Less-Than-Truckload

Categories: Metrics

Maybe it’s the amount of guacamole you would eat if there wasn’t a thing called calories: more than a car-full but less than a truckload.

But the term most often relates to shipping.

Imagine a commercial truck...one of those big rigs you hate getting stuck behind on two-lane mountain roads. Fill up the trailer and that's a truckload. Obviously, the trucking company would rather travel full. By filling that bad boy to capacity, they maximize their revenue.

But some shipments aren't that big. They are less-than-truckload, or as it's sometimes called "less-than-load," or LTL.

The term generally applies to all shipping companies that carry smaller freight. Like you sending your grandma a locket for her birthday. Much less than a truckload. Although, if you cheap out on the locket, you can expect a full truckload of guilt.

Find other enlightening terms in Shmoop Finance Genius Bar(f)