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Tire recycling is not a new business it first
accelerated during the the second world war when there were mass shortages of available rubber. Citizens were encouraged to
turn in there used and unneeded tires to help in the war effort. After the war tires became cheap
and plentiful. The average citizen didn't think twice about throwing used tires in the trash. This now has turned into
a major problem.There are literaly piles of tires illegaly dumped all over this country, also millions
of ton of recyclable material is dumped into our cloged landfills every year. There is a great
opportunity to do the right thing and also make good money doing it. What is a tire is made of? Car and light truck tires are made from rubber compounds, steel wire, and sinthetic and natural fibers. All of these materials are recyclable. Currently scrap steel is at around $250.00 per ton, there is about 3
lbs of steel in a car or light truck tire that equates to $0.38 per tire just in scrap steel value. That leaves the rubber this can be processed down to crumb #40 mesh and smaller (#40 mesh equates to material that
will pass thru a screen with 40 holes per square inch). The crumb rubber is used for many purposes some of which are asphalt
additives, doormats, revulcanized rubber products, building material fillers, ect. Crumb rubber resells for around $0.17
per pound. Thats about $2.00 per tire. Rubber mulch is another profitable use of the tire
rubber. rubber mulch consists of wire free tire chips sized to minus 3/4". This product can be colored or shipped black.
It is generaly used for mulching around trees and shrubs. Another great use for this is around playground equipment it acts
as a cushion should a child fall. Rates for mulch vary greatly but it averages between $0.14 - $0.21 per pound. Sidewall
rubber is a conveinent source for wire free material. Tire derived fuel (TDF) . TDF is generally
tire chips sized to minus 2" with minimal exposed wire. This material is sold to power plants and cement kilns to supliment
the burning of coal. This material varies greatly in size requirments and price paid, also some states don't allow it to be
used. It can prove profitable to resell a percentage or all of your material for TDF if you don't have the equipment or space
to process the tires down further. Prices paid for TDF are in the realm of $40.00 per ton. Tire
disposal fee's are the bread and butter of this industry. You can expect to be paid between $0.75 - $3.00 per tire
to pickup and dispose of waste tires. A good minum scenario a one person operation that can dispose of 500 tires per day can
generate $375.00 gross. If you can recycle recycle 6lbs of sidewall ruber into mulch per tire thats an additional $250.00
per day. Pulling the beadseat wire to be recycled as steel scrap can produce and aditional $125.00 per day. This adds
up to $750.00 per day gross profit. Thats $195,000 per year for a one person operation. This is at the minimum rates
for disposal fee's and processed tires, most areas are in the $1.25 per tire range.
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Starting a tire recycling business: One of the most asked questions I get is "where is the money in recycling" There is no simple answer to this question. For starters location is a key deciding factor. You have
to do research in your area of where you can resell your finshed products. One good example Is TDF if the nearest power plant
or kiln that accepts this material is100 miles away and they are only paying $40.00, then you are probably not going to
profit from this, due to the transportation costs. Talk to local tire retailers and find out what they are paying to get rid
of their scrap tires, also find out how many tires are sold in your area on a monthly basis. If there are not enough tire
retailers in your area willing to deal with you then you have to branch out. This gets back to the transportation Issue. Talk
to local landscapers and find out if they are using rubber mulch products. This material can be shipped nationwide,
but if you have a local customer to buy it you will save a lot on packaging costs. Model
your business: Gather as much information as you can about the local market. Spread
sheet the expected amount of tires collected, disposal fee's, expected fuel and labor costs, building rent, utilities, advertising,
and maintenance costs. Make multiples of these models with different scenarios dealing
with expected and unexpected lows and highs. make sure that in worst case scenario you can still turn a profit or at least
survive until the next up swing . Hundreds of startup businesses go bankrupt every year simply because they based their business
plan on their highest producing model. Average your models. DO YOUR HOMEWORK!!!!
This business has been around for a long time and there is a lot of avialable information out
there. Don't be afraid to call other people in the recycling business and pick their brains. Most are good people and don't
mind giving out a little bit of helpful advice. Check out all of your equipment
options: We are not the only manufacturer of this type of equipment, and encorage
potential customers to check out what options are out there. I would rather refer someone to purchase a system from one of
our competitors that better suits their needs, then watch someone loose there shirt with a system thats worthless to them.
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THIS IS A GREAT GUIDE TO CELLPHONE RECYCLING,
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There are many
other recycling opportunities available!!! Almost all consumer goods can be recycled
for profit!!! Examples of such are cellphones, computers, plastic bottles, oil,
antifreeze, catalytic converters, automobiles, paper and cardboard, pallets, wood, plastic, electrical wire, glass, crt tubes,
electric motors, ect. Catalytic converters are worth anywhere from $10.00 -
$50.00 each. They are recycled for there platinum content. Plastic can resell
for as much as $150.00 per ton or more. Cardboard can sell for up to $80.00
per ton. spot prices can be found at http://www.recycle.net/
find more great recycling data at http://www.profitablerecycling.com/
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