How much profit are guys happy with?

At auctions, buying equipment to use, there has lately been alot of stiff resistance from scrappers...case in point is a machine I bought that I know from the specs weighs around 5,500 pounds. Mainly consists of big cast iron castings, and few electric motors and wiring which I estimate might about to 300-400 pounds. Paid $700 for it. Did not include loading which turned out to be a nightmare with roll back. Word I got is scrap is around 13 cents a pound. That would $715 for it.



So is that low of margin in buying and selling to the scrap yard? Or do these guys have somewhere they are selling for alot more?

It depends on the risk level you are willing to take and how much cash you can "gamble" without affecting your living expenses. I'm not a rich man but I do take risks with some investments in liquidation sales if I do some careful looking into my options. For example, i bought 400 dehumidifiers sight-unseen (execpt some photos, but not in person) awhile ago that I mentioned before. My worst-case scenario was that i would break even if i just scrapped them out (my total investment currently is $7.50 per dehumidifier). But I've been cleaning them up and slowly selling on CL for $50-$60 each. It sometimes takes patience and a few hit and miss jobs to get a groove. Even if you dont make a profit, you can earn and learn from a good experience (if it doesnt break you financially). Take solice in knowing that if you only break even on that item, or lose a couple dollars, you have gained some knowledge. In your specific case, not knowing the type of equipment, i would look at taking off any item to sell seperately if there is a market for it.