Metal Scrap Export Business Start up in Champaign, Illinois, USA

Opportunity Snapshot

  • Country: USA USA
  • Industry: Waste Management
  • Stage: Start-up
  • Investment size: $100,000 / min. $50,000
  • ROI: 20% in 1 years
  • Type of investment: Equity

Investment Opportunity

US based new LLC company in Illinois looking for an investment to procure and export of metal scraps from USA to other countries.

Scrap recycling is a major industry dedicated to transforming end-of-life products and industrial scrap into new commodity grade materials and
driving economies by making the old, new again. Recognised as one of the
world’s first green industries, scrap recycling creates and supports jobs and has a positive impact on the environment by reducing greenhouse gas emissions,saving energy, and protecting our natural resources.

In 2015, the Institute of Scrap Recycling Industries, Inc. (ISRI) retained the
independent economic consulting firm of John Dunham and Associates
( to perform an economic impact analysis to document the size and scope of the scrap recycling industry in the United States and document its significant contribution to the U.S. economy, in terms of employment, tax generation, and overall economic benefit.

The U.S. scrap recycling industry is not only a thriving economic engine, but also a pivotal player in environmental protection, resource conservation, and
sustainability. The industry recycled more than 135 million metric tons of
materials in 2014, transforming outdated or obsolete scrap into useful raw
materials needed to produce a range of new products.

Recycling reduces greenhouse gas emissions by significantly saving the amount of energy needed to manufacture the products that we buy, build, and use every day. The energy saved by recycling may then be used for other purposes, such as heating our homes and powering our automobiles.

In addition to being an environmental steward, the study confirmed that the U.S. scrap recycling industry plays a prominent role as an economic leader, job
creator, and major exporter. Specifically, the study found that the people and
firms that purchase, process, and broker old materials to be manufactured into new products in America provide 471,587 adults with good jobs in the United States 2 and generate more than $105.81 billion annually in economic activity.

Competitive Advantage

We have our branch offices in UAE and India for the regional supply. We are planning to procure the metal scraps directly from the scrap and junk yards. Since we are supplying the materials directly to our group companies, we can avoid agents to reduce the cost of scrap materials.

Rationale for the deal

Overall Economic Activity

The activities of the scrap recycling industry in the United States generate nearly $105.81 billion annually in economic benefits here at home. All told, the U.S. scrap recycling industry accounts for 0.68 percent of the nation’s total economic activity, making it similar in size to the data processing and hosting industry, the dental industry, and the automotive repair industry.

Tax Revenues to Federal, State,and Local Governments

The scrap recycling industry generates substantial revenues for state and local
governments throughout the United States, as well as for the federal

- The industry generates about $4.39 billion in state and local revenues
annually, revenues that are used to help communities and people
throughout the country.

- Another $6.76 billion in federal taxes are paid annually by the industry and
its employees.

Еxport Activities: Creating Thousands of Jobs Here at Home

Scrap commodities are among the nation’s largest exports by value, and overall,
exports account for 26.79 percent of the industry’s economic activity. These
exports create approximately 125,276 good green jobs in the United States and
help strengthen the national economy. According to the study, in 2015, 39,022
jobs are directly supported by the export activities associated with the processing
and brokerage operations of scrap recyclers operating in the United States.
An additional 86,254 jobs are supported by supplier operations and through the indirect effects of scrap recycling exports. These jobs pay a total of $5.43 billion in wages. All of this activity generates $28.34 billion in economic benefits in the United States and contributes $1.31 billion in tax revenues for the federal government and $1.65 billion in state and local taxes. This is because scrap materials that are intended for export must be collected, separated, and prepared for transport out of the United States. The steps in this process provide well paying U.S. jobs.

The scrap industry is the first link in the global supply chain for the growing
demand of all manner of commodities ranging from iron and steel to paper,
nonferrous metals such as aluminum, copper, and zinc, plastics, electronics,
rubber, and more. The result is economic and environmental sustainability for
our nation and our world through the supply of high quality, environmentally friendly and energy saving raw materials to the global marketplace.

In 2014, the industry exported nearly $21 billion in commodity grade scrap
products to more than 160 countries, significantly helping the U.S. balance of
trade. In fact, in terms of volume, scrap materials are among the nation’s largest commodity exports, in line with other important commodity export products like grain and corn, cotton, timber, and petroleum. The scrap materials processed in the United States are exported to other countries for manufacture into new products. Rather than encouraging the use of virgin materials, America’s recycled materials help reduce worldwide energy demand and greenhouse gases as well as the need to mine and harvest virgin materials.

Use of financing

The funds will be utilized to procure the metal scraps from the scrap yards and shipping the same to other countries.

Opportunity for the investor

We are looking to offer 20% equity for the investment of $100,000. The investor will get 20% ROI per annum.

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