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What are the Differences Between FTL and LTL?

What are the Differences Between FTL and LTL?

What Is LTL?

LTL stands for Less Than Truckload. It refers to the freight that utilizes a trailer only partially. To put it more simply, this means that products from different shippers will share the same truck on the way to their consumers. LTL functions on a double model – hub and spoke. First, the freight would reach the spoke terminals. The load there is divided and then sent further hub terminals via outbound trailers.

What Is FTL?

Full Truck Load is the full version of FTL. This is used when a producer has enough things to ship that they need an individual truck. This doesn’t mean that the truck has to be completely full. Maybe, a company would rent a separate truck even for a small number of products that may be fragile.

How Do These Two Compare?

Which One Is More Expensive?

Right of the bet, FTL is on the costly side. This seems logical. After all, you will be renting an entire truck just for yourself. You have to partake in the gas bills, driver`s efforts, space etc. On the other hand, LTL is much more cost-effective. You share the fees with other shippers. This is perfect for small-scale businesses. They still don’t have power over a big amount of money and therefore have to find any way to save an extra dollar while still trying their best to provide the best service to the customers.

The Issue Of Security

Although LTL is low-priced, this may not be worth it if your freight gets suffers a sort of an accident. When you take this option, you have to be aware that the products you`re shipping will share room many others. Tottering could be caused by some abnormalities on the road, boxes will crash against each other and there you go – a problem arises. Moreover, the freight would have to change two different trucks on the way to its final destination. More space for damage.

Which One Works Faster

With FTL, the road of your freight is straightforward. There are no stops, no pauses – the products directly go from the point A to the point B. You might pay extra, but if there is a high consumer demand, it will pay off in the long run.

What About The Size Of Shipment?

LTL lets you ship only up to 5,000 pound freight. FTL, therefore, has an advantage here because it is suitable for much larger shipments. Why sending your products multiple times via LTL when you can send it all at once in a single vehicle.

Ready to Ship?

You really have to measure up your business and your pocket. If you are just at the beginning and don’t make that much profit yet it means you probably do not have the means to finance the FTL. Moreover, selling a bunch of products at once during this stage is dangerous. You still can’t predict the success. Therefore you have to dip your finger into the water first, feel the possible demand and then decide yourself for the FTL if the business goes well. At that point FTL may be a better choice, as it is safer, not as time-consuming as LTL and will prove to be economical in future. Now that you are set, click here to start an order with us!

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