48851 - Freight Transportation Arrangement

In the complex world of logistics and transportation, knowing the right NAICS code is crucial for businesses, government contractors, and industry professionals. NAICS code 48851, titled Freight Transportation Arrangement, plays a pivotal role in the freight movement ecosystem. This code helps categorize establishments that serve as crucial intermediaries between shippers and freight carriers without directly operating transportation equipment. Whether you're a freight forwarder, customs broker, or an intermodal transportation broker, this code accurately identifies your business activities.

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What is NAICS Code 48851?

NAICS Code 48851 refers to the industry classification for businesses primarily engaged in arranging the transportation of freight. Entities under this code act as intermediaries, connecting shippers who need to send goods with carriers who transport them. Unlike carriers themselves, these businesses do not operate trucks, ships, or planes; instead, they focus on logistics, coordination, regulatory compliance, and freight forwarding.

Key Characteristics of NAICS 48851

• Primary Activity: Arranging freight transportation between shippers and carriers.
• Non-Operator: Do not own or operate transportation equipment.
• Service-Oriented: Provide value through logistics expertise and coordination.

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Sector: Transportation and Warehousing

NAICS 48851 falls under the broad Transportation and Warehousing sector, which encompasses industries providing transportation of passengers and cargo, warehousing and storage for goods, and support activities related to modes of transportation.

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Typical Business Activities Under NAICS 48851

Businesses classified under NAICS 48851 include:

• Freight Forwarders: Coordinate shipments for individuals or companies, consolidating freight and arranging with carriers.
• Customs Brokers: Assist with customs clearance processes, documentation, and compliance regulations for imported/exported freight.
• Intermodal Transportation Brokers: Arrange for freight movement using two or more modes of transportation, such as rail and truck.

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Small Business Size Standards for NAICS 48851

For eligibility in federal contracting and specific government programs, businesses must meet size standards defined by the U.S. Small Business Administration (SBA). For NAICS code 48851, the standard is typically:

• Size Standard: 500 employees or fewer

This means businesses with up to 500 employees can qualify as small businesses under this NAICS code, allowing them to pursue certain government contracts and benefits.

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Detailed NAICS Code 48851 Information Table

Aspect	Details
NAICS Code	48851
Title	Freight Transportation Arrangement
Sector	Transportation and Warehousing
Industry Description	Establishments arranging transportation of freight between shippers and carriers without operating transportation equipment
Typical Businesses	Freight Forwarders, Customs Brokers, Intermodal Brokers
Size Standard (SBA)	500 employees or fewer
Primary Activities	Freight forwarding, customs brokerage, transportation brokerage

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FAQs About NAICS Code 48851

1. What kinds of companies are classified under NAICS code 48851?

Companies like freight forwarders, customs brokers, and intermodal transportation brokers that arrange the transportation of freight without operating vehicles or equipment fall under this code.

2. Does NAICS 48851 include companies that operate trucks or ships?

No. This NAICS code is specifically for businesses arranging the freight transportation but not for those operating the transportation equipment themselves.

3. What is the SBA small business size standard for NAICS 48851?

The size standard is 500 employees or fewer for eligibility as a small business under this code.

4. How can labeling my business under NAICS 48851 help government contracting?

Proper NAICS classification helps you identify relevant contract opportunities and qualify for small business programs targeting transportation arrangement services.

5. Can freight brokers and freight forwarders have the same NAICS code?

Yes, both freight brokers and freight forwarders can be classified under NAICS code 48851, as they arrange transportation of freight for others.

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Conclusion

NAICS code 48851 - Freight Transportation Arrangement represents an essential segment within the transportation and warehousing sector. Businesses in this niche play a vital role in facilitating freight movement by connecting shippers with carriers without managing the transport equipment themselves. Whether you operate as a freight forwarder, customs broker, or intermodal transportation broker, understanding this NAICS code helps you position your business strategically for industry insights, regulatory compliance, and government contracting opportunities.

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Keywords:

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