When you have freight that is too big for small parcels but won’t fill a 53-foot trailer, less-than-truckload shipping can be the best option to move your goods.
With less-than-truckload (LTL), you only pay for the portion of the trailer you’re using, which can make it more cost-effective than booking a full truckload if you don’t need it. LTL is ideal for shipments that weigh between 100 and 10,000 pounds. Some LTL carriers will accept shipments up to 15,000 pounds or more. Here’s what else you need to know about LTL.
How LTL works
LTL is typically for small loads that won’t fill an entire trailer and combines freight from multiple shippers to optimize costs and space. Full truckload (FTL), on the other hand, is used for larger loads with a single shipper occupying the full capacity of the trailer.
With LTL, carriers consolidate freight from multiple customers to create full truckloads. The process starts with LTL carriers collecting their customers’ shipments and bringing them to local terminals or consolidation centers. Freight is sorted by destination and re-loaded into trailers before hitting the road.
Depending on the destination and the mix of freight, goods may move through various regional hubs before making it to their final stop. Once the shipment hits the destination terminal, it is de-consolidated, sorted, and loaded onto delivery trucks for last-mile delivery. LTL routes can range from regional shipping lanes that span a few hundred miles to cross-country deliveries that cover 2,000 miles or more.
The benefits of LTL
LTL shipping is another option in your shipping toolbox and has several advantages. These include:
Reduced costs: You only pay for the portion of the trailer you use, so LTL can cost less than booking a full truckload. LTL shipping costs are based on the amount of space used, weight, pick-up and destination points, and other factors.
A wide reach: LTL carriers often have established routes and multiple terminal hubs throughout the country, enabling you to ship to a wide range of destinations.
Increased flexibility: If you need to ship smaller loads more frequently, LTL can give you more flexibility to tap into space as you need it. LTL carriers typically offer regular pick-up and delivery options, so you don’t have to wait until you have enough freight to fill a trailer on your own.
Is LTL right for you?
Since shipments are consolidated and often transferred between multiple terminals and modes (e.g., rail, trucks, etc.), LTL can take longer than full truckload deliveries, so it may not be the best option for time-sensitive or perishable freight.
However, LTL may be the best option if you need a cost-effective way to move shipments between 100 and 15,000 pounds with flexible delivery timelines. If you need faster transit times or have fragile freight or larger loads, full truckload—FTL—may be a better choice.
Your questions answered
Deciding how to ship your freight is a big decision. Here are some frequently asked questions about LTL:
How are LTL rates calculated?
LTL rates are based on distance, pick-up and delivery locations, dimensions, size and weight of the shipment, handling needs, and more. LTL also uses freight classifications set by the National Motor Freight Classification (NMFC) system.
How is LTL different from small parcel shipments?
Since LTL freight is ideal for shipments that are 100 pounds or more, it is typically shipped on pallets rather than boxes. It requires a bill of lading—a contract between the shipper and the carrier—and potentially other forms, depending on your shipment’s destination.
How can I keep my LTL freight properly packed?
When shipping LTL, it is important to use proper freight packing techniques and materials to reduce the risk of damage. The National Motor Freight Traffic Association Packing Guide covers the NMFC minimum LTL packaging requirements and offers useful insights on how packing impacts density.
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