NAICS 488510 Quarterly Industry Report
Freight Transportation Arrangement
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 488510Sector: 48Updated: Q1 2026
About This Report
This NAICS 488510 industry profile draws from Census Bureau[5] establishment counts and employment data, Bureau of Labor Statistics[6] wage statistics for freight arrangement occupations, and SBA[7] size standard thresholds. Fair Market Value updates this report quarterly, tracking freight rate indices, broker margin trends, and technology adoption rates that affect business valuations. Our research team monitors FMCSA broker licensing data and customs entry volumes to provide NAICS 488510 valuation professionals with current market sizing benchmarks.
Industry Snapshot
Key metrics for the freight transportation arrangement industry.
Industry Definition & Overview
Freight Transportation Arrangement (NAICS 488510) encompasses establishments primarily engaged in arranging transportation of freight between shippers and carriers. These businesses, commonly known as freight brokers, freight forwarders, customs brokers, and shipping agents, do not typically own or operate transportation equipment themselves. Instead, they serve as intermediaries matching cargo with available carrier capacity across trucking, rail, ocean, and air modes.
Census Bureau data[5] shows over 15,400 businesses in this industry employing more than 301,000 workers nationwide. This is one of the fastest-growing segments within transportation support services, fueled by e-commerce growth and supply chain complexity. Freight brokers connect shippers with truck carriers, earning commissions or markups on transportation rates. Customs brokers handle import/export documentation and regulatory compliance at U.S. ports of entry. Freight forwarders consolidate smaller shipments into full container or truckload movements to capture volume pricing.
Revenue models range from commission-based brokerage to full-service logistics management fees. Technology platforms have transformed the industry, with digital freight matching services competing alongside traditional relationship-based brokerages. Bureau of Labor Statistics[6] data shows high wage dispersion, from entry-level dispatchers to senior logistics managers overseeing complex global supply chains. Capital requirements are relatively low compared to asset-based carriers, though technology investment in transportation management systems represents a growing cost center.
What's Included in This Industry
- Freight brokerage services matching shippers with trucking carriers
- Freight forwarding and shipment consolidation for domestic and international moves
- Customs brokerage and import/export documentation processing
- Marine shipping agency services for vessel operations at U.S. ports
- Non-vessel operating common carrier services for ocean freight
- Air freight forwarding and cargo booking with airline carriers
- Intermodal freight arrangement across truck, rail, ocean, and air modes
- Rate negotiation and carrier procurement on behalf of shippers
- Shipment tracking, visibility, and supply chain coordination services
- Drayage arrangement connecting ocean terminals with inland distribution points
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Support Activities for Transportation | 488 |
| Industry Group | Freight Transportation Arrangement | 4885 |
| NAICS Industry | Freight Transportation Arrangement | 48851 |
| National Industry | Freight Transportation Arrangement | 488510 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 484110 | General Freight Trucking, Local | Local general freight trucking carriers that perform the physical transportation of goods arranged by freight brokers and forwarders classified under this code |
| 484121 | General Freight Trucking, Long-Distance, Truckload | Long-distance general freight trucking carriers providing line-haul capacity that freight brokers match with shipper demand through load boards and direct contracts |
| 484122 | General Freight Trucking, Long-Distance, Less Than Truckload | Long-distance less-than-truckload carriers that freight forwarders use to consolidate smaller shipments into cost-effective transportation movements |
| 488999 | All Other Support Activities for Transportation | All other transportation support activities including transportation consulting and miscellaneous logistics services not specifically classified as freight arrangement |
| 541614 | Process, Physical Distribution, and Logistics Consulting Services | Process, physical distribution, and logistics consulting firms that provide strategic supply chain advisory services rather than transactional freight arrangement |
| 492110 | Couriers and Express Delivery Services | Courier and express delivery services that handle time-sensitive small shipments through integrated networks, distinct from third-party freight arrangement services |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 15.9% | 3,558 |
| 2 | Texas | 12.9% | 2,886 |
| 3 | Florida | 10.0% | 2,242 |
| 4 | New York | 6.8% | 1,520 |
| 5 | Illinois | 5.7% | 1,272 |
| 6 | Georgia | 4.2% | 946 |
| 7 | New Jersey | 3.9% | 875 |
| 8 | Ohio | 2.7% | 608 |
| 9 | Pennsylvania | 2.6% | 593 |
| 10 | Washington | 2.2% | 499 |
% Of Establishments
0%
16%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
1,576
Total SBA Loans
$601.3M
Total Loan Volume
$382K
Average Loan Size
10 yrs
Average Loan Term
10.52%
Average Interest Rate
12,136
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: Under SBA size standards[7], NAICS 488510 businesses qualify as small with average annual receipts up to $20 million, with an exception of $34 million for non-vessel operating common carriers and household goods forwarders. Freight brokers and forwarders can access SBA 7(a) loans[8] for technology investments, working capital, and business acquisition. The 504 loan program[9] supports office facilities and warehouse space for consolidation operations. Cash flow management is critical in this industry, as brokers often pay carriers before collecting from shippers, making SBA working capital lines highly relevant.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Northeast Bank | 368 | $71.8M | $195K |
| 2 | Pathward National Association | 8 | $39.6M | $5.0M |
| 3 | Stone Bank | 16 | $38.5M | $2.4M |
| 4 | First National Bank of Pennsylvania | 8 | $32.4M | $4.1M |
| 5 | First Utah Bank | 8 | $31.4M | $3.9M |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 488510?
Freight brokers, freight forwarders, customs brokers, marine shipping agents, non-vessel operating common carriers (NVOCCs), and air freight forwarders are classified under NAICS 488510. These businesses arrange transportation without typically owning carriers, per Census Bureau classification[10]. Logistics consulting is classified separately under NAICS 541614.
How is NAICS 488510 structured within the transportation sector?
NAICS 488510 falls under Industry Group 4885 (Freight Transportation Arrangement) within Subsector 488. It is the sole six-digit code in this industry group, covering all modes of freight arrangement. This code captures intermediaries and agents, not the carriers themselves, which are classified in their respective modal subsectors.
What is the SBA size standard for NAICS 488510?
The SBA size standard[7] for NAICS 488510 is $20 million in average annual receipts, with an exception allowing $34 million for non-vessel operating common carriers and household goods forwarders. Revenue is measured excluding funds received in trust for unaffiliated third parties.
What NAICS codes are most closely related to 488510?
Related codes include 484110 (General Freight Trucking, Local), 484121 (General Freight Trucking, Long-Distance, Truckload), 484122 (General Freight Trucking, Long-Distance, LTL), 541614 (Logistics Consulting), and 492110 (Couriers and Express Delivery). These codes span the carrier and advisory firms that freight brokers connect.
What industries depend most on freight transportation arrangement services?
Manufacturing, retail, and e-commerce companies generate the bulk of freight brokerage demand. Small trucking carriers (484110, 484121) rely on brokers for load sourcing. Census Bureau data[5] shows over 301,000 workers in this industry, reflecting the sector's role as a critical intermediary in U.S. supply chains.
What activities are included in NAICS 488510?
Included activities cover freight brokerage, freight forwarding, customs brokerage, marine shipping agency, NVOCC operations, air freight booking, rate negotiation, shipment tracking, and intermodal arrangement. Tariff and freight rate consulting is excluded per Census Bureau[10] and classified under NAICS 541614.
Are NAICS 488510 businesses eligible for SBA loans?
Yes, freight arrangement firms below the $20 million threshold (or $34 million for NVOCCs) qualify for SBA 7(a) loans[8] for technology, working capital, and acquisitions. 504 loans[9] can finance office facilities and warehouse consolidation space. Working capital lines are especially valuable given the cash flow timing gap between paying carriers and collecting from shippers.
Where are NAICS 488510 businesses geographically concentrated?
Freight brokerage clusters near major logistics hubs: Chicago, Los Angeles, Dallas/Fort Worth, Atlanta, and the greater New York area. Customs brokerage concentrates at major ports of entry including Los Angeles/Long Beach, New York/Newark, Miami, and Laredo per Census Bureau[5] establishment data. Digital platforms have reduced geographic concentration as remote brokerage operations become more common.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]Census Bureau data data.census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]SBA sba.gov
- [8]SBA 7(a) loans sba.gov
- [9]504 loan program sba.gov
- [10]Census Bureau classification census.gov
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