What is Less Than Truckload (LTL) Shipping and How Can It Help You?

LTL shipping is the smart and economical shipping method for any company that needs to transport freight weighing between 100 pounds and 10,000 pounds. Simply put, it’s the most cost-effective way for companies who don’t ship full truckloads (hence the less than truckload name) of product at a time to transport their freight. 

In this article, we will dive into how LTL shipping works, and the benefits it can bring to your company. 

How Does LTL Shipping Work? 

Essentially, LTL carriers use a network of trucks and terminals to move smaller loads by consolidating them with other LTL shipments. This contrasts with Full Truckload (FTL) shipping, which moves a single shipper’s freight directly to the final destination. 

Think of the LTL network like a spoke-and-hub design: smaller, local (spoke) terminals feed into larger, central (hub) terminals that guide shipments on their journey. Once an LTL shipment is picked up, it goes to a local terminal for initial consolidation, then on to a central terminal. From there, it may move through additional terminals before reaching a hub near its final destination for delivery. 

For example: if you have 2,000 pounds of toy robots to ship from a Chicago suburb to Houston, paying for a full truck doesn’t make sense—you won’t come close to filling it. With LTL shipping, you share space on a truck and only pay for the portion you use, saving money while still shipping on your schedule. 

Over the course of the trip, your freight may travel on multiple trucks and through several terminals, but the process is designed for speed, efficiency, and cost savings. 

Want to see how LTL shipping works in action? Watch our animated video and explore our LTL solutions to see how Redwood can simplify and optimize your freight moves. 

Benefits of LTL Shipping 

If the ability to transport smaller loads when you need to without paying for a full truckload isn’t enough of a reason to consider LTL shipping for your company, it also offers other benefits that make it a smart logistical choice for your business. 

• Cost savings – Pay only for the space you use and avoid the expense of a full truckload. 

• Contract pricing – Many carriers allow you to lock in rates with annual contracts for predictability. 

• Fast turnarounds – Some LTL carriers can deliver in as little as two hours, ideal for limited warehouse space. 

• Nationwide coverage – Large LTL networks can complete cross-country deliveries in a week or less. 

• Real-time tracking – Track freight via Bill of Lading, PRO numbers, or carrier portals for full visibility. 

• Lower carbon footprint – Reduce environmental impact by sharing trucks instead of running partially empty loads. 

• Increased security – Freight is secured on pallets or in crates, reducing risk compared to parcel shipping. 

• Extra services – Access to liftgates, inside delivery, non-commercial pickups, and advanced delivery notifications. 

Managing freight in the most cost-effective and operationally sound way isn’t always easy, especially when you have multiple smaller shipments to move. LTL shipping helps you get your products delivered on time, at a competitive rate, and with flexibility that adapts to your business. 

At Redwood Logistics, we help shippers move thousands of LTL shipments every month with confidence. Our carrier relationships, competitive rates, advanced shipment visibility tools, and proactive customer service team make us a trusted extension of your supply chain. Whether you’re looking to reduce costs, improve delivery performance, or gain better freight visibility, Redwood is ready to help. 

Contact us today to discover how our LTL solutions can simplify your shipping and keep your freight moving.