Scrap metal dealing

[Metal2metal]

Hi everyone. I'm new here.

First things first I run an online car parts business at the moment which is going quite well.

As I grew up my granddad had a scrap metal yard that I used to frequent a lot.

I'm very interested in this business.

Few general questions.

1) Where do said scrap metal dealers sell their products & to whom?

2) How difficult is it to get planning permission for a scrap recycling yard?

I wont have any problem sourcing the products and I'm fully aware of the legislations involving cash etc. Also fully aware that it can attract some unscrupulous characters.

Thanks in advance

Derek

 

[vvaannmmaann]

This was the first result on Google.Lots more there Good luck
http://www.inspiresme.co.uk/starting-a-business/starting-a-…/how-to-start-a-scrap-metal-business/

 

[Metal2metal]

Thanks for the reply.

The main point I still can't find is sourcing buyers for the metal I would be holding.

Anyone any advice on this particular point.

 

[abbasmuraj]

Slightly off topic. Saw TV Programme on C4 dealing with Scrap
http://www.channel4.com/programmes/getting-rich-in-the-recession/4od

 

[Merchant UK]

Thanks for the reply.

The main point I still can't find is sourcing buyers for the metal I would be holding.

Anyone any advice on this particular point.

Most sell it aboard, to china, South america and russia, They are all paying well for metal at the moment.

However i fear the contacts are a closely guarded secret as they don't want every tom dick or harry to offer their services also, I think your best bet would be to sell it to the largest scrap dealer you can find

 

[Metal2metal]

Most sell it aboard, to china, South america and russia, They are all paying well for metal at the moment.

However i fear the contacts are a closely guarded secret as they don't want every tom dick or harry to offer their services also, I think your best bet would be to sell it to the largest scrap dealer you can find

I presume there are companies who collect from yards in the container load then ?.

I don't really want to be selling to another Scrap dealer if possible, as this would obviously lower my margins?

 

[dynamic08]

Slightly off topic. Saw TV Programme on C4 dealing with Scrap
http://www.channel4.com/programmes/getting-rich-in-the-recession/4od

It is on topic its scrap

The OP obviously see this program he is most likely from the cupcake brigade.

 

[businessfunding]

I presume there are companies who collect from yards in the container load then ?.

I don't really want to be selling to another Scrap dealer if possible, as this would obviously lower my margins?

Would it lower your margins or increase your market - keep an open mind at this stage..

 

[alasdair1982]

To start of with you will not be able to sell directly to metal refiners. You will have nowhere near the volume of scrap metal to even get there attention. Start of collecting scrap and selling to the best paying dealer in the area. You can make good money doing this

You need to sell to the main dealers in your area until you have the machinery and equipment to process the metal correctly so the refiners will take it. Just to clarify the machinery will set you back several hundred thousand pounds..

One of my customers does this as part of his recycling business and trust me the figures he has mentioned for machinery costs will make most people eyes water.

Like previously said i assume you have seen c4 documentary on scrap dealers, Do remember that the current 31 y/o old owner inherited it from his grandparents who with no doubt done laid the foundations and done all the hard work. It is not as easy as people think.

 

[Gecko001]

I have only experience from a DIYer's point of view, but it might be of help. Ringing up the merchants asking them to call for smallish quantities in my experience will result in them not offering you much if anything at all. However if you arrive in their yard they will be pleased to give you a quote per ton. They like face-to-face dealing it would appear. Ringing up for quotes seems to be a waste of time.

 

[CAEDAN]

SIMS METALS are the UK's biggest buyer of scrap metal. Most yards, if not all supply to them - they (had) very little competition as during the scrap slump, they bought most of the other big recyclers out.

 

[Metal2metal]

Firstly this has nothing to do with any Channel 4 Doc as had been stated. That's just plain rude.

 

[MorrisChesterfield]

Hi,

I am guessing alot of money is to be made processing the metal then sell it on to specialised companies who deal in specific metals.

Strip down X and get all the brass or copper etc etc,

Good luck!

Ben.