What does FOB mean in shipping?
FOB stands for free on board. On a freight quote or purchase order, FOB tells you where ownership and risk pass from the seller to the buyer. Parcel Management Group is a registered freight broker (USDOT 3266041 · MC 1030328) in Ventura, CA 93001. Call (805) 984-4114.
FOB shipping point
Ownership and risk pass to the buyer when the freight leaves the seller's dock. The buyer usually arranges the carrier and handles a damage claim if one is needed.
FOB destination
Ownership and risk stay with the seller until the freight is delivered to the buyer. The seller usually arranges the carrier and handles a damage claim in transit.
Freight prepaid vs freight collect
FOB terms say who owns the freight in transit. Prepaid or collect says who pays the carrier bill. The two can be mixed, so put both on the bill of lading: /what-is-a-bill-of-lading/.
How PMG helps
Share origin, destination, weight, class, and your FOB terms. PMG compares carriers and sends a clear rate. Quote path: /ltl-freight-quote/ · /how-freight-quoting-works/.
Check your contract or purchase order for the exact terms. This guide is general information, not legal advice.
Call (805) 984-4114 or start a chat at /#contact.
FOB shipping FAQ
What does FOB mean in shipping?
FOB means free on board. It shows where ownership and risk pass from the seller to the buyer. Parcel Management Group is a registered broker in Ventura, CA 93001. Call (805) 984-4114.
What is the difference between FOB shipping point and FOB destination?
With FOB shipping point, the buyer takes ownership and risk when freight leaves the seller. With FOB destination, the seller keeps ownership and risk until delivery.
Does FOB decide who pays freight?
Not by itself. FOB covers ownership and risk. Prepaid or collect terms say who pays the carrier. Put both on the bill of lading.
How do I get a freight quote with FOB terms?
Share origin, destination, weight, class, and your FOB terms. PMG compares carriers and sends a clear rate. Call (805) 984-4114 or start a chat.