Like some input on processing

For some time now we have been doing processing for corporate clients. The way this works is the corp wants to keep the copper and they want to either use it or sell it for a higher value but they don't want to take the time to strip it down.



What we offer them is the ability to pay us .50 cents a pound and we process the wire for them. They get to keep the end result of copper and sell it wherever they wish (I will even buy it back at barebright price).

The input I would like from you guys is if you all think this will work in the scrapper segment. I know the corps like it but I am not sure what the die hard scrappers think of it. Any input would be valued.

Good point. I think I would put a limit of 100 pounds of wire. It would have to be 100 of each type. For example, 100lbs of Romex and 100lbs of cat5. This way I use less changeovers and could have a turnaround time of 24-36 hours.

Let me make sure I understand what you're saying here. You'd be offering to pay me .50/lb to strip copper wire, right? And you're asking if I'd be willing to do that? If I got it right then my answer would be heck yeah! Stripping wire is not my favorite thing to do, but that sounds like a pretty good deal to me.

Ohh. Lol. Now I see. Well, it's like this. I had this bottle of Jack that I was holding for theHoss in hopes of of a trade for some t.v.'s and, well guess he didn't wanna trade cause now it's empty and I still aint got no t.v.'s. so you prolly know how it got empty. Lol . But, seriously I'd have to give this one some thought and research. I mean, on the cover it kinda sounds like a pretty decent deal. One I definitely consider. I'd have to crunch the numbers to see how'd I'd come out in the end.

That is not a bad idea. The only issue I have with it is that I don't keep inventory. From reading the posts recently it is a good thing that I don't. Typically, the items I get in from my clients are processed and removed within 24 hours.

Still it might be worth it to put in a vault so I can keep the inventory and try that.

Originally Posted by skylinejackjr

Ohh. Lol. Now I see. Well, it's like this. I had this bottle of Jack that I was holding for theHoss in hopes of of a trade for some t.v.'s and, well guess he didn't wanna trade cause now it's empty and I still aint got no t.v.'s. so you prolly know how it got empty. Lol . But, seriously I'd have to give this one some thought and research. I mean, on the cover it kinda sounds like a pretty decent deal. One I definitely consider. I'd have to crunch the numbers to see how'd I'd come out in the end.

If you had 100 pounds of Romex at $1.50 I would pay $150.

If you had me process it you would pay me $50. I would then offer to buy the chops at $3 a pound. Romex is a 65% recovery so you would have 65 pounds of copper. Therefore, I would pay you $195. It looks like you might lost $5 on the deal.

I might need to tweek the costs some. I think it would work for some wire, like THHN or insulated #1. Cat5 and Romex might need to be tweeked.

An idea for another option you may have that might be easier... offer exchange rates. You probably have copper at the ready from the other wire you process. If someone brings in wire that is say 65% recoverable you could give them 50% of the weight in copper and settle the deal then and there instead of having to schedule a 24-48 hour turn around. They get copper in hand that day and you come out ahead in the long run. This would also allow you to take nearly any amount of wire since you wouldn't have to process it independantly of other wire shipments.

Originally Posted by miked

Is your machines able to process say 14-22 gauge stranded mixed together? Not that I am near enough to take advantage of your service but I am answering as if I am. If I could process 100lb+ lots of the above then it would be useful. My real dream is to own a set up that would allow me to buy wire locally and process it. Mike.

Not mixed together. The machines have a screen with holes in them that the wire is forced through after the chopping process. If the wire is mixed and it is dramatically different in size then it will not separate well on the other end of the line. This is why I have my yards separate the wire for me before I pick it up.

Originally Posted by High Voltage Processing

That is not a bad idea. The only issue I have with it is that I don't keep inventory. From reading the posts recently it is a good thing that I don't. Typically, the items I get in from my clients are processed and removed within 24 hours.

Still it might be worth it to put in a vault so I can keep the inventory and try that.

You should always keep inventory, just like you should always keep a record of everything that comes in and out.

Not sure why I would want to keep inventory. Unless I take your suggestion and pay with chops. My business model is a fast in/fast out method. Most of the business I get is not really my copper. I process it for corporate clients. I recently started to open the doors to the general public.