# Freight Technologies, Inc.

> Clarifo company profile — qualitative business description generated from
> the company's filings. Financial statements, charts and ratios are
> available on Clarifo (https://www.clarifo.com/fi/companies/Freight Technologies, Inc.).

## Overview

Freight Technologies, Inc. is a U.S.-listed logistics technology company focused on digital freight management across North America, especially cross-border U.S.-Mexico shipping. Through its Fr8App ecosystem and related software tools, it connects shippers and carriers and automates freight procurement, tracking, booking, and transportation management.

## Products & services

• Fr8App digital freight marketplace for cross-border OTR shipping
• Fr8Now LTL shipping service
• Fr8Fleet dedicated capacity service for enterprise clients in Mexico
• Waavely ocean freight booking and container management
• Fleet Rocket transportation management system (TMS)
• AI- and machine-learning-enabled supply chain automation tools

- **Digital freight marketplace** (40%) — Software platform that connects shippers with carriers for freight matching and procurement.
- **Dedicated capacity and brokerage services** (30%) — Managed freight capacity solutions, including enterprise and brokered transportation services.
- **LTL and specialized shipping** (10%) — Less-than-truckload and other specialized freight services for smaller or mixed shipments.
- **Ocean freight booking** (10%) — Digital booking and management tools for container shipments between North America and global ports.
- **Transportation management software** (10%) — TMS software used by brokers, shippers, and logistics operators to manage freight operations.

- Fr8App marketplace for matching shippers with carriers
- Fr8Now specialized less-than-truckload shipping service
- Fr8Fleet dedicated capacity for enterprise clients in Mexico
- Waavely ocean freight booking and container shipment management
- Fleet Rocket TMS for brokers, shippers, and logistics operators
- AI and machine learning tools for pricing, tracking, and automation

## Customers

The company sells to shippers that need freight moved efficiently across North America, especially businesses involved in U.S.-Mexico trade and nearshoring supply chains. It also serves carriers, freight brokers, and logistics operators that use its platform and software to source loads, manage capacity, and improve dispatch and visibility. Enterprise customers in Mexico are important for dedicated capacity services, while smaller shippers and brokers use the platform tools for transactional freight and workflow automation.

- **Shippers** (primary) — Businesses that buy freight transport and platform services to move goods across North America efficiently.
- **Carriers** (primary) — Transportation providers that use the marketplace to find freight, fill capacity, and improve utilization.
- **Freight brokers and 3PLs** (secondary) — Intermediaries that use digital tools and TMS software to source freight and manage transactions.
- **Enterprise clients in Mexico** (secondary) — Large customers buying dedicated capacity and managed logistics solutions for recurring freight needs.
- **Ocean freight customers** (emerging) — Importers and exporters booking container shipments between North America and global ports.

- Shippers moving goods across the U.S.-Mexico border
- Carriers seeking freight demand and better load matching
- Freight brokers needing digital sourcing and brokerage tools
- Enterprise clients in Mexico buying dedicated capacity
- Logistics operators using TMS software to manage shipments
- Businesses needing LTL, OTR, or ocean freight coordination

## Geography

The business is centered on North America, with the strongest strategic exposure to the U.S.-Mexico trade lane and a smaller presence in Canada. Management says nearshoring is increasing cross-border freight demand, while Mexico’s domestic and cross-border trucking markets remain capacity constrained, which supports the company’s digital brokerage model. The company also references ocean freight flows between North America and ports worldwide, broadening its operational footprint beyond over-the-road trucking.

- **North America** (100%) — Management describes the business as dependent on North American economic conditions and cross-border trade.

- North America is the core market for freight matching and brokerage
- U.S.-Mexico cross-border lanes are the main strategic focus
- Canada is a smaller but relevant nearshoring trade lane
- Mexico operations support dedicated capacity and domestic freight
- Ocean freight links North America with ports worldwide
- Cross-border exposure makes trade policy and capacity conditions important

## Strategy

Freight Technologies is positioning itself as a digital freight intermediary that uses AI, live pricing, and real-time tracking to improve freight procurement and capacity matching. Its strategy appears centered on expanding platform adoption across cross-border trucking, dedicated capacity, ocean freight, and TMS workflows while benefiting from the shift away from traditional 3PL processes. Management also highlights nearshoring and supply chain volatility as structural tailwinds for digital brokerage and marketplace tools.

- **Grow cross-border digital freight volumes** (short-term) — The U.S.-Mexico lane is the company’s core market and benefits from nearshoring trends.
- **Broaden the platform beyond core OTR brokerage** (medium-term) — A wider product set can increase customer retention and reduce dependence on one service line.
- **Improve operating efficiency through automation** (medium-term) — AI-driven matching, pricing, and tracking can lower service costs and improve service quality.

- Expand digital freight matching across North American trade lanes
- Use AI and machine learning to improve pricing and automation
- Build an integrated platform spanning OTR, LTL, ocean, and TMS
- Target nearshoring-driven U.S.-Mexico freight flows
- Offer committed capacity and brokerage support to improve stickiness
- Replace manual freight procurement with digital workflows

## Risks

The company is exposed to weak North American freight demand, trade slowdowns, and policy changes because its platform depends on cross-border shipping activity. It also faces execution and liquidity risk, as recent filings disclose a going-concern warning, negative operating cash flow, and reliance on revolving credit to fund working capital. Competitive pressure from traditional brokers and other digital freight platforms, plus volatility in trucking capacity and pricing, can also affect margins and customer retention.

- **Weak North American freight demand** [high] — The platform’s usage depends on shipper activity and international trade across North America.
- **Trade policy and tariff changes** [high] — Cross-border freight volumes can be affected by tariffs, restrictive trade policies, and customs friction.
- **Liquidity and going-concern risk** [critical] — Management disclosed substantial doubt about continuing as a going concern and the company uses revolving credit for working capital.
- **Freight market pricing and capacity volatility** [high] — Supply-demand swings in trucking can change load availability, pricing, and broker economics.

- North American trade slowdown can reduce shipper demand
- Cross-border tariffs or trade policy changes can disrupt freight flows
- Going-concern and liquidity pressure increase financing risk
- Capacity volatility can compress pricing and service margins
- Competition from brokers and digital freight platforms is intense
- Customer concentration or service-line changes can create revenue swings

## Accounting

Revenue recognition is important because the company earns from freight services, brokerage, and platform-related transactions that may be recognized as shipments are completed or services are delivered. Investors should also watch working-capital accounting, especially accounts receivable and unbilled receivables, because the company reported material cash use from working capital and increased receivables in the quarter. Given the going-concern disclosure, estimates around recoverability, liabilities, and financing costs can materially affect reported results and balance-sheet presentation.

- **Revenue recognition for freight and platform services** — Can affect quarterly revenue comparability and margin presentation
- **Unbilled receivables and working capital** — Affects cash flow quality and near-term liquidity
- **Going-concern assessment** — May influence asset recoverability, financing assumptions, and disclosure risk
- **Interest expense and revolving credit** — Impacts net loss and liquidity analysis

- Revenue timing depends on freight service completion and transaction delivery
- Accounts receivable and unbilled receivables affect cash conversion
- Going-concern disclosure raises scrutiny on asset and liability valuation
- Revolving credit and interest expense affect financing costs
- Depreciation and amortization matter for platform and software assets

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*Last updated: 2026-04-28T20:09:02.921073+00:00*