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How to more LBS into more $$$

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  1. #1
    heeb49 started this thread.
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    How to more LBS into more $$$

    i work hard and generate a decent amount of material. I usually take in 1k or more of one type of material,properly cleaned, at a time. I can't seem to shake the money tree to get more for quantity. the big boys in the Tampa-Lakeland area want to only pay board prices no matter how much I have. How can I shake the moneytree?



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    The first recommendation is to approach it from the perspective of the metal buyer.

    Are they happy for your business? That means consistent loads, large loads, and a desire to increase your business in the future. Spend time in the yard asking questions, visiting with employees, and asking for advice. Indicating your goal is to be there biggest metal supplier in one year, two years, what ever will make them take note.

    Are they happy to see you? When they are happy to see you, they will do what they can to get you in more often. Sometimes something as simple as buying a case of pop for the employees will put you on their radar. If not, send the reinforcements like your wife, girlfriend, or daughter to negotiate.

    What can you do for them? Until you have told them you are an asset for them, you are a turn key operation. Communicating that you are willing to be a partner with them now, but if they by pass the opportunity they may not have another.

    What do they expect for larger payouts? Ask up front what their requirements are for business pricing. If they say they do not offer business pricing, look elsewhere. Either they are not honest or they do not have a good business plan.

    Bottom line, I want you to make a profit, I want to make a profit, and if we cannot do it together I will find someone that wants to.

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    I would take in your tickets for the last 6 months and ask to speak to one of their buyers. Then just ask the buyer if your volume of tickets would qualify you to get a bump in pay and an account with them. I would say your looking to be loyal and blah blah blah. If they say no you get board prices then take those same tickets and go to the competion and start all over again. I bet you will get account somewhere.

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    You may be in a competitive market with board prices already at tight margins. How do their prices compare to the buyers here or based off spot prices? The yard can only pay so much and still stay in business. If their prices are low and they won't increase them with volume I would shop around until you find a yard manager who is willing to work with you.

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    I usually save up a large quantity and drive it to my buyer. Unfortunately, they only buy copper and AL here, the rest gets shipped off Island. I also have to drive 3 hours to get to the buyer. That's a lot of copper/aluminum I have to save up!

    I make it worth my trip though, I sell them the goods then I buy dual cores from them at $50 a pop and resell in my shop for $150. They come with 500gb HDD's and 4GB of DDR2 RAM. Can't beat it!

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    Are you selling your boards to a scrap yard or are you selling to an e-waste buyer? If you need an e-waste buyer in Tampa send me a PM and I'll hook you up with a good buyer. You'll have to make your own deal with him and you might have to build up a business relationship with him.


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