What do you pay for scrap?

**andrew1990** · 11-20-2012, 06:27 PM

Up until now I have been scrapping by driving around on garbage day and picking up whatI could in my car. Im looking to expand by purchasing metals in our county.

At this time I will be focusing on the big dollar items such as copper brass and aluminum since I have a small car and cant carry larger amounts of steel. I do plan on purchasing a trailer here soon when finances are in order but as of now Im using the trunk with seats folded down. So what does everyone pay for their scrap? As in what percentage?

Right now Ill be offering free pickup in our county and will schedule ahead of time to make sure I save as much on gas as possible. Thinking I may be paying 65-75% of what the scrap yards offer.

Good Idea or paying too much?

**Phantoms001** · 11-20-2012, 06:36 PM

WAYYYYYYYYYYYYYYYYYYYYYYYYYYYYy too much, there is going to be nothing left after you consider even gas/ware-n-tear on the car. The only thing I buy is electronics.

**miked** · 11-20-2012, 06:37 PM

Lots has be written on the subject. I will add that you are proposing paying too much. Of course if the material is next door/on the way to the scrapyard, on a re-occurring basis, and its the only way to get and you are willing to work at that rate then good to go.

Also if you are buying full towers for nearly as much as the local yard is paying then by all means that would work. Over all your question is too broad to answer to the point of what would be helpful. I suggest you continue to read lots of the old threads and then see what works for you. By the way I do pay for most all of what I scrap. Mike.

**andrew1990** · 11-20-2012, 06:39 PM

Well theres a lot of competition her from the scrappers who constantly beg for free metal. I figure if I pay something for it it would put me ahead of all of them. If not 65% perhaps lower it down to 30%?

I understand the need for profit, but where I live there is a 25% unemployment rate so a lot of people know what scrap is worth unfortunately. One of the reasons Im getting into Escrap as no one knows about it yet.

**Phantoms001** · 11-20-2012, 06:47 PM

Originally Posted by andrew1990

Well theres a lot of competition her from the scrappers who constantly beg for free metal. I figure if I pay something for it it would put me ahead of all of them. If not 65% perhaps lower it down to 30%?

I understand the need for profit, but where I live there is a 25% unemployment rate so a lot of people know what scrap is worth unfortunately. One of the reasons Im getting into Escrap as no one knows about it yet.

I wouldn't pay a percentage. I'd be looking to pay a flat rate that I knew, even with the fluctuation in prices, I would be in the black.

**Russell** · 11-20-2012, 07:26 PM

Get a proper vehicle and make mistakes. It's the only way you will learn.

**jghilino** · 11-20-2012, 07:31 PM

escrap is very profitable if you know the ropes, but parting out cars is a great way to go also. Either way you need to do you homework first before putting alot of money into buying stuff.

**happyscraper** · 11-20-2012, 08:07 PM

The only things I buy now are high end electronics, computer towers, switches, servers ect. I would not pay for copper, brass, al ect. To much free stuff out there, you just have to get the word out and go get it.

**jghilino** · 11-20-2012, 08:19 PM

i always buy copper brass and aluminum from the locals, alot of them dont know how to sell it or dont want to drive to/ deal with a yard

**KzScrapper** · 11-20-2012, 08:26 PM

Everyday is different and every deal is different. Play out as many scenario's in your head as possible so that you are ready to jump on something if it comes along. I like to at least double my money but that isn't always possible. Being willing to buy scrap will put you in the drivers seat eventually.

**Russell** · 11-20-2012, 08:52 PM

Kz is right. You will eventually know if something is worth it or not. There is no one simple generic answer. Your profit margins can be 100% or 1% either scenarios could be quite profitable, or a complete waste of time.

**Mechanic688** · 11-20-2012, 09:32 PM

Originally Posted by andrew1990

Well theres a lot of competition her from the scrappers who constantly beg for free metal. I figure if I pay something for it it would put me ahead of all of them. If not 65% perhaps lower it down to 30%?

I understand the need for profit, but where I live there is a 25% unemployment rate so a lot of people know what scrap is worth unfortunately. One of the reasons Im getting into Escrap as no one knows about it yet.

I really think you should take the time to do a bunch of reading cause all the answers are here to your questions. If you don't get a whole lot more knowledgeable then your gonna lose your a$$ buying scrap. There is quite a few scammers around and they wouldn't think twice of pulling the wool over your eyes. All the knowledge you need is here but we can't/won't make you read it.

**taterjuice** · 11-21-2012, 12:37 AM

I pay for almost 98% what I get, reason being round here not a lot of free scrap to be had, and not a constant supply of it either. So I buy and buy, I make a smaller margin that hauling stuff that's free but I can always make the difference up with volume, just as your local scrap yard does it. I pay top dollar for what I get too, it helps get new customers and keeps the old ones. I'd rather haul scrap year round that sitting at the house waiting for the phone to ring. And be willing to sacrifice some time and go out of your way to make a customer happy goes a long ways as well, I've made many runs to the landfill for customers and believe me it's more than paid off.

**DevinThaScrapper** · 11-21-2012, 11:40 PM

If i were you i would get a truck and maybe a trailer and haul more stuff and save money, And then invest in buying scrap metal...

**andrew1990** · 11-22-2012, 02:04 AM

Originally Posted by DevinThaScrapper

If i were you i would get a truck and maybe a trailer and haul more stuff and save money, And then invest in buying scrap metal...

I do plan on purchasing a trailer for my car soon, and if I need to haul a lot of weight I can cut my father in on the deal as he has a Chevy 1500 Z71.

I know what metals are worth and I have a lot of experience scrapping. I am just seeing what other people base their prices on.

**porkchop01** · 01-02-2013, 06:20 AM

I'm just getting started scrapping as a part time business so right now i dont have the finances to buy from people. I get my stuff free from people who just want it gone or was going to through it in the trash anyway. I get escrap, scrap metal, appliances, and break down sofa beds and recliners when i come across them. Still learning the different metals to maximize my profit on scrap metals and still learning how to maximize my profits on escrap. This forum has helped me out a lot with learning these things.

**Patriot76** · 01-02-2013, 07:45 AM

Offering a percentage works here. The traditional land/lease of 1/3 owner, 2/3 renter is something farmers and ranchers grew up with, trust it, respect it, and respect people that honor the tradition. Offers to buy outright scare them because they do not know if they are getting a good deal. In addition when prices fluctuate I only loose or gain 66%. This strategy works in some rural areas, but probably would not work as well in urban areas.

When I first joined the forum I asked a similiar question to find out if anyone was using this system. I was also directed to read the posts, but have yet to find anyone using it. Previous posts are very valuable. Reading the posts answered questions I did not know I had.

Good Luck

**skylinejack** · 01-02-2013, 09:18 AM

65-75% seems like way to much to pay for scrap. But, that said, there's nothing wrong with paying a percentage. First and foremost try to get as much as you can for free. Pay for the rest. Just pay a reasonable amount. I do offer a percentage. 33% of the total amount. Whatever the scrapyard pays me , I'll bring that receipt back to my customer and show him/her. Then I'll give them their third in cash. Sometimes they'll want to go to the yard with me to make sure it stays on the up n up. And that's fine. I have no problem with it. Most times they trust me and do want to go to a scrap yard. Either way, I'm 100% honest with them. Many have been repeat customers because of this.

I don't usually do this for small loads. You can end up losing out big time. You just gotta kinda get a feel for what each particular load is gonna be worth. Tip: When you get set up a little better look into scrapping cars. Good money there.

What do you pay for scrap?

Thread Tools

Search Thread

Display

What do you pay for scrap?

The Following 6 Users say Thank You for This Post by miked:

The Following User Says Thank You to Phantoms001 for This Post:

The Following 4 Users say Thank You for This Post by Russell:

The Following User Says Thank You to jghilino for This Post:

The Following 5 Users say Thank You for This Post by KzScrapper:

The Following 2 Users say Thank You for This Post by Russell:

The Following 6 Users say Thank You for This Post by Mechanic688:

The Following 5 Users say Thank You for This Post by taterjuice:

The Following User Says Thank You to andrew1990 for This Post:

Similar threads on the Scrap Metal Forum

How much would you pay for scrap vehicles?

$0 Pay - How do they get away with it?

Thread Information

Users Browsing this Thread

Bookmarks

Bookmarks

Posting Permissions

The Scrap Metal Forum

SMF Recommended Links

SMF on Facebook and Twitter