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Metal recycling business: the perspectives

21/12/2016

Metal recycling business - from "junk business" to "gold mine"

Metal recycling business was considered by many the "junk business" earlier in the times when environmental issues were not the topic for discussion. The today's reality has to deal with the dangerous effects of improperly disposed waste metals. Recycling is the crucial process against continuous depletion of the natural resources. Thus, metal recycling business developed the model of turning metal from waste into a valuable commodity that may bring substantial profit, both financial and environmental.

Driven by high demand for metals in the world economies, the price of metal has doubled in recent years. For that reason, recycling industry has become a $65 potential billion industry. So more and more companies see the benefits of making the revenue from their metal scraps. Metal recyclers aren't picky these days - they barter in various types of metals, from iron and steel to aluminum and copper.

Metal recycling

Nevertheless, the perspectives of metal recycling business are mainly referred to the growing eco-consciousness in the community. Thus, the world governments implement policies aimed at environmental protection programs and large financial grants to those enterprises which maintain the eco-friendly production process.

The benefits of metal recycling business

Today, 30% of the world metal and metal scrap end up being recycled or "recovered" in the form of finished products. If you still have some doubts about business perspectives of this type of industry, let's have a look at some of the obvious and not-so-obvious advantages of metal recycling business:

  • Earth friendly practices and reduction of waste
  • Opportunity to enhance your chances of winning new contracts by demonstrating your environmental responsibility through metal recycling efforts
  • Opportunity to enter the billion-dollar market
  • Opportunity to recycle any type of metal without changing the chemical or technical characteristics of the substance
  • Opportunity to use recycled metals within other industries, like electronics or mechanics
  • Consistent rise of metal recycling prices
  • Immediate financial payoff to metal recycling business
  • Lower operational and resource costs by comparison to the manufacturing or extraction of metals from their raw state
  • Economic contribution with respect to the Gross Domestic Product

Many companies within the metal recycling business will collect metal particle at more reasonable price rate, thus, you eliminate the further expenses on storing your wastes or hiring an additional service to take it away.

How to launch your metal recycling business?

The launch of your own metal recycling business requires between $3,000 and $11,000 of start-up capital regardless of the type of metal you focus on, whether it's copper, lead, silver, or tin. Considering the constant growth of metal prices over the past couple of years, you can expect to have the financial investment to be paid back within the shortest deadlines.

Scrap Metal Market

Scrap Metal Market in the UK http://metalscraps.co.uk

UK biggest database of scrap metal recyclers.

The first thing that you should do is to learn the market and specify the product your business will be focused on. This will dictate the size of your business and the kind of machinery that needs to be implemented. In this case, we recommend you to look at the metal market and check three the most recycled metals on your specific market. As the company grows, you can add some more metals eligible for recycling.

Then, make sure that you are familiar with all the laws and restrictions of the region where you are going to set the facility. Usually, it leads to obtaining the necessary certificates and licenses required to operate in the metal recycling industry.

Before the official launch, promote your business to gain new clients who might be interested at your services and sign up agreements with potential partners.

When you are fully equipped with all the necessary information, you can set up your own metal recycling business.

In this context, metal recycling business doesn't just make sense, it makes profit.

Source: https://trade-metal.com/news-metal-recycling-business-the-perspectives-8.html

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