to do is to contact the market brokers.
The offer to each of the possible partners can be of one of two types. A firm offer is an obligation to conclude a deal if the partner communicates by the specified time (date, hour) about his readiness to charter the vessel on the offered terms. Brokerage ethics require that only one firm offer is sent per trade. The charterer can simultaneously send a firm offer to his permanent and most reliable partner one or more simple offers (offers). Sometimes they are called conditional (subject open - "if I am free"). The charterer declares that he will continue negotiations with this ship owner if he is free, that is, he has no obligations to his other partners. The system of “subject open” offers should be used very carefully, since a large number of offers makes this cargo widely known in the market, which reduces the interest in it from the side of shipowners. Accordingly, the rates for such cargo are increasing.
In a firm proposal, the broker provides all the information about the planned transportation that he received from the principal in the freight order and upon additional request, and, in addition, indicates the size of the brokerage and address commission. However, the name of the charterer's company and any data about it are not provided, so that the shipowner cannot conduct further negotiations directly, bypassing the broker. Instead, it is usually given the formula "first class charterer" abbr. FCC), sometimes specified: Russian, foreign, German. The freight rate may not be indicated, in which case the ship owner must offer it in his answer. Or it is offered as a "charterer's rate idea" in order to emphasize its willingness to negotiate. This rate is usually quoted 5-10% below what the charterer is actually willing to accept. This is done because the shipowner is always sure that the originally named idea of the charterer's rate is understated and will strive to increase it in the course of negotiations. If negotiations go through the broker of the ship owner, then by raising the rate, he demonstrates to his principal the ability to protect his interests.
After examining the firm offer of the charterer, the shipowner (or his broker) can give one of three answers: the offer is accepted with the exception of ... (accept / except); the shipowner introduces his counter offer as a basis for negotiations; the charterer's offer is not accepted without a counter-offer, that is, the shipowner considers the negotiation inappropriate. Only in very rare cases is the proposal accepted immediately, without comments (clear).
Medium-sized trading companies and little familiar with the freight market in their freight order to the broker stipulate only those charter conditions that follow from the contract for the sale of goods: the type and amount of cargo, the period of its readiness for shipment, ports of loading and unloading, norms of cargo operations.
In response to such a firm proposal, the shipowner in deadlines sends to the charterer a detailed counter, which contains all the commercial conditions of the charter: ship owner, operator, name, type and technical and operational characteristics of the vessel; the amount of cargo; ports of loading / unloading; the number of berths in each port that the Charterer can use; requirements for them (for example, gsaaaab); leydeys / canceling dates; norms of cargo operations or length of lay time in ports of loading and unloading; the procedure for filing NOR and accounting for lay time (sshex, shex, shinc); accounting for work in excluded periods (for example, uu iuatutc); demurrage and dispatch rates and the procedure for their calculation; freight rate and basic conditions for payment of freight work (for example, FIOS L / S / D); terms and scheme of freight payment - in full or minus the brokerage commission and / or expenses on the disbursement account and / or cash to the captain (cash to Master); payment of taxes and duties on the ship, cargo and freight; agents at ports of loading and unloading; the size of the brokerage commission and the charter pro forma, in accordance with which all other conditions of carriage (charter of the vessel) are determined. The rates of cargo work are indicated according to the offer of the charterer or others offered by the ship owner. The counter also provides the full name of the charterer (if it was in a firm offer) or indicates that it must be reported (Appendix No. 11).
As a rule, a shipowner in his counter overestimates the freight rate by 5-10%. However, if the vessel is in the spot, and the market is low, such a tactic is risky, as it can lead to the fact that the cargo "leaves" to another carrier.
The shipowner (his broker) also sets a response time - by a certain hour of the date specified by him, according to Greenwich Mean Time or another time zone. For urgent deals (prompt, spot-prompt) or in order to put pressure on a partner, the response time can be set in hours after receiving the offer.
If the counterparty to the charterer or his broker is sent by the broker of the ship owner, then in order to preserve his trade secrets he often does not indicate the name of the ship owner's company, limiting himself to the FCO - first class owner formula. For the same reason, he does not indicate the name of the vessel, he only reports the type (for example, "Mirny", "Warnemünde") or is limited by the formula TBN - "to be nominated", that is, it will be reported later.
The firm offer of the charterer and / or counterpart of the shipowner may contain clauses (subject) or abbreviated as sub. The following "subs" are most often used: sub details - subject to agreement on the details of the charter (addendum); stem, i.e. provided that the consignor confirms the readiness of the cargo within the laycan terms; subject board of directory approval - BOD, i.e. subject to confirmation by the management of the company of the ship owner or charterer; clause "subject to confirmation by the captain of the possibility of placing the cargo." Once declared "suject" must then be repeated by this partner during all negotiations, otherwise it will be considered that they are "raised", that is, withdrawn.
An exchange between the charterer and the shipowner of firm, detailed bids completes the first round of negotiations. As a result, his partners clearly stated their initial positions to each other and identified differences between them.
The next stage is "bargaining" of the deal, joint search for a compromise that satisfies both parties. These negotiations can be quite lengthy and are conventionally called accept / except.
Large industrial and commercial companies that are constantly operating in the freight market have their own standard charter conditions, which their broker includes in their entirety in the firm proposal. The shipowner who has received such an offer is limited only to individual comments on the submitted draft charter, i.e. negotiations immediately go to the accept / except stage.
If the shipowner's proposal is in principle acceptable to the charterer, he sends him a reply, which begins with the words:
"The charterer accepts the owner's offer except ..." ("charterers accept owner's offer except"). Charterer's remarks may include:
The requirement to clarify or supplement the information given in the proposal of the shipowner. For example, provide complete details of the ship owner and / or operator of the vessel; indicate the flag of the vessel, its age, the period of validity of the Register documents, where the vessel is insured for the hull and car and for what amount; which P&I club is a member of; dimensions of holds, what kind of cargo was transported by the vessel on the last 2 or 3 voyages, the presence of slings and other special supplies and equipment.
New wording for those conditions that are unacceptable for the charterer.
New conditions not provided for in the shipowner's proposal, which the charterer considers necessary to enter into the contract.
Examples of clauses that, after agreement, are introduced into the charter addendum are given in Appendix 12.
Having received a response from the charterer, the shipowner may, in turn, refuse to accept part of his proposals and send his comments, and this cycle may be repeated several times. The subject of repeated discussion is: freight rate; the form of indicating in the charter the amount of cargo, the laycan date, the rate of cargo operations, etc. Each counter-proposal is given with an indication of the response time, which at this stage, as the disputed positions decrease, is gradually reduced from 3 hours to 1 hour or even to 15-30 minutes ...
Each of the parties at any stage can refuse further negotiations. However, brokerage ethics require you to declare this to the partner and indicate which of its conditions are unacceptable. In this case, the partner can repeat his proposal, replacing the relevant article in it. In case of a positive result of the negotiations, the party that accepts the last offer of the partner in full, without any changes, must notify him of this, for example, as follows "Charterers confirm the fixture". Good brokerage practice recommends that the partner confirms this by responding "reconfirm". After such an answer, the negotiations were actually completed, and the ship was “fixed” for this transportation.
The last stage of the negotiation process is that the charterer or his broker must, as soon as possible, draw up and send to the shipowner (his broker) a full fixture recapitulation (ie, "fixed without the right to amend"), including all the conditions that have been agreed in the process of negotiations. If, at the same time, part of the reservations (subject) remains, then it is necessary to stipulate how long they must be “raised” (“fixture recap on main terms, subject to be lifted w / i 24 hrs) C.O.B. (close of business) LONDON ... DD ... MM ... YY "). Only after raising all the "subs" is the fixation clear (clear fixture), and this date becomes the date of the charter (Appendix No. 13).
It is completely unacceptable if the broker changes, supplements or excludes any conditions when drawing up a "recap" in comparison with the actual results of the negotiations. In this case, the partner will immediately demand to correct the recap, referring to the relevant documents for negotiations (fax, e-mail) indicating the date and number of each document.
Postfixing is a special set of operations that brokers perform after a deal is closed. The broker of the charterer, in full accordance with the recap, prepares the charter and addendum for it; signs two originals of the charter with both partners (Appendix No. 14). With a power of attorney, each of the brokers can sign a charter on behalf of their principal. It is advisable to have signatures and seals of the parties on each page of the charter and addendum to it. Sometimes one of the partners requires the charter to be sealed with a wax seal. It should be noted that when working with a permanent partner, on short sea voyages, the charter may not be drawn up, and the deal is only formalized by fixrecap.
The broker of the shipowner, on his behalf, at the appropriate stages of the vessel's voyage, draws up an invoice for payment of freight, calculates and issues an invoice to the charterer for demurrage and dead freight, evaluates the efficiency of the voyage (calculating the time-charter equivalent).
The time charter equivalent is calculated according to the formula:
E = NF - (R T+ R P) / T R dollars / day,
where NF is the net freight per trip (freight minus brokerage commission), dollars;
R T- fuel costs for the flight (on the move and in the parking lot), USD;
R P- expenses of the ship owner for payment of port dues, services, stevedoring and other operations at the ports of loading and unloading, USD;
T R- total duration of the voyage, days.
The time-charter equivalent shows the income that the shipowner receives per day of operation of the vessel, minus variable costs (port and fuel). It allows you to compare the efficiency of chartering a vessel on different voyages (or for different offers).
Comparing the average time-charter equivalent for a certain calendar period (six months, a year) with the time-charter rate for ships of a given standard size during the same period, it is possible to assess the effectiveness of the operator's activities. Obviously, the time charter equivalent should be at least IО-15% more than the time charter rate, since by operating the vessel, the owner assumes a number of additional risks: unpaid downtime (for meteorological reasons, while waiting for charter, holidays); the possibility of causing damage to the ship in the course of cargo operations or when following the icebreaker to the port; the likelihood of charterers making claims for unsafe delivery of cargo.
Knowing the value of the time-charter equivalent for the main direction of operation of this type of vessel, it is possible to calculate the freight rate, which will ensure the same efficiency of transportation on any other direction:
f = E b x T R+ (R T+ R P) / Qdoll. / T,
where e b- time-charter equivalent when the vessel is operating on the basic direction of transportation;
T R, R T, R P , Q - respectively, the estimated duration of the voyage, fuel costs, port costs and the amount of cargo on the planned direction of transportation.
This calculation allows the shipowner to establish the initial idea of the freight rate in the case when an unconventional freight for him is offered according to the type of cargo or direction of transportation.
Broker is one of the leading professions in the maritime business. It requires deep and versatile knowledge, a high sense of responsibility, good business qualities, and the ability to negotiate. The broker must know the peculiarities of various types of ships, the transport characteristics of cargo, the conditions for handling ships in ports. Therefore, a brokerage company should have appropriate reference books and manuals: Register of ships, rules for the carriage of goods by sea, tariffs and customs of ports, a reference book on world ports, reference books of brokerage, agency and shipowner companies. If it is necessary to find out the situation in a particular port, the broker should contact one of the port agents, and regarding the transportation of goods - with a survey company. The broker must constantly monitor the current information on all issues that affect the level of freight rates: costs and risks of shipowners for operating ships and calling at a given port, the availability of tonnage of various sizes, factors on which the volume of foreign trade depends, and, consequently, and tonnage demand: political situation in the country; government orders in the field of export and import regulation, customs duties and procedures, taxation; the situation in the industry, agriculture, social sphere; the ratio of world and domestic prices for basic goods; international conflicts, etc.
The broker must be very careful when choosing a partner. Having received an offer from a little-known charterer or ship owner (operator), one should collect information about his solvency, business integrity, level of competence, and the main field of activity. For this purpose, the broker of the shipowner can ask the charterer for the name of the shipowners who transported its cargo (for two or three last shipments), and the broker of the charterer can ask the ship operator for the name of the shipowner's company. The partner's financial position can be checked through the bank. If the offer came through a previously unknown broker, you should check his reputation in the market.
Each brokerage company in one form or another, it should maintain a database of companies operating on the market - shipowners, charterers, brokers, constantly expand it and update it with information about each company. You need to know what the company specializes in, with which charterers and / or shipowners it has close ties, which fleet and / or cargo it controls. This will allow, if necessary, to almost accurately contact the required company, which reduces the time and costs of correspondence; almost completely eliminates the risk of financial losses due to the insolvency or dishonesty of the partner. With regular work with the same partner, the degree of trust in each other increases, which allows counting on the partner's maximum activity and shortens the negotiation time.
The broker must be able to negotiate concisely and clearly, without wasting either his or his partner's time unnecessarily. You cannot address the same issue several times in a row, even while giving additional information. Therefore, a young broker, before starting negotiations, should draw up their short plan, having predetermined both the composition of his own information and the questions that need to be asked to the partner. You cannot repeatedly apply for different quotes without ever giving a firm offer. It is necessary to constantly monitor your reputation in the market: the fame of an empty, talkative, dishonest, unqualified broker will spread quickly and will significantly interfere with work for a long time.
The broker must be as punctual as possible. After receiving a firm offer, further negotiations should be conducted only by e-mail, since only such a message is legally binding. If you do not have e-mail, you can use fax. All correspondence on a specific transaction, both inbound and outbound, must be carefully kept until the end of the flight and all disputes regarding this flight (contract) are resolved. In case of unfavorable market conditions, it is unacceptable to delay the response beyond the time specified in the partner's proposal, as this gives him the right to interrupt further negotiations. It is unacceptable if, when preparing a recap or charter, one of the parties tries to change the conditions that it has already agreed upon during the negotiation process.
The broker must be contact, negotiate in a respectful and friendly manner, without pressure on the partner. You should always try to answer your partner's questions, give him the necessary information. It is important to know each partner by name, to remember the content of previous negotiations, not to confuse partners with each other.
The broker must know all abbreviations used in freight correspondence, freely use them, but without pretense, without inventing new abbreviations. The main abbreviations of the terms used in the correspondence of brokers when concluding a voyage charter are given in Appendix No. one.
"Golden n ravila "broker:
1. Act only within the powers received from the principal. Never give or accept offers without confirmation from the principal unless the principal has been given full authority to enter into the transaction.
2 All information received from the partner should be sent in writing (by fax or telex) to the principal. All instructions of the principal shall be received from him also in writing. This is very important in case of further claims from the principal.
Z. In the absence of a second broker, clearly define your status and strictly adhere to it.
4
Don't fight the market. If the current situation is in favor of the partner, do not try to impose your terms of the contract on him.
Do not give a firm offer to more than one partner and do not agree to conditions that you cannot fulfill. This will lead to the failure of the deal and loss of reputation.
The broker is not only an intermediary, but also an advisor to the principal. This is especially true for the broker of the charterer, as many trading companies are poorly familiar with the carriage of goods by sea. Under these conditions, the broker must explain to his principal that by offering a long-term contract, he will receive more low rate than declaring each time only a separate consignment; that in each direction there are vessels of several basic standard sizes and, accordingly, it is necessary to choose the lot number of sales and shipments of cargo; that the type of packaging and the method of transportation (in separate places, in big bags, packages or in bulk) significantly affects the readiness of the port and the vessel to accept the cargo and the freight rate; that if you set the date of laydays before the cargo is fully ready (including delivery to the port and customs clearance), then this may lead to payment of demurrage for the demurrage of the vessel; that, by agreeing with the port or with its trading partner high rates of vessel handling in the ports of loading / unloading, the charterer will be able to find the vessel more quickly and at a lower rate. Such broker consultations will allow the charterer to more competently conclude trading contracts and avoid extra costs.
As a rule, the shipowner is quite well versed in all matters related to the carriage of goods by sea, and the duties of his broker are to inform the principal of the market situation and to negotiate a charter.
A freight broker is an intermediary between the ship owner and the owner of the cargo. He brings the parties to the transaction together, but does not appear in the contract himself. For services, the broker receives a fee in the form of a percentage of the freight amount.
“Why use a mediator? After all, you can find a ship on your own ”- this is the opinion of people who have not previously encountered water transportation. To complete the transaction, you need to have professional knowledge and contacts.
What a broker should know
To charter a vessel, a broker must study the shipping legislation. When it comes to international transactions, knowledge of the regulations of foreign states and intergovernmental agreements is additionally required. In addition, such transactions are concluded at English language... This means that the broker must be fluent in it.
To find a vessel you need to know the conditions of shipping. Flexibility and a broad base of business contacts are required. The latter will help in organizing combined cargo transportation when a river-sea vessel is required.
The broker must follow the technical progress in maritime transport. It is important to know the design of ships, the possibility of transporting certain goods, the specifics of transportation of various categories of goods.
Calculation of transport costs falls on the shoulders of brokers. For cargo owners, intermediaries help charter a vessel. Captains with the help of brokers find goods for the available tonnage.
That is why you need to turn to professionals. The mediator will save time, nerves and take over organizational issues. The value of the services more than justifies the fees.
Freight broker services from Inter Marine Service
Our company will act as an intermediary in concluding a freight deal and help you find a vessel. The search is based on three components:
- by type of vessel (dry cargo or liquid cargo),
- by type of cargo (grain, building materials),
- in the direction of transportation.
An integrated approach to the selection of tonnage provides a quick search for a vessel. We help in organizing domestic and international sea, river and combined cargo transportation. In the second case, we find a river-sea vessel.
Extensive business ties cover the ports of the Black, Azov, Baltic, Mediterranean and other seas. In the person of Inter Marine Service, you will get a reliable intermediary who will contribute to the development of your trading business. Contact us to find out the details of cooperation. Call us!
Brokers and charterers must be able to calculate transport costs for the estimated directions of international cargo flows in order to name the idea of a freight rate.
CHARTER AGENTS are brokers specially appointed by major importers or exporters to handle all negotiations about the tonnage for the transport of their goods.
CHARTER BROKERS are intermediaries between shipowners who are looking for cargo for their ships and charterers who have a demand for ships to transport their cargo.
Broker is a professional business intermediary in the conclusion of transactions, specializing in certain types of goods or services, securities, currencies and other values on the stock and commodity exchanges, foreign exchange, insurance and freight markets. Acts on behalf of and at the expense of clients, receiving special remuneration from them, but can also act on its own behalf, although still at the expense of the principal on the basis of agreements concluded with the client. The broker is looking for a buyer for a seller and a seller for a buyer. Offers, counter offers pass through it, but the broker himself does not come into contact with the goods. A broker can act as an individual, firm or organization. Large brokerage firms and offices
The dictionary consists of entries arranged in alphabetical order A dictionary entry may contain the following elements a capital term typed in capital letters in bold (for some terms, the specific use is indicated in brackets) a short form of the capital term (if any), separated from it by a comma, one or more synonyms of the capital term (if any), typed in lowercase letters and separated from the capital term by a comma, the English equivalent of the capital term, placed in parentheses (if the English equivalent has a short form, then it is separated from the full comma, if there are several English equivalents of the capital term, they are separated from each other by a semicolon), the interpretation of the meaning of the term (if a capital term has several meanings, then each of them has a serial number - an Arabic numeral with a parenthesis) If the title term is repeated in the text of the article, then it is given in abbreviated form by the first letters of the composition the words that influence it, for example, Logistic costs - Lee) The articles widely use the reference system If the text of the article contains a term that is also explained in the dictionary, then at the first mention it is typed in italics. associative links with the interpreted term, then the reference "See also" is used. The reference from a synonym term to the main term has the form "See" broker - see Forwarder "In addition to the generally accepted (" and t d ", and" t p "," te ", etc.), special abbreviations established for this publication are used. Their list is given in the book
The majority of such freight transactions and cargo owners and ship owners conclude between themselves through intermediaries - ship brokers. Each of them is famous not for its capital (it is almost always small), but for know-how in the form of a complex set of collected information, knowledge, extensive business ties, rarely in all, more often in individual sections of the world freight market.
Brokerage business is developed not only in Great Britain, but also in many other countries. Brokers in Hong Kong, New York, Tokyo, Piraeus, Hamburg, Genoa, Oslo, Shanghai (before the revolution also in Odessa) have a kind of clubs by profession. Most of the freight deals are made on them.
Sovfrakht has mainly retained its foreign correspondent network and is able to carry out any freight operation for domestic exporters and importers, despite the fact that in the conditions of modern market relations it is not officially the exclusive broker in the Russian Federation.
The negotiation practice in the brokerage, agency and forwarding world community is based on long-established traditions and follows the principles of observing a kind of brokerage ethics. Recognized in the past in the USSR and well-known in our time in Russia, a freight broker - Sovfrakht has always followed these traditions and ethics, which contributed to its fame and authority in the freight market.
The contract of carriage by sea (charter of a vessel) in tramp shipping, concluded between the sea carrier (charterer) and the consignor or consignee (charterer), has the form of a charter. In most cases, it is concluded with the help of an intermediary or a freight broker.
There are different categories of brokers - stock, insurance, freight, foreign exchange.
Shipping 2000. Provides access to data on the freight market. Using the Shipping 2000 electronic network, you can connect with 300 brokers and shipowners around the world and conclude a freight contract.
For his services, the broker receives a stipulated reward, often established by trade custom. The amount of this remuneration for freight operations is usually 0.25% of the amount of freight, demurrage and other payments.
In order to successfully conduct freight work, the charterer or broker must have deep and multifaceted knowledge. In addition to the broad general education, charterers require a great deal of knowledge on specific technical issues.
In order to charter or charter a vessel on the open chartering market, the ship owner and the charterer must instruct the broker to do so if negotiations are not carried out directly between the enterprises concerned. Such an order can be given orally, in person or by phone, followed by confirmation in writing by teletype, or telegraph, or by letter. The order is also given in writing. In these cases, customers usually resort to telegraph and teleprinter communications.
A freight broker specializes in transactions for certain types of services on the freight exchange (chartering ships, buying and selling ships, transport and forwarding operations, agency services). At the same time, specialization is carried out also by types of ships, types of transported cargo, directions of transportation. International liner shipping is served by broker-acquirers who are not only engaged in chartering ships, but also perform the duties of a forwarder and ship agents, attracting (acquiring) goods to load ships on the lines. ACCOUNTING, registration, documentary records all business and financial transactions, expenditures and the results of the economic activities of organizations (enterprises, institutions, companies, firms) in monetary form, carried out according to specified rules, using established forms of documents, special journals and books for accounting. In accordance with modern legislation, any organization carrying out economic activities is obliged to keep accounting records of income, expenses, property values and periodically record accounting data in accounting books and reports, which allows you to analyze and control the financial position of the organization, the results of its work, compliance with the rules and regulations conducting economic transactions.
BROKER, courier, broker - an intermediary in the conclusion of transactions between buyers and sellers on stock exchanges, freight markets, etc., acting on behalf of and at the expense of Principal B, act as "pure" intermediaries, since they usually do not have at their disposal goods Remuneration B (brokerage, courier) usually represents a certain percentage of goods, securities, various services sold with its help, it can also be paid in the form fixed amount See also Agent, Forwarder, Transport broker
SOVFRAHT (Sovfra ht) - an organization performing the functions of a freight broker and general agent; shipowners grew up in the field of servicing their ships in foreign ports. Created in 1929 as an all-Union foreign trade exchange. brokerage firms, since the 1960s, has been actively chartering the tramp tonnage of owls
A freight broker (we will call it that for convenience instead of shipbroker, although freight broker in Russian means, in principle, a freight forwarder) usually does not refer to the legal basis of an agency agreement, but emphasizes its independence, willingness to even work simultaneously - and the freight forwarder receives perspectives from a freight broker with whom he has established traditional personal business relations (in Moscow - Sovfrakht, in London - Morline, in Helsinki - Krogius Trup, in Hamburg - Sovchart, etc.). the amount of the transaction, and when it is concluded on conditions more favorable for the client, he can receive the agreed part of the saved amount.
Specializes in transactions for certain types of services on the freight exchange (chartering ships, buying and selling ships, transport and forwarding operations, agency services). At the same time, specialization is also carried out by types of ships, types of transported cargo, directions of transportation. International liner shipping is served by broker-acquirers who are not only engaged in chartering ships, but also perform the duties of a forwarder and ship agents, attracting (acquiring) goods to load ships on the lines.
- The use of customer-supplied raw materials for the production of finished products: accounting, consumption rates, write-off Reflection of services for the processing of materials
- Terms of payment of insurance premiums and submission of reports under the new rules
- Reminder of admission to off-budget (paid) places How to pay for tuition
- Online courses for accountants, distance accounting courses online, online training for accountants Accounting for cash transactions and transactions with accountants