Zerobroker Raises $6.5M; Platform Aims to Eliminate Brokers

Zerobroker, a California-based logistics firm, recently announced a successful seed funding round, accumulating $6.5 million from investors including Flexport, FundersClub, and Streamlined Ventures.

The company aspires to address the substantial issue of freight brokerage fees, a concern that represents a $300 billion expense in the U.S.

• Aim: Eradicate freight brokerage fees

• Approach: Directly connecting shippers and truckers

Zerobroker’s platform intends to overhaul the traditional logistics framework, focusing on speed, efficiency, and cost reduction. The platform promises the execution of shipments, including the creation, booking, payment handling, and paperwork, within a minute.

• Claim: Automation of up to 90% of routine logistics tasks

• Launch: February 2022

Zerobroker positions itself as a novel platform aiming to eradicate freight brokers by enabling direct connections between shippers and truckers. Despite this, the hiring of a 'carrier-sales manager' muddles their identity, sparking questions and leaving room for potential confusion about their true role in the shipping ecosystem.

CEO Georgy Melkonyan emphasizes the significance of modernizing logistics to stay competitive. Despite the industry’s essential role in the global economy, it trails in technological integration, a gap Zerobroker is eager to fill.

CEO Experience: 15 years in global logistics

The acquired funding propels Zerobroker to enhance its technological framework and customer base, aligning with its mission of refining logistics, reducing costs, and bolstering operational efficacy. Despite the bold promises and rapid growth, the real-world impact and transformation within the logistics realm remain to be fully assessed and realized.

• Funding Use: Technological and customer growth

• Customer Growth: 50% monthly since launch (as reported by CEO)

Source: Zerobroker, FreightWaves