Success as a shipbroker/charterer
Since shipbroking and chartering are mostly heavy relationship based positions in order to becime successful and secure good deals how could someone with no previous strong contacts or background in the industry become successful?
Based on the most helpful WSO content, breaking into shipbroking and chartering without strong pre-existing contacts or a background in the industry can indeed be challenging due to its heavy reliance on relationships. However, success is not out of reach. Here are some strategies that could help someone in this position:
Leverage Industry Knowledge: Start by building a solid foundation of knowledge about the shipping industry, including the types of ships, cargo, routes, and market dynamics. This knowledge can make you a valuable asset to potential employers and clients.
Networking: Networking is key in industries driven by relationships. Attend industry conferences, seminars, and workshops. Join relevant online forums and social media groups. The goal is to meet people in the industry, learn from them, and gradually build your own network.
Persistence and Hustle: As highlighted in the context, persistence is crucial. Don't be afraid to reach out, make cold calls, and get in front of people. The more you put yourself out there, the higher your chances of making meaningful connections.
Start Small: Consider starting your career with smaller brokerage firms or chartering companies. These might offer more opportunities for hands-on experience and personal growth. Success in smaller firms can pave the way to opportunities in larger companies.
Showcase Your Value: When you get the chance to work on projects or with clients, go above and beyond to showcase your value. Deliver exceptional work, demonstrate your market knowledge, and show that you can be trusted to handle important deals.
Mentorship: Seek out a mentor in the industry who can provide guidance, advice, and potentially introduce you to their network. A mentor can be invaluable in helping you navigate the industry and accelerate your career growth.
Remember, many successful professionals in shipbroking and chartering started without direct connections but managed to build their careers through hard work, persistence, and a strategic approach to networking and skill development.
Sources: How do I land a role at a commercial firm (JLL, CBRE, etc.) from scratch at 26?, Q&A : I'm a dry bulk physical freight trader / chartering manager, How to say I have connections?, Get a load of this shit., Dry Bulk Physical Freight Traders / Chartering
Networking is crucial in the maritime industry. Attend industry events, conferences, and seminars to meet professionals and build relationships. Join relevant industry associations and online forums to connect with peers and potential clients. Networking provides opportunities to learn from experienced professionals, gain industry insights, and establish your reputation.
Join a shipbroker/owner/charterer. Spend a few years there. If you're good and get into a front office role with time you'll build up contacts in the industry. Realise something that in the shipping industry it takes a while before you reach such a position. If you're in at a young age its because you're good and are in the right place at the right time.
bravo on this reply...... timing is everything...
Do you mean you can join any owner, charterer etc even if they aren’t Clarksons?
Is it possible to still make a good career out of that, as in is it similiar to joining a tech startup/lesser known tech firm?
Clarkson is only one broker. They are big on the Specialties business where they move 1/3rd of the global specialized freight but they are not as dominating in other energy products but big none the less. There's so many other well established shipbrokers out there Gibson, HoweRobinson, Braemar to name a few. These are not small shops and its not at all like joining a start up. There is a dearth of candidates in the ship broking business and are looking for enterprising individuals. However, do note it is not an easy job and there you are not really ever off. Does not matter if you're chilling in Mykonos is your charterer needs you because of something urgent the best brokers will pick up the phone and work. Thats what separates the grain form the chaff. There are many shops but only a few of them are well established because the charterer knows that if shit hits the fan they can trust these guys.
Thank you for the insight but I think you misunderstood me.
I didn’t intend to say Clarksons was a small shop. I was asking if I did NOT get the opportunity to join Clarksons, Howe Robinson, etc and was only able to join a let’s say small shipowner, would that feel like working at a startup? Would the consequences be similiar to what software engineers have when they join a budding tech startup?
Hmm depends on what is a small ship owner. Any vessel owner worth their salt irrespective of the number of ships they have will have a separate chartering, ops and back office teams tbh. So i do not think it will be like a start up unless you are joining someone with 1-2 ships. I would say if you join a small broking house there it will be more akin to a start up. However, as mentioned there is not a a lot of people who are going into ship broking. So the likely hood of getting into a decent ship broker is pretty high. There is a dearth of operators in this business because it is not an easy role. So if you're enterprising, have a positive attitude, willing to learn and put in the time you will go high up in the business.
Maybe this is just the banker cynicism within me but I’m not sure I believe there’s a shortage of candidates for an interesting and highly rewarding career. I can believe there are only a few people who are successful (like S&T)… but candidates? Come on
Shipping, and physical commodity trading in general, is way less advertised than banking/consulting. There's a real lack of knowledge about the potential of these careers and it's only recently where Bloomberg has blasted Vitol and Trafigura profits + pay outs that people have taken an interest.
It's better hidden though. The industry rewards people based on character rather than the brand names on their resume.
Bec it is not an easy role. You start in demurrage or ops. You need to show your chops there. The role does not pay well and you're expected to work 24/7 and always be on call. If a broker ops missed something on a cargo you can bet your buck people will think twice before giving another cargo to them. After that you need to show that you can be commercial minded. Charterers and shipoweners have egos. Heck thats what makes them good at their job. But its the broker who gets them to the table and finds a solution. To be a good broker you also need to really understand the markets. You see all the ins and outs of the business and then you got to use that to help charterers/owners take positions. Slowly you make a name in the market and once you've got a reputation the money comes.
Now I'm not saying you'll be making millions as a broker. Only a select few do that But you'll be well paid. Now of course if you look at banking the payout is high and the promotions happen very quickly. As a banker overall you'll likely make more than a broker. But as a broker you will make much more than the rest.
Edit: To add also if you want to be banker more often than not you need to go to target. You dont need any degree to be a broker. And a good broker can easily join a shipowner or charterer and earn a shit ton more.
I am in the industry however at a technical department at a shipping company since my degree is in mechanical engineering.i am 28
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