A few questions first off what do you consider number one steel? I only know two grades HMS and PNS. Those are the only two grades there's also cutting coils for clip but I highly doubt that's what you are talking about. What price are you buying it unprepared at and what price are you selling at currently? I know that's kinda a top secret question you never know where your competition might be lurking at so if PM if you don't want to mention it. How much more volume do you intend on buying and selling every month. How good are your guys at preparing and sorting HMS. A majority of the time the yard will buy it as unprepared torch material and I can turn 75 percent of it into PNS. They just made an extra 30 a ton for nothing. You have to figure out competitive secrets to get an edge on your competition and turn a larger then expected profit on your cut materials. Are you mobile or stationary? What gases are you using? What torches? What are you sorting and loading with? How many tons a day are you burning? Are you running a shear next to the burning the area? There is a ton of variables that would have to be answered before you can determine your expected profit.
To answer your main question though yes it always a way bigger profit to sell direct to the mill. Its also cutting out the middle man which is the yard and trust me they don't like competition so be careful what you wish for especially if you get leads for work from some of the yards you do business with. In the scrap industry one hand feeds the other if you catch my drift.
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