Forever Metallics
How to Start a Scrap Metal Business?
Are you interested in starting a scrap metal business? Lately it seems that more and more individuals are looking into the possibility of starting a scrap metal business. No doubt this business seems to have put a lot of cash into the pockets of many individuals. We all have heard stories of individuals who have left high paying jobs, purchased a heavy duty truck, began picking up unwanted appliances and scrap metal from the streets, and end up making more in this business than they had at prior jobs. The prospect of making a $150,000 a year or more draws a lot of individuals into this business. And, sure enough there are many individuals who make that much and even more, yes much more. So, What might someone need in order to get started in this business.
For one, there are probably several types of scrap metal businesses a person can start. But, before starting any type of business it is extremely important to talk to the Authorities in your state, county, or town in order to obtain the proper licensing. It would not be worth starting something, make a lot of money a it, and be shut down by the Government only because you did not obtain the proper licensing or pay your taxes. Therefore, do your homework. As mentioned above there are probably several different types of scrap metal businesses a person can start. But, let's talk about how a person can start this business from the bottom and work their way up to the top.
First, You'll Need A Vehicle. You are most likely going to need a truck or a van to run your scrap metal business. This is what you will use to transport the scrap to the scrap yard, or recycling facility. Many individuals have started their scrap metal business with a pickup truck or cargo van. If you do not yet have a truck or van and are thinking of purchasing one, then a good place to look at might be Free Government Auctions Online. The U.S. Government auctions off almost anything you can think of on a weekly basis and now many of these auctions are held online. A large number of these auctions are held on sites like eBay and are free to join. For a list of free Government Auctions held on eBay and throughout the internet click on the link at the bottom of this article . On the site you will find information on many Government Agencies holding free online auctions, some of which may be in your neighborhood. Therefore, if you are looking for a suitable vehicle for your scrap metal business, then a good place to start looking might be free government auctions online.
Second. Finding Scrap Metal. Again I would recommend looking for scrap metal at Government Auctions as well. The U.S. Government is probably the biggest seller of scrap metal in the world. But, don't quote me on that. For example, the Department of Defense or the DOD sells anything from military surplus, to scraps of retired navy vessels, to well over 600,000 lbs of artillery shells. They have several millions of pounds of almost any type of metal you can think of. Metals such as: Aluminum, Brass, Copper, Lead, Mixed Metals, Steel, and much, much more. Don't forget that America's Defense Budget is the largest in the world. Many times the size of several nations combined. Many City Agencies sell scrap metal as well. For example, I once saw an online government auction in Miami selling several tons of hurricane shutters made of aluminum. I think the auction was held by the Miami Housing Authority and the aluminum shutters appeared to be in great shape. Maybe they found a different type of hurricane shutter to use. Either way, it looked as if no one was bidding on the auction at all, which started at around $10. One type of scrap metal that may be found at free government auctions online are used vehicles at dirt cheap prices. Some auctions I have seen close with no buyers for vehicles going for $100 or less. If you have a way of transporting these vehicles to the scrap yard, then you may be in business. Note though that some government agencies hold their auctions for a set price. They hold Reserve Auctions and only want a set price or at least a certain amount for their item. And there may be certain restrictions by the government agency as to whom you may resell the scrap or certain military vehicles and components to. Therefore, do your homework. All information pertaining to the auction should be available on the site and help is most likely available. For information on what may be available click on the link at the bottom of this article.
Third. Finding a Scrap Yard or Metal Recycling Center to sell your scrap. This is probably the easiest to do in your business. Go to yellowbook.com, or other online yellow pages. Enter search terms like "Scrap Metal Dealer" or "Scrap Recycling". Enter your zip code and hit "Search" or "Enter". You should come up with a fair amount of results depending on where you live. Now, simply call each scrap yard and find out how much they are willing to pay for what you have to sell. Also, as an extra note, some scrap recycling centers will buy old computer towers and servers. These are items I come across quite often at online government auctions.
Fourth. Starting your own Scrap Yard or Metal Recycling Center. This is probably the area I can give you the least amount of advice for a scrap metal business. But, the only thing I can tell you is to do things in agreement with the law. In other words, legally. Many individuals have given the business a bad name by stealing copper pipes in vacant properties and aluminum guardrails on highways, to name a few. That is more of a reason to do things legally. Remember what I mentioned earlier, it would be a waist of time if you started making a lot of money in this business but ended up loosing it all for failure to cooperate with the authorities. Or worse, you could be banned from this business forever. It's not worth it. You could make so much money legally. Now, if you want to buy a nice piece of land or commercial property to store the scrap metal, then check out the blog for that info as well. The Government is always selling excess land and seized property.
I hope that this information was helpful to you. This article was not meant as legal advice or a sure and only way to start a scrap metal business. Rather, it was offered as a guide to anyone interested in starting a scrap metal business and as a way to possibly purchase certain business items at low cost. It is important that the proper authorities on the subject are contacted. A few things to remember about online Government Auctions is that many of them are free to join, some of your competitors may not know about them yet, and that just because an items is not available near you today, it does not mean that it won't be there tomorrow. Things change from day to day at these online auctions. Thank you for reading this article. Please bookmark this article and subscribe to our blog. Watch the videos to the right of the blog and use our Search Engine to look for specific items. I wish you the best in your Scrap Metal Business. After all it has proven to be truly profitable for many. And remember, "Start Small, But Think Big".
Click Here For Site: FreeGovernmentAuctionsOnline.org
Check Out This Video: http://www.youtube.com/watch?v=mCvn3lajMLk
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