The core function
A shipbroker acts as an intermediary between two commercial parties in the maritime market — most commonly a shipowner with vessel capacity and a charterer with cargo to move, but also buyers and sellers of vessels in the sale and purchase market. The broker's job is to find the counterparty, negotiate terms, and help both sides reach a concluded, workable fixture or transaction.
Brokers do not typically own the vessels or the cargo they broker. Their value is market knowledge, counterparty relationships, negotiation skill, and — increasingly — the ability to process and act on information quickly across a fragmented, relationship-driven market.
Chartering brokers vs S&P brokers
| Type | What they broker |
|---|---|
| Chartering broker | Vessel employment — voyage charters, time charters, COAs |
| Sale and purchase (S&P) broker | The sale of the vessel itself — secondhand tonnage, sometimes newbuildings |
| Bunker broker | Marine fuel purchase transactions |
A broker may specialise in a particular vessel type (dry bulk, tankers, gas) or a particular geography, and many brokerage firms run separate chartering and S&P desks given how different the two disciplines are in practice.
How brokers get paid
Brokers typically earn a commission — a percentage of freight, hire or the sale price — payable by the party that appointed them, most commonly the shipowner in a chartering fixture or the seller in an S&P transaction, though commission arrangements vary by market and deal.
- Commission rates are market convention rather than fixed by regulation, and vary by segment.
- A single fixture or transaction can involve more than one broker on each side, sharing commission.
- A broker is paid only when a fixture or transaction actually concludes — brokerage is success-based work.
Frequently asked questions
What is the difference between a chartering broker and an S&P broker?
A chartering broker arranges vessel employment — matching cargo to tonnage on a voyage or time charter basis. An S&P broker arranges the sale of the vessel itself. They are distinct disciplines, often handled by separate desks or firms.
How does a shipbroker get paid?
Typically through a commission — a percentage of freight, hire or sale price — payable by the party that appointed the broker, and paid only once a fixture or sale actually concludes.
Does a shipbroker own the vessel or cargo?
No. A broker acts as an intermediary between the owning and chartering (or buying and selling) parties, bringing market knowledge and counterparty access rather than capital or physical assets to the transaction.