Collect scrap steel from various places, process it, transform it into new products and sell them.
Product/Service Description
This is a recycling business that involves collecting scrap steel from various places like manufacturing sites, construction areas and places where waste is collected. This scrap steel is then processed in the factory and transformed into new products that are again sold in the market.
Market Scope/Potential
Metal recycling is a huge business in India. It provides employment to a large part of our population. Though the establishment of this business requires a bulky capital as well as the engagement of a large number of people, the finished goods earn a good profit in the market. With correct market research, this profit can be grown continuously, and the business can flourish extensively.
Opportunities
1. Huge availability of raw materials (scrap steel).
2. The scrap steel is available at a very low price or, in some cases, almost for free.
3. The finished products (steel products) are sold at a good price, thus yielding enormous profit.
4. Around 40% of steel material is made from recycled steel.
5. Metal recycling helps in cleaning the environment.
Risks
1. The scrap steel must be handled with care, as they are potentially dangerous and can cause physical ailments.
2. All the employees should be insured, as the work involves dangers to health.
3. Collecting Scrap steel from all the places must be managed efficiently and in a cost-effective way.
4. The business must be registered.
5. Huge capital is required to establish the business.
Entrepreneurial qualities
Specific skill is not required for this business, but any person wishing to enter this field must develop good contacts with industries and places that can provide scrap steel (raw material) in bulk at a reasonable price. Good marketing skill is also required to sell the finished products at a profitable price.
Conclusion
Though the recycling business is not regarded as a top-class business, it does have its own benefits. It helps to clean the environment by utilizing the waste metal. It also contributes in providing employment to many people. It gives the business person an opportunity to earn good profit.