LTL freight is the opposite of FTL and is used by many more companies and businesses. “LTL” stands for “less than truckload” and is used to refer to products and deliveries that do not take up an entire trailer for transportation. It’s common for small businesses to essentially buy a certain amount of square footage in a truck for transport so their products are then shipped with those of someone else.
LTL freight stands out from FTL freight, which is one somebody purchases an entire trailer to transport their goods without issue. When someone chooses to ship LTL, they can negotiate how much space they purchase. The driver or company in charge of transportation then need to find other buyers to fill the trailer. The step below LTL freight would be hiring a parcel carrier, which is someone who tends to carry packages or goods that can be broken down into units less than 150 lbs.
The Benefits of LTL Freight
There are actually numerous benefits to choosing LTL freight. One of the most important is the reduced costs. Since you don’t have to pay for the entire trailer, you can ship your goods to warehouses or customers without needing to incur extra expenses trying to fill a truck.
The next benefit is increased security. While there are more opportunities for your products to be moved around and handled by workers, the majority of LTL freight transporters have the goods packaged onto pellets that are moved. These pellets have a low risk of being damaged because of reduced weight and the care that goes into the wrapping.
Besides lower costs and better security, you also receive convenient tracking and an easier way to gain excess to additional services like inside pick-up and delivery. The majority of transporters need to keep careful track of their goods and will include alerts when the cargo arrives at a new location, transfers hands, and reaches the desired place.
How Does LTL Freight Work?
The best way to understand LTL freight is to consider it as part of a hub and spoke model. The hub is a central location, and the spokes are smaller waystations where trucks pick up cargo. Businesses like American Manufacturing Solutions can function as a small waystation where goods can be stored before being taken to a target location. Just remember that LTL freight needs to be under 15,000 lbs. and you will be sharing with other manufacturers and businesses.
LTL freight is what the majority of businesses use, but there is no shame in that. It is a convenient way to get your inventory shipped across the country – or even the globe – while keeping costs low. It even benefits the rest of the economy, since you are making it possible for transporters to keep their business again.
If you worry about the hubs where your products will be temporarily stored, don’t be concerned. Businesses like American Manufacturing Solutions feature clean, well-secured warehouses for easy storage and management. Contact us today to have us manage your entire logistics chain from start to finish!