Trying to get it right.

I posted in the welcome area some info about me.
I basically go through a lot of scrap from HVAC/R equipment along with old copper tubing. The equipment is donated to Hi-School Vo-Tech to train with and then scrap to help with their limited budget, my guys got the tubing. Quite a bit would be stolen before we could deliver it, catching them was a problem, one guy basically said he took it once and no one said anything to him so he figured it was OK to take, (whose going to be there at 1am besides him). My friend has a shop down the road from me and the Deputy ended up shooting another guy caught stealing scrap who tried to run her over making a getaway. Shot 4 times and lived BTW.)
Anyway guy comes in, has references, said he would take all metal for 25% and give us 75%. Between the theft and cost of delivery it would be a plus. Worked OK for a couple months then things started getting squirelly, late on pay, was supposed to get copy of metal yard receipts, that changed to handwritten ones from him, the numbers didn't seem to match, etc. I warned him at the start that if I got a bad feeling the deal was off and reminded him before Christmas when he picked up a large amount. Said he be back the 26th, no show, said it was to be the 2nd. No show, no call, answer box full on phone.
My question(s) is was the deal to good for me to begin with? What's the chances of finding someone that will handle it right and what should the deal really be, or should I just go back to the old way? I don't have the time to scrap it myself or pay me guys to do it, ($15-$30/hr + and I need them making money doing our work instead).
I am in MD, Eastern Shore.

Have you tried calling some start up/ smaller scrap yards in the area? Some might offer to come pick up at little to no charge especially if they'd be helping out a school and are somewhat close. Try speaking to the owner of the yard or the yard manager, sometimes the people on the phone are robots.

Give the kids a shot at it directly hire 2 or 3 to clean. Then you take it and split it with them. This way the money and the scrap stays in your control. If I lived closer I would work with you. I hate more than anything trying to do the right thing and then getting the shaft. Good luck let us know what the outcome is.

have you considered breaking it down into sizes that fit in your truck, and take it home each night. Then when it's enough to sell, take it yourself, or have some of the students

We would recommend calling a local scrapyard. Even if you're not generating enough quantity for them to deal with you directly, they should be able to connect you with somebody trustworthy to handle your material.

This is a slow time of year for a lot of yards, so when an opportunity to get new scrap comes up, they should be more than willing to help.

We have utility trailers to and from jobs to haul material. We currently have a large trailer at shop to store and haul larger amounts to Hi School. We are doubling our ware house space so more can be stored till we can haul. The teacher has a roll off at the school for the scrap after students are done with it. The amount we were bringing to him was very large and the money they got was substantial. But we both suffered from theft. Watching the thieves on camera at our yard they were very bold, or stupid.
Wire theft from the local farmers irrigation systems is rampant and they even hit the grounding bond wires from the cell tower on the back of our lot. Drove a truck right through the fence. I did an insurance appraisal at a radio communications center, the Heat pump outdoor unit was stolen. The owners couldn't wait for the insurance to handle so they had it replaced before I could get out for the inspection; someone already tried to steal the new system!

thieves suck, i looked at the removal services in maryland and there was only one of a lady ive never seen post, someone one here should be able to help you out, or depending on the amount it might pay to add an employee just to do breakdowns, clean up the shop and to fill in whenever someones on vacation, just a thought

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Originally Posted by Stamas

I posted in the welcome area some info about me.
I basically go through a lot of scrap from HVAC/R equipment along with old copper tubing. The equipment is donated to Hi-School Vo-Tech to train with and then scrap to help with their limited budget, my guys got the tubing. Quite a bit would be stolen before we could deliver it, catching them was a problem, one guy basically said he took it once and no one said anything to him so he figured it was OK to take, (whose going to be there at 1am besides him). My friend has a shop down the road from me and the Deputy ended up shooting another guy caught stealing scrap who tried to run her over making a getaway. Shot 4 times and lived BTW.)
Anyway guy comes in, has references, said he would take all metal for 25% and give us 75%. Between the theft and cost of delivery it would be a plus. Worked OK for a couple months then things started getting squirelly, late on pay, was supposed to get copy of metal yard receipts, that changed to handwritten ones from him, the numbers didn't seem to match, etc. I warned him at the start that if I got a bad feeling the deal was off and reminded him before Christmas when he picked up a large amount. Said he be back the 26th, no show, said it was to be the 2nd. No show, no call, answer box full on phone.
My question(s) is was the deal to good for me to begin with? What's the chances of finding someone that will handle it right and what should the deal really be, or should I just go back to the old way? I don't have the time to scrap it myself or pay me guys to do it, ($15-$30/hr + and I need them making money doing our work instead).
I am in MD, Eastern Shore.

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Stamas,

Shoot me an email. I am in Northern VA. Depending on where at exactly in MD you are located, I might be willing to get something going with your group.

I will be happy to speak with you, discuss the needs, etc and see if it will be profitable for the both of us.

Aside from all of that, I am sorry to hear that the guy turned a great deal to sour milk for his own greed. He had a good deal setup, and basically threw it in the trash.

Get on US 50, go east till you hit the Ocean. That's my area. Think I am a bit out of yours, but thanks to you and the others for your responses. Just trying to get it right. No good deed thingy.....

Lots of people like to kill the sheep instead sheering it.

Eric

I do not do a percentage because I want to keep it uncomplicated. I will buy scrap but I pay on the spot and then it is my scrap. I would wonder why anyone would offer to 25-75 with the scraper getting the 25. I would expect to get ripped off with that agreement. As a buyer or seller I would want to exchange cash on the spot and be done with it and not wonder if I was getting ripped off.

I suggest you start with another scraper and expect to get paid on the spot. Keep in mind if the material is not broken down and seperated he/she will have work to do and deserves additional profit. Best of luck with you good work with the school. Mike.

make them weigh it and give you cash on the spot, that is a sure thing, just make sure you check the bills before they leave

Quote:

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Originally Posted by miked

I do not do a percentage because I want to keep it uncomplicated. I will buy scrap but I pay on the spot and then it is my scrap. I would wonder why anyone would offer to 25-75 with the scraper getting the 25. I would expect to get ripped off with that agreement. As a buyer or seller I would want to exchange cash on the spot and be done with it and not wonder if I was getting ripped off.

I suggest you start with another scraper and expect to get paid on the spot. Keep in mind if the material is not broken down and seperated he/she will have work to do and deserves additional profit. Best of luck with you good work with the school. Mike.

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Good points. The percentage idea was his idea. Al the terms except for if I get an idea that he's screwing with me the deals off.
I'm, well you can post whatever you like on this anonymous persona forum you like but a pretty fair guy to deal with. I make a deal and I stick to it. For instance sold one of my trucks. We keep them well maintained and get rid of them before the getting any age and become a problem. But a week after I sold it, as is, the compressor went out on the A/C. Told the guy I'd pay 1/2 when he told me. He didn't expect anything then I paid the whole thing. Wasn't what I sold him. Just a small example of how I do biz. I don't expect anyone to do the same, just be fair. If the percentage wasn't working for him all he had to do was say so.
P.S. he said they had to be licensed in DE. Had some hokey badge thingy clipped to his hat. Called him again and phone disconnected. Too bad. Now his card is up on the walls at local vendors so others won't get the same treatment.

Did you get my PM on the solder waste? If this school teaches HVAC soldering than they have silver waste. I will help you out on the recovery of the silver.

If not give me a call at 937-681-9541 (work phone)

Eric Tackett

Sorry,
Just saw this. I'll ask him and give him your #. I will try and get the guys to save their waste pieces too, but they should be taggin the ends to keep that waste down.