Growing my business

What is the margin between peddlers selling price to a scrap yard and the scrap yards selling price to mills, refineries, and brokering loads? For example; I currently buy and sell scrap metal as a licensed secondary metal buyer but I sell to another secondary metal buyer who is much larger than myself. I pay higher prices than the local competition , both large and small , on nonferrous material , then sell it regionally to another scrap yard who gives me a better price based on my volume. God bless him for that , but I need to go to the next level . In order for this to happen I need to know how much more I can sell my commodities for to mills, refineries , etc... ( low end to high end) to project potential gains by investing in equiptment , land, etc... To become a full service yard with roll off and processors.

Can anyone who has great knowledge share some with me?

you asked a question that has no simple reply an trust me, I know alittle about this topic.

To get to the next level is not really something you can JUST do but something you have to work on/at. You have to build up your company on the intake you are getting now and work on meeting new people and network with other yards. When calling "larger yards" or the mills you let them know what you can do monthly and say something along the lines of "but we can do more based on price".

If they give you a good price then roll with it and all up the smaller yards and pay them a little more and sell little higher.

Profit margin if you are looking at profit per pound...you will not make it. You need to look at profit per load. Most times you will only make a profit of a penny or so per pound when all things are said and done but it adds up. I did one deal once where my profit was 1/4 of a penny but I moved 1.9 million pounds of cast iron after everything was said a done (I love rail roads) but you have to look at each deal and work out the numbers not the profit per pound.

We'll let me first ask you where in the South East are you located.