Essential LTL (Less-Than-Truckload) Terms Every Shipper Should Know
By Tools2Ship · 2026·07·27 · 5 min read
If you're new to the world of shipping, you've probably come across terms like freight class, NMFC, Bill of Lading, or liftgate service and wondered what they actually mean. The logistics industry has its own language, and understanding these terms can make shipping much less confusing.
Whether you're a shipper, warehouse manager, logistics coordinator, or simply curious about how freight moves across the country, this guide explains the most common LTL (Less-Than-Truckload) shipping terms in plain English.
1. LTL (Less-Than-Truckload)
LTL shipping is designed for shipments that don't require an entire truck. Instead of paying for a full trailer, your freight shares space with shipments from other businesses. It's one of the most economical ways to ship smaller loads.
2. FTL (Full Truckload)
Unlike LTL, Full Truckload (FTL) shipping dedicates the entire trailer to a single shipment. It's ideal for large shipments or freight that needs to travel directly to its destination without multiple stops.
3. NMFC (National Motor Freight Classification)
Think of the NMFC as a rulebook for LTL shipping. It assigns a standard classification to different products based on factors such as density, handling requirements, value, and how easily they can be transported. This classification helps determine shipping costs.
4. Freight Class
Every LTL shipment is assigned a freight class, ranging from Class 50 to Class 500. Generally, dense and easy-to-handle items receive lower classes and cost less to ship, while bulky or fragile items fall into higher classes.
5. Density
Density measures how heavy your shipment is compared to the space it occupies. Dense freight usually costs less because it makes better use of trailer space.
6. PCF (Pounds per Cubic Foot)
PCF is simply a way to calculate density. Divide the shipment's total weight by its cubic feet, and you'll get its pounds per cubic foot.
7. Bill of Lading (BOL)
The Bill of Lading is one of the most important shipping documents. It acts as a contract between the shipper and the carrier and includes details such as the shipment contents, origin, destination, and special handling instructions.
8. PRO Number
Once a shipment is booked, the carrier assigns a PRO number. This unique number allows you to track the shipment from pickup to delivery.
9. SCAC Code
The Standard Carrier Alpha Code (SCAC) is a unique code that identifies transportation companies. It's widely used in freight documentation and electronic data interchange (EDI).
10. Accessorial Charges
Sometimes a shipment requires services beyond standard transportation. These additional services—such as residential delivery, inside delivery, appointment scheduling, or liftgate service—are called accessorials and usually come with extra charges.
11. Liftgate Service
Not every location has a loading dock or forklift. A liftgate is a hydraulic platform attached to the back of a truck that safely lowers freight to the ground during pickup or delivery.
12. Residential Delivery
Delivering freight to a home rather than a commercial address often requires additional planning and equipment, which is why carriers usually apply a residential delivery fee.
13. Limited Access Location
Some destinations are harder for freight carriers to reach, including schools, hospitals, airports, military bases, construction sites, farms, and places with restricted access. These locations often require extra handling.
14. Pallet
A pallet is a flat platform that allows goods to be stacked securely and moved easily using forklifts or pallet jacks. Most LTL shipments are palletised.
15. Skid
A skid is similar to a pallet but has a simpler design without a bottom deck. It's commonly used for moving heavy machinery and industrial equipment.
16. Cubic Feet (CBF)
Cubic feet measures the total volume of your shipment. Along with weight, this measurement plays an important role in determining freight class and shipping costs.
17. Linear Feet
Linear feet refers to the amount of floor space your shipment occupies inside the trailer. Large shipments that take up significant trailer space may be priced based on linear feet.
18. Freight Quote
Before shipping, carriers or freight brokers provide a freight quote—an estimate of the transportation cost based on factors such as weight, dimensions, freight class, origin, and destination.
19. Carrier
The carrier is the transportation company responsible for moving your freight safely from pickup to delivery.
20. Freight Broker
A freight broker helps connect shippers with carriers. They compare rates, arrange transportation, and help find the best shipping solution without operating trucks themselves.
21. Shipper
The shipper is the individual or company sending the freight.
22. Consignee
The consignee is the person or business receiving the shipment at its final destination.
23. Third-Party Logistics (3PL)
A 3PL provider manages logistics on behalf of businesses. Their services may include transportation, warehousing, inventory management, and freight coordination.
24. Cross-Docking
Cross-docking is a logistics process where freight is transferred directly from one truck to another with little or no storage time. This speeds up deliveries and reduces warehouse costs.
25. Hub-and-Spoke Network
Many LTL carriers operate a hub-and-spoke network, where shipments move through central terminals before being sorted and forwarded to their final destinations.
26. Transit Time
Transit time is the estimated number of business days it takes for a shipment to travel from pickup to delivery.
27. Freight Claim
If freight is lost, damaged, or arrives incomplete, the shipper or receiver can file a freight claim with the carrier for compensation.
28. Concealed Damage
Sometimes damage isn't visible when the shipment arrives. If it's discovered after unpacking, it's known as concealed damage and should be reported promptly.
29. Proof of Delivery (POD)
A Proof of Delivery confirms that the shipment has been delivered successfully. It usually includes the recipient's signature, delivery date, and time.
30. OS&D (Over, Short, and Damaged)
OS&D is used to document shipments that arrive with extra items, missing items, or visible damage. Recording these issues immediately helps simplify the claims process.
Final Thoughts
Learning LTL shipping terminology doesn't have to be overwhelming. Once you understand these basic terms, reading freight quotes, booking shipments, and communicating with carriers becomes much easier.
Whether you're shipping occasionally or managing freight every day, a solid understanding of LTL terminology can help you avoid unexpected charges, improve communication, and make more informed shipping decisions. As the logistics industry continues to evolve, knowing the language of freight is a valuable skill that will serve you well.