Should I handle shipping myself or hire a freight company?
Honest cost breakdown for Michigan businesses weighing LTL vs. owning trucks.
You ship enough that the freight bills are adding up. Now you're wondering if buying your own truck makes financial sense. The math gets complicated when you factor in Michigan's winter driving conditions and the real costs of truck ownership.
The break-even point comes down to shipping frequency and route consistency. If you ship the same routes less than three times per week, freight companies usually cost less. Own trucks make sense when you hit consistent volume on predictable routes.
Truck ownership costs more than the purchase price. Factor in driver wages ($45,000-$65,000 annually in Michigan), commercial insurance ($8,000-$15,000 yearly), maintenance, fuel, and downtime for repairs. Winter adds tire chains, extra fuel costs, and weather delays along I-94 and I-75.
Calculate your monthly shipping volume first. Most businesses save money with LTL freight until they exceed 50 shipments per month on similar routes. Gateway Distribution handles LTL shipments across Michigan's highway network, so you pay only for trailer space used. Get quotes for both options before deciding.
The right choice depends on your shipping patterns. Consistent high-volume routes favor truck ownership. Variable shipments to different destinations favor LTL freight companies. You avoid driver management, maintenance headaches, and weather-related delays.
Other things people in Michigan ask
LTL vs full truckload
Use LTL for shipments under 10,000 pounds or less than 12 pallets. Full truckload makes sense for 15+ pallets or when you need faster transit. LTL costs less for small shipments but takes longer due to multiple stops.
LTL shipping cost
LTL pricing depends on weight, distance, freight class, and pickup/delivery type. Residential delivery costs more than commercial. Get quotes with the exact weight, dimensions, and ZIP codes. Expect $200-800 for most LTL shipments under 5,000 pounds.
emergency freight shipping
Expedited freight gets priority handling and faster transit times. It costs 50-100% more than standard shipping but can turn a 5-day shipment into next-day delivery. Gateway Distribution offers expedited services for time-critical freight.
why is freight so expensive
Fuel costs, driver shortages, and equipment availability drive freight pricing. Rates fluctuate seasonally and with demand. Get quotes from multiple carriers and consider longer-term contracts for rate stability during volatile periods.
how to choose freight company
Check their DOT safety rating and insurance coverage first. Ask for references from similar businesses. Look for real-time tracking and dedicated customer service. Make sure they handle your type of freight regularly, not as a one-off.
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Gateway Distribution handles less than truckload (ltl) in Michigan and the area around it.