thinking about opening a new scrap yard in fort worth texas

**DropYoTop** · 04-03-2012, 01:44 AM

ok i had plans on staying in this other business but the industry is dyeing out so i've been wondering what you regular scrapers with the pickups like
Indoor scrap warehouse where i have a parking lot and have a forklift drop a can for steel
or a out doors scrap yard where i weigh your truck with the metal when you get in and out?
let me know what you think

**freonjoe** · 04-03-2012, 09:21 AM

Are you targeting retail scrappers or commercial accounts?

**Mick** · 04-03-2012, 09:40 AM

Outdoor for ferrous stuff as I usually haul larger amounts on a trailer. Magnet is a must as some smaller items are heavy (and numerous) but can't be unloaded with a grapple. By way of illustration - One yard lost my business after they refused to hook up a magnet to unload 1500 pounds of auto brake drums; plus a wood stove and a couple of other heavy things. Had to unload by hand. Indoor for copper, some aluminum etc as they tend to be hauled in tubs in the back of the pickup. I should be able to back the pickup to the door. Forklift from there, if necessary.

The yard around the corner got my business by saying that I'd never have to unload my trailer by hand.

**DropYoTop** · 04-03-2012, 01:36 PM

im just gonna be a middle man that gonna get scrap from an average scraper. im not gonna have any smelting equipment for now since im not gonna have alot of money since im leaving Illinois also.

And Oh really? yeah im gonna have to check out magnetized lifts and i want it to be customer friendly for better business.there a yard for sale that says its ideal for a new scrap yard but it has no photo's just describes the place its been under a flood soo im getting the land for a $1.25 a sq ft it says it gets 1000's of cars passing everyday soo i could do a lil advertising too.
Anyways thanks for your thoughts.

**Mick** · 04-03-2012, 02:51 PM

Speaking of 1000s of cars a day - look for ease of entry and exit in BOTH directions. Remember that pulling a trailer takes more time and room; especially for the inexperienced, weekend operator. Is the place already permitted and zoned for a scrap yard? "Been under a flood" would seem like a red flag to me. At the least, it would tend to be a muddy mess.

$1.25 a sq ft seems AWFULLY high to me. But, consider 15 years ago I bought where I am (60 acres of woodland) for $2,500 (0.00095/sq ft).

**wayne** · 04-03-2012, 07:13 PM

Using land that has been under a flood is like building on a fault line. It's just a matter of time...

**DropYoTop** · 04-03-2012, 11:04 PM

Yeah i've really never shopped for land before i always go look at warehouses for sale and they are way more than the 1.25 sq ft But obviously its because the building. But ive nor bought a industrial property i've only rented. But anyways i though it was a steal ive found it on CL and it sed yeah 90% of the property was under flood and it was for scrap yard or salvage yard.
But what if it was under flood wouldn't it all dry up?

**mikedmissouri** · 04-03-2012, 11:10 PM

Originally Posted by DropYoTop

Yeah i've really never shopped for land before i always go look at warehouses for sale and they are way more than the 1.25 sq ft But obviously its because the building. But ive nor bought a industrial property i've only rented. But anyways i though it was a steal ive found it on CL and it sed yeah 90% of the property was under flood and it was for scrap yard or salvage yard.
But what if it was under flood wouldn't it all dry up?

Im sure it would dry up. But how long until it floods again?

**ScrapperNJ26** · 04-04-2012, 08:39 AM

That's a lot of fill if you ask me.....

**DropYoTop** · 04-04-2012, 06:34 PM

Yeah im gonna keep looking around i Originally wanted to take over owner ship of one but i did not find any But the other day i found one for 7 mill but that's too much i would be declined in a minute if i try to get a loan for that kind of money. i really just want to take over owner ship and try to improve the business or just leave it as is.
anyways, what is a price rang from cheap to high for a already running scrap yard(with everything included, machines etc)?

**mikeinreco** · 04-04-2012, 08:02 PM

You better have big pockets or a big financial backer......I would say to really get started I would want at least half a mil to a mil to even go into the scrap biz.....That's just me because you have so many variables....payroll, equipment, zoning regulations, etc. etc. etc......the list goes on....Seems to me you have not really thought this through