Freight Finance explained

From disbursement, revenue, fixed and variable costs to freight differentials, you will find the definitions given in this skills program simple, brief and clear as well as all the costs associated with the movement of goods.

A thorough and sound knowledge of freight finance is perhaps the most important commercial skill a freight forwarder can have as it has a direct impact on the profitability of freight business. But just because everyone is used to the standard freight shipping ways and expenses, it does not mean that is the only way. This is where commercial and financial acumen comes into play as it assist in competitive negotiation. This would not be possible if knowledge of freight finance is lacking.
In this skills program, you will learn financial ‘jargon’ and its definitions as well as practices related to different freight charges. You will no longer be puzzled by BAF, CAF and FAK but know what these terms relate to. Invoicing, costing, reconcialtion and recovery will also be explained making use of examples. At the end of this learning, your commercial know-how regarding freight finance will be greatly enhanced.

Target Group
Employees working in Freight Forwarding Operations who want to enhance their freight finance know-how

Learning Outcomes

• Ocean and Air Freight charges
• Charges to be recovered in the invoicing process
• Information needed to carry out invoicing processes
• Information needed to generate vouchers
• Landside charges, cartage, haulage and agent fees
• Costings, credit notes and supporting documentation
• Railage, road, multimodal, transport base rate charges
• Costing elements: depot, storage, port/terminal, duties/VAT, insurance, documentations, agent