HUGE business deal need help

I've never had to deal with anything like this before and I need urgent help.

A scrap yard calls me up and asks if I buy E-Scrap, I say Yes. Lets call him Bob. Bob invites me to come down.

Basically his yard is going to start buying E-scrap from there customers. They have no idea, what it's worth and etc. So they're looking for a buyer (me) and someone (me) to tell them what everything's worth.

So I go there, give them info on things, tell them what to stay away from, what to buy, mouth off a few prices from the top of my head. He had servers, pc's, boards, and other stuff too.

Once I give him the prices, he can have everything ready for me in Gaylord boxes for each item.

My problem: 1) I need to call local scrap yards to find out what they pay, so I can charge Bob half of that. If they pay 1$ per laptop, I charge bob 50 cents for it. Is that the best way to do things.



2) I have no way of paying Bob the amount of thousands his stuff is worth, but I can pay him out of the money I'll make from selling his stuff to my scrap yard. How can I let him know it'll take time before I give him his money.

What's my plan to fix all this

Also will the scrap yards provide me Semi's or whatever to load the Gaylord's in?

I think this would be difficult to do without some money. Also, you should rent a truck to transport this stuff.

How much experience do you have with selling ewaste material?

I've only bought from Pc stores and had to drive to another state to sell it. So I'm a bit familar with the process.

The best scrapyard I can bring this too is 2-3 hours away from him. And I only have 3k to my name. But I can make a lot with this.

I understand but that doesn't mean I should just give up. This job can really help me out. Sure there are some issues but I'm sure they can be resolved.

Where are you located? If things are segregated into gaylords, they can be ready to ship anywhere. Is it really worth it to drive so far? Why aren't you shipping material? Servers/computers you can break down and ship later. You can even ship them from the scrap yard.

Also, how much will this yard be generating? I buy from a couple yards that don't even do a gaylord total of all circuit boards a month. On top of that, maybe a few PCs...that's it.

I'm in Ct, the good scrap yard is in Nj. They probably won't get as much scrap in the beginning but they're going to start spreading the word that they take in E-scrap so they're expecting a lot.

P.S. Shipping a Gaylord thru the postal service would cost a lot of imagine.

Just tell him up front that you can budget $X for buying stuff...so that leans you will be turning and burning smaller loads but faster turnaround. You can take say $1000 and "flip it" that day if the nearest ewaste yard is 3 hours away. You might be doing this 2x a week.

Option 2...tell the guy that you are a smaller person, BUT you have the contacts. You will help him out (ie sort ect) and then tell him you will just arrange the shipping ect for a 25% COMMISSION...that way you are not putting your money up....then start pulling some of that money and buying some of the higher end stuff outright.

Option 3, private money lender...like the ones people use to flip houses....you can get money that day, you will just have to pay a fee or a higher % on the money....but you get the use of it....you just have to SHOW them the business model and how you make the money (don't give them names though)....that is easy money for them.

Instead of buying directly from him ask him if you can work with him on a percentage basis. Figure your fuel, time, profit, etc and you should be able to figure about what percentage you would need, then offer him the rest and he will not need to do anything to sell it. You will need to provide him prices he can pay for ewaste and still make a profit on his part of the percentage.

Etack, that helped a lot! So basically I can tell him, "the product will need to be inspected and paid for after delivery. A good rule is 5 days after delivery" We pay 5 days after delivery and inspection. And I can take his pay out of the money I get from the scrap yard. Correct?

Wayne, I'm not entirely sure what you mean. Can you please explain in simpler terms?

Now there's a lot of scrapyards near by but the one in Nj has the BEST prices but it's too far away. If I hv to rent a truck I'll be charged for mileage and gas. So maybe I use a closer one (to see how things go) but the pay won't be as good. And I won't be able to buy as High.

I can carry three pallets with gaylords on my small tacoma and 4x8 trailer. Something to keep in mind. If I'm going short distances, I can stack pallets depending on weight.

If its towers, you will need time to disassemble them.

You may be better off shipping them to a buyer on here, a few of them have shipping contracts

The scrap yards here don't require us to disessemble them?
There going to be mostly computer boards, I told him to have them separated in boxes. I can also tell him which boards not to buy so I don't waste money.

Do you guys have any links that explain good boards from bad boards, so I can tell.

*Update
I called a scrapyard and he said, he can send out a truck that can pick up the Gaylord's in a container on a weekly or monthly basis. I'm having him send me prices. I'll just price Bob, Half of what my scrapyard gives me.