Earn $5 Per Pound Selling Scrap Metal & Building Your Business

published – Apr 25th 2022

Metal plays a very important role in modern life. If you don’t believe me, simply take a look at all the objects and appliances placed around your home. Although, what exactly happens to the stuff that goes unwanted? A lot of it is simply discarded as trash but you may be pleased to hear that you can earn extra income dealing in scrap metal.

pile heap Earn $5 Per Pound Selling Scrap Metal & Building Your Business work jobs make money sell — photo by Pexels from pixabay

Which household items contain valuable scrap metal?

Is there any scrap metal near me? As a guide, you can salvage this from all sorts of items like:

televisions
vehicle alloy wheels
sheeting
chain link fences
bed frames
motors
golf clubs
taps
kitchen & utility room electrical appliances (both large and small)
exercise dumbells
girders
cables
ladders
radiators
lamps
wires
bicycle frames and parts
car batteries
gates
computer monitors
transformers
drums & barrels
nuts
door handles
washers
bolts
pipes
latches
locks
sinks
light fixtures
tools
candlesticks
BBQ grills
lawnmowers
baths
food and drinks cans
showerheads
catalytic converters
window frames
vacuum cleaners
car parts
water tanks
musical instruments
Christmas tree lights
wheelchairs
keys
garden furniture

There are even companies out there that will offer you a sum of money if you want to scrap a whole car that doesn’t run anymore. If you are a gearhead and know your way around a car then you can take out the valuable things beforehand.

It doesn’t end here as there are plenty of other places where you can source inventory and I detail them in 7 Prime Places Where You Can Find Free Scrap Metal To Sell.

Metal Types

There are different kinds of scrap metal for sale that either fall into high or low grade indicating their overall quality. I would prioritize obtaining the more valuable metals for obvious reasons. For instance, copper is seen as one of the most valuable examples.

Ferrous vs Non-Ferrous

In this case, metal is typically categorized into two groups, ferrous and non-ferrous. Ferrous metals include iron and steel. Conversely, making up the non-ferrous metal group are:

brass
lead
aluminum
titanium
copper
magnesium
nickel
tin
zinc
iridium
bronze

Non-ferrous metals normally pay out the most money as these are much rarer.

Identifying Metals

You can tell them apart by testing their attraction with a magnet. This doesn’t need to be anything cumbersome as it can simply just be a small magnet on a keyring for your own convenience. For the most part, a magnet will attract ferrous metals but not the non-ferrous kind.

Ferrous metals are also heavier than non-ferrous metals so this is another good indicator. On the other hand, you may not need to worry at all as some recycling centers provide a free testing service so that your collection can be properly identified by professionals.

Analysis

A buyer will examine your finds and give you a valuation before any deal is done. Your scrap metal haul will need to be sifted through and thoroughly assessed so that the buyer can get rid of any waste and determine how much they need to pay you.

Correspondingly, there are so many more useful pointers that can be taught to you about making money from this venture. I have listed them here in 6 Scrap Metal Dealing Tips To Increase Sales & Destroy Rivals.

truck Earn $5 Per Pound Selling Scrap Metal & Building Your Business work jobs make money sell — photo by stevepb from pixabay

Scrap Metal Buyers

Haulers can sell directly to waste disposal sites as this is an easy way for amateur collectors to make money. A lot of these establishments have separate entrances for the arrival or departure of items to make transactions a little bit more efficient.

The likelihood is that the majority of your buyers will probably be other bigger dealers. These people will typically own yards and will make more money than you on the whole.

Specialized metal smelters are always looking for scrap metal for cash so you may get a better price if you know anybody like that. Rather than going the obvious route, cut out the middle man and instead go straight to these people if possible to get a better deal.

Scrap Metal Yard Business

Rather than starting from scratch, if you have the capital then you might want to think about buying a profitable business that already exists. You may even want to take out an insurance policy for your business in the event of any of your stock being stolen.

If you do decide to take on employees for your scrap metal yard then pay extra attention to their health and safety while working. This is a special concern given the physical nature of the work seeing as there is lots of manual labor involved.

You don’t have to operate as a business in order to sell your wares, any member of the joe public can do it as long as you follow the rules.

If you don’t know what you’re doing, the handling of scrap metal can be dangerous to yourself and other people. I have written about How Scrap Metal Dealers Can Protect Themselves, Other People & The Environment.

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How much money can I earn selling scrap metal?

You can earn up to $5 per pound (lb) for the most valuable scrap metals in the US. In places like England, dealers have been known to earn up to £7,000 per ton of copper. Buyers usually accept and buy items by weight so you should bide your time until you have a large amount of stuff before selling.

Common sense dictates that purer metals will sell for a higher price. To get the most bang for your buck, try to shop around different buyers in order to find the most competitive selling prices. According to some sources, dealers can earn up to $30,000 per year on average.

There are even jobs available working for other scrap metal dealers and recycling yards if you don’t fancy going it alone. To give yourself the best chance, why not sharpen your skills with jobscan? This little tool helps you optimize your resume on top of giving you advice about acing the job interview

It isn’t all rosy as dealers have to contend with certain rules if they want to operate a legitimate business. I outline several legal issues you should be aware of and explain How The Law Can Decimate The Profits Of Scrap Metal Dealers.

Metal Commodities

Metal is traded as an investment in the global markets which means that individual values will often change overnight. Check the market prices of the different metal commodities to see which one is best to sell on any given day.

Metal prices fluctuate constantly so keep up with the latest price updates so you know when best to time your sales. Scrap metal recycling is a billion-dollar industry so there is more than enough money in circulation for you to grab your share.

Scrap Metal Price Changes

How much is my scrap metal worth? Prices change based on supply and demand as well as the business expenses of metal producers. Ore and ingot (metal bars) shortages can lead to climbing scrap metal prices so try to keep up with this kind of news.

The closure or general lack of a country’s factories and mills can also negatively affect national scrap metal prices. If the metal prices where you live are low then the export of cheaper metal will likely be contributing factor to this. Prices can also change seasonally so pick the time of year you wish to sell wisely.

Can buyers collect scrap metal from me?

Some companies offer a pick-up and collection service so they can come to you instead of you going to them. You can even do this yourself when sourcing scrap. Dealers can charge extra for this or they can make it free which might further incentivize people to give away their scrap metal to you.

Certain companies will offer to place a skip or container outside of your residence for you to fill up with scrap metal. They will then take the skip away after a period of time before paying you for the contents.

The size of the skip will obviously depend on how much scrap metal you want to sell so you will need to specify this clearly. They will typically offer you a specific time slot for collection.

You can sometimes organize a regularly scheduled collection if you think that you can consistently source items to sell to the same buyer. Having scrap metal collected from your home is especially useful if you are without transportation or have too much scrap to transport on your own.

Can I collect scrap metal to sell?

There are some people out there who are willing to pay to have their waste metal taken off their hands. Many will allow you to take away their scrap metal for free as long as it is out of their hair. They may indeed view it as you doing them a favor (sort of like a removal service) so there will be a mutual benefit.

You can also source your inventory from specialized auctions. Being prepared can’t hurt. In fact, basic organization skills can make a scrap dealer’s life a whole lot easier. I point out a few hints in 5 Organizational Tips Every Scrap Metal Dealer Needs To Know.

copper wire Earn $5 Per Pound Selling Scrap Metal & Building Your Business work jobs make money sell — photo by disign from pixabay

We now know how profitable selling unused scrap metal for money can really be. However, it isn’t simple seeing as some metals hold more value than others. Knowing the difference and figuring out who you can sell to will be a defining point in your success as a scrap metal dealer so bear that in mind.

If this doesn’t take your fancy then there are plenty of other ways to make money. One of the most popular ways of earning cash online is by taking surveys and questionnaires. Websites like quickrewards allow you to earn an income doing this.

I suggest your first step should be to start searching for scrap metal wherever you think you might find it. Begin scouring your home and then branch out from there. If you need some more ideas for good locations then check out 7 Prime Places Where You Can Find Free Scrap Metal To Sell.

Do you think you would be able to earn a decent living from this? Who do you think would be best suited to make money from this? Please don’t forget to share this with your friends and like it on social media. You can subscribe to our newsletter and comment below too. Thanks for reading!