There is a lot of money in scrap metal recycling, but you need to know what you're doing to find valuable scrap metal and profitably repurpose it. 

If you're running a scrap metal pick up operation, you need to consider the following six factors to maximize the profits resulting from your efforts:

The number of different scrap yards you can pick up scrap from in your area

It's important that you're not limiting yourself to only one scrap yard if you're working to maximize your profits.

Different scrap yards in your area may focus on different materials and may be more popular for particular local industries like plumbing, appliance repair and recycling, construction, and auto parts recycling.

Explore all the scrap yards in your area to find potentially profitable material to pick up. 

The use of an industrial magnet to categorize scrap metal

If you're serious about profiting from recycling scrap metal, you're going to have to invest in a good industrial magnet that will allow you to recognize ferrous as opposed to nonferrous metals. 

Ferrous scrap metal has different uses and generally fetches more money in comparison to nonferrous metals. In some cases, it's difficult to categorize scrap metals without an industrial magnet. You'll need to have such a tool with you to make the most of your scrap yard visits. 

The removal of the most valuable pieces from scrap piles

Those who make the most from scrap know how to break apart appliances to remove valuable metals while leaving parts that aren't useful for recycling. It's a good idea to learn a little bit about appliance and automobile design and construction to know how to remove the parts you need to make the biggest profits. 

The quantity of scrap metal you can pick up and store at any one time

The more scrap you can pick up and store at any one time, the more money you'll be able to make off of each scrap yard visit. Investing in a good truck and enough storage space will be important to the profitability of your venture.

The relationship you have with the scrap metal suppliers in your area

As with any other business, scrap metal pick-up and recycling is about forming relationships with different suppliers. You need to establish a good relationship with scrap yards so that you can get good deals on the materials you have the most demand for. 

Contact a company like Scrap Metal Processors Inc for more information and assistance.