Should I handle shipping myself or hire a freight company?
The math behind owning trucks vs. using LTL freight in Tennessee, TN.
Your shipping costs are climbing, and you're wondering if buying your own truck makes sense. The decision looks simple until you factor in driver wages, insurance, maintenance, and downtime. Most Tennessee businesses think they need more volume than they actually do to make truck ownership profitable.
The break-even point for owning trucks depends on consistent volume and routes. You need the same route at least three times per week, every week, to justify the fixed costs. Driver wages in Tennessee run $50,000-70,000 annually, plus benefits. Add commercial insurance ($8,000-15,000), maintenance ($15,000-20,000), and truck payments, and you're looking at $100,000+ per year before fuel.
Most businesses underestimate the hidden costs. Trucks break down, drivers call in sick, and routes change. You still pay those fixed costs during downtime. LTL freight companies spread these risks across hundreds of trucks. Your cost per shipment stays predictable. The math usually favors freight companies until you hit 50+ shipments monthly on consistent routes.
Calculate your annual shipping spend and divide by 12. If it's under $15,000 monthly, stick with freight companies. Track your routes for three months. Count how often you ship the same lane. If it's less than three times weekly, truck ownership rarely makes sense. Gateway Distribution can run actual numbers for your Tennessee routes and show you the comparison.
The right choice keeps your shipping costs predictable and your cash flow stable. You focus on your business instead of managing trucks, drivers, and maintenance schedules. Your freight moves reliably without the headaches of fleet ownership.
Other things people in Tennessee 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 Tennessee and the area around it.