You should be a scrap metal dealer not a scraper - Page 2

I call around to the 3 different yards in reno before every trip. and the one I go to has the best prices PERIOD on EVERYTHING.

Originally Posted by 1956

Well the reason for that is because of the high theft rate so all the higher ups could come up with was regulating certain ITEAMS, I wanted to touch on a thing you brought up, being licensed does not get you dealer prices in the scrap yard it's what you bring in. I personally do not do much with e-waste, but I will tell you one thing when the time comes and you want that big account you being not licensed will not help you, one thing that can separate you from the rest is having the words LICENSED AND INSURED ON YOUR BUSINESS STATIONARY AND CARDS, TWO HUNDRED BUCKS NOT SPENT GETTING LICENSED WILL DEFINITELY HELP YOUR COMPETITION just my .02.

I definitely agree with 1956 on the licensed and insured part. Just did a removal job for a plastics testing company that required insurance. Will be meeting with the IT department of one of the largest employers in the county this week to discuss computers and e-waste. Will be really nice to show them that I have a 7 figure insurance policy.

To reitetrate what others have said before, to get to that next level (beyond curbco and the occasional residential call for a pickup) you need to spend some money to make some money. For those doing residential pickups and for those with signs on your trucks, for your own protection, consider getting liability insurance.

Originally Posted by newattitude

Lets say I am at the same yard 5 days a week turning in a ton of steel with 2 or 3 loads, should I be getting a higher price? Thats not counting my non ferrous. I have seen guys pull out of this yard (best prices around) with wheels smoking and all I can figure is they asked for a better price for a trailer load of AC fins and didn't get it. For whatever reason.

Well to answer your question, the profit margins are not as much as many on this forum may think, especially on tin / shred, so if I understand you correctly in a five day week you are bringing in two tons a week, average 700-800 lbs a load, because you are so consist may be you should be able to get $5.00- $10.00 a ton over door price, but there really is not much more than that, that they could do for you. I am being honest, I just want to add this Tibet, if it's possible try to get a bigger truck or trailer cutting down on the trips to the scrap yard will give you more time to pick up more material so that you can get to the level you want to be at.

Hey 1956,

Did you have some examples as to how much more the dealer price can be compared to the door price? Is it about 20% more as another forum member mentioned in this thread? Maybe something like: dirty bass: walkin price $1/lb and dealer price $1.20/lb? Im sure the price varies but, would you be able to give some numbers on price/lb door price vs. dealer price?

thanks

Originally Posted by mrsamsonite

Hey 1956,

Did you have some examples as to how much more the dealer price can be compared to the door price? Is it about 20% more as another forum member mentioned in this thread? Maybe something like: dirty bass: walkin price $1/lb and dealer price $1.20/lb? Im sure the price varies but, would you be able to give some numbers on price/lb door price vs. dealer price?

thanks

Depends on the yard and the item. My primary yard could be as low as 5% on ferrous items to as high as 133% on some non ferrous

[QUOTE=mrsamsonite;209532]Hey 1956,

Did you have some examples as to how much more the dealer price can be compared to the door price? Is it about 20% more as another forum member mentioned in this thread? Maybe something like: dirty bass: walkin price $1/lb and dealer price $1.20/lb? Im sure the price varies but, would you be able to give some numbers on price/lb door price vs. dealer price?

Just like mthomasdev answered, there is no science on this topic every item along with the amount of that item a yard has will determine the profit margins.