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Recycling Business Plan

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Environmental benefits, high demand, and a recurring profit model make starting a recycling business a lucrative and rewarding profession.

Anyone can start a new business, but you need a detailed business plan when it comes to raising funding, applying for loans, and scaling it like a pro.

Need help writing a business plan for your recycling business? You’re at the right place. Our recycling business plan template will help you get started.

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Download our free recycling business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

  • Fill in the blanks – Outline
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How to Write a Recycling Business Plan?

Writing a recycling business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

  • Introduce your Business: Start your executive summary by briefly introducing your business to your readers.
  • This section may include the name of your recycling business, its location, when it was founded, the type of recycling business (E.g., paper recycling, metal recycling, glass recycling, tire recycling), etc.
  • Market opportunity: Summarize your market research, including market size, growth potential, and marketing trends. Highlight the opportunities in the market and how your business will fit in to fill the gap.
  • Products and Services: Highlight the recycling products & services you offer your clients. The USPs and differentiators you offer are always a plus.
  • For instance, you may include collection & sorting, material processing, manufactured products from recycled materials, sustainable waste management solutions, etc.
  • Marketing & Sales Strategies: Outline your sales and marketing strategies—what marketing platforms you use, how you plan on acquiring customers, etc.
  • Financial Highlights: Briefly summarize your financial projections for the initial years of business operations. Include any capital or investment requirements, associated startup costs, projected revenues, and profit forecasts.
  • Call to action: Summarize your executive summary section with a clear CTA, for example, inviting angel investors to discuss the potential business investment.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

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2. Business Overview

The business overview section of your business plan offers detailed information about your company. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

  • Business Description: Describe your business in this section by providing all the basic information:
  • Paper recycling business
  • Plastic recycling business
  • Metal recycling business
  • E-waste recycling business
  • Glass recycling business
  • Tire recycling business
  • Construction & demolition recycling business
  • Explain where your business is located and why you selected the place.
  • Owners: List the names of your recycling company’s founders or owners. Describe what shares they own and their responsibilities for efficiently managing the business.
  • Mission statement: Summarize your business’ objective, core principles, and values in your mission statement. This statement needs to be memorable, clear, and brief.
  • Business history: If you’re an established recycling firm, briefly describe your business history, like—when it was founded, how it evolved over time, etc.
  • Additionally, If you have received any awards or recognition for excellent work, describe them.
  • Future goals: It’s crucial to convey your aspirations and vision. Mention your short-term and long-term goals; they can be specific targets for revenue, market share, or expanding your services.

This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

  • Target market: Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.
  • For instance, government agencies, commercial & industrial businesses, residential customers, manufacturing & industrial facilities, or educational institutions would be an ideal target audience for a commercial recycling business.
  • Market size and growth potential: Describe your market size and growth potential and whether you will target a niche or a much broader market.
  • Competitive analysis: Identify and analyze your direct and indirect competitors. Identify their strengths and weaknesses, and describe what differentiates your recycling services from them. Point out how you have a competitive edge in the market.
  • Market trends: Analyze emerging trends in the industry, such as technology disruptions, changes in customer behavior or preferences, etc. Explain how your business will cope with all the trends.
  • For instance, sustainable fleets have a booming market; explain how you plan on dealing with this potential growth opportunity.
  • Regulatory environment: List regulations and licensing requirements that may affect your recycling company, such as waste management regulations, recycling mandates & targets, environmental permitting, health & safety regulations, etc.

Here are a few tips for writing the market analysis section of your recycling business plan:

  • Conduct market research, industry reports, and surveys to gather data.
  • Provide specific and detailed information whenever possible.
  • Illustrate your points with charts and graphs.
  • Write your business plan keeping your target audience in mind.

4. Product and Services

The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:

  • Collection & sorting services
  • Material processing
  • Manufactured products from recycled materials
  • Composting services
  • Waste audits & consulting
  • Education & awareness programs
  • Quality measures: This section should explain how you maintain quality standards and consistently provide the highest quality service.
  • This may include material sorting & contamination control, compliance with environmental regulations, product quality standards, continuous improvement & innovation, etc.
  • Additional Services: Mention if your recycling company offers any additional services. You may include services like waste management consulting, sustainability reporting, etc.

In short, this section of your recycling plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

  • Unique Selling Proposition (USP): Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.
  • For example, comprehensive recycling solutions, advanced recycling technologies, or collaborative partnerships could be some of the great USPs for a professional recycling company.
  • Pricing Strategy: Describe your pricing strategy—how you plan to price your products & services and stay competitive in the local market. You can mention any discounts you plan on offering to attract new customers.
  • Marketing Strategies: Discuss your marketing strategies to market your services. You may include some of these marketing strategies in your business plan—social media marketing, Google ads, brochures, content marketing, etc.
  • Sales Strategies: Outline the strategies you’ll implement to maximize your sales. Your sales strategies may include direct sales calls, partnering with other businesses, offering referral programs, etc.
  • Customer Retention: Describe your customer retention strategies and how you plan to execute them. For instance, introducing loyalty programs, discounts& offers, personalized service, etc.

Overall, this section of your recycling business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your recycling business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

  • Staffing & Training: Mention your business’s staffing requirements, including the number of employees or staff needed. Include their qualifications, the training required, and the duties they will perform.
  • Operational process: Outline the processes and procedures you will use to run your recycling business. Your operational processes may include material collection, sorting & separation, processing & preparation, market analysis & sales, transportation & logistics, continuous improvement, etc.
  • Equipment & Machinery: Include the list of equipment and machinery required for recycling, such as collection bins & containers, sorting equipment, shredders & crushers, balers & compactors, safety equipment, etc.
  • Explain how these technologies help you maintain quality standards and improve the efficiency of your business operations.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your recycling business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

  • Founders/CEO: Mention the founders and CEO of your recycling company, and describe their roles and responsibilities in successfully running the business.
  • Key managers: Introduce your management and key members of your team, and explain their roles and responsibilities.
  • It should include, key executives(e.g. COO, CMO.), senior management, and other department managers (e.g. general manager, operations manager, sales & marketing manager.) involved in the recycling business operations, including their education, professional background, and any relevant experience in the industry.
  • Organizational structure: Explain the organizational structure of your management team. Include the reporting line and decision-making hierarchy.
  • So, if you have any advisors or consultants, include them with their names and brief information consisting of roles and years of experience.

This section should describe the key personnel for your recycling services, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

  • Profit & loss statement: Describe details such as projected revenue, operational costs, and service costs in your projected profit and loss statement. Make sure to include your business’s expected net profit or loss.
  • Cash flow statement: The cash flow for the first few years of your operation should be estimated and described in this section. This may include billing invoices, payment receipts, loan payments, and any other cash flow statements.
  • Balance sheet: Create a projected balance sheet documenting your recycling business’s assets, liabilities, and equity.
  • Break-even point: Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.
  • This exercise will help you understand how much revenue you need to generate to sustain or be profitable.
  • Financing needs: Calculate costs associated with starting a recycling business, and estimate your financing needs and how much capital you need to raise to operate your business. Be specific about your short-term and long-term financing requirements, such as investment capital or loans.

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

  • Add a table of contents for the appendix section to help readers easily find specific information or sections
  • In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
  • Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
  • Include any legal documents such as permits, licenses, and contracts.
  • Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your recycling business plan should only include relevant and important information supporting your plan’s main content.

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This sample recycling business plan will provide an idea for writing a successful recycling plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our recycling business plan pdf .

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Frequently asked questions, why do you need a recycling business plan.

A business plan is an essential tool for anyone looking to start or run a successful recycling business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your recycling company.

How to get funding for your recycling business?

There are several ways to get funding for your recycling business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:

  • Bank loan – You may apply for a loan in government or private banks.
  • Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
  • Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your business, usually online.
  • Angel investors – Getting funds from angel investors is one of the most sought startup options.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your recycling business?

There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your recycling business plan and outline your vision as you have in your mind.

What is the easiest way to write your recycling business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any recycling business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software .

How do I write a good market analysis in a recycling business plan?

Market analysis is one of the key components of your business plan that requires deep research and a thorough understanding of your industry.

We can categorize the process of writing a good market analysis section into the following steps:

  • Stating the objective of your market analysis—e.g., investor funding.
  • Industry study—market size, growth potential, market trends, etc.
  • Identifying target market—based on user behavior and demographics.
  • Analyzing direct and indirect competitors.
  • Calculating market share—understanding TAM, SAM, and SOM.
  • Knowing regulations and restrictions
  • Organizing data and writing the first draft.

Writing a marketing analysis section can be overwhelming, but using ChatGPT for market research can make things easier.

How detailed should the financial projections be in my recycling business plan?

The level of detail of the financial projections of your recycling business may vary considering various business aspects like direct and indirect competition, pricing, and operational efficiency. However, your financial projections must be comprehensive enough to demonstrate a complete view of your financial performance.

Generally, the statements included in a business plan offer financial projections for at least the first three or five years of business operations.

What key components should a recycling business plan include?

The following are the key components your recycling business plan must include:

  • Executive summary
  • Business Overview
  • Market Analysis
  • Products and services
  • Sales and marketing strategies
  • Operations plan
  • Management team
  • Financial plan

Can a good recycling business plan help me secure funding?

Indeed. A well-crafted recycling business will help your investors better understand your business domain, market trends, strategies, business financials, and growth potential—helping them make better financial decisions.

So, if you have a profitable and investable business, a comprehensive business plan can certainly help you secure your business funding.

What's the importance of a marketing strategy in a recycling business plan?

Marketing strategy is a key component of your recycling business plan. Whether it is about achieving certain business goals or helping your investors understand your plan to maximize their return on investment—an impactful marketing strategy is the way to do it!

Here are a few pointers to help you understand the importance of having an impactful marketing strategy:

  • It provides your business an edge over your competitors.
  • It helps investors better understand your business and growth potential.
  • It helps you develop products with the best profit potential.
  • It helps you set accurate pricing for your products or services.

About the Author

recycling of waste business plan

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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How to Start a Recycling Business in 14 Steps (In-Depth Guide)

Updated:   January 31, 2024

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The global recycling industry makes more money than some people realize. The future is bright with an estimated compound annual growth rate (CAGR) of 4.8% from 2022 to 2030 .

recycling of waste business plan

In this guide, we’ll explain how to start a recycling business from the ground up. Topics include market research, competitive analysis, sourcing recycling materials, developing a business plan for a successful recycling business, and registering an EIN. Follow along to learn all you need to know to start a smoothly operating recycling business.

1. Conduct Recycling Market Research

Market research is important to any new recycling program. Whether you sell recyclable materials or run a processing facility, market research offers insight into your target market, prime locations, local market saturation, local government license requirements, and more.

recycling of waste business plan

Some details you’ll learn through market research in the recycling sector include:

  • The major drivers stimulating this growth are expanding environmental awareness, corporate sustainability goals, and local and state regulations mandating recycling.
  • With landfill space dwindling, more states are likely to pass similar laws, creating opportunities for recycling companies.
  • Scrap metals like aluminum, copper, and steel are highly profitable to collect and resell.
  • Setup costs are low and it’s easy to scale gradually.
  • With new gadgets flooding the market daily, e-waste is the fastest-growing waste stream.
  • Startup costs are higher due to required certifications, but this segment offers great impact potential.
  • Entrepreneurs can focus on recyclable plastics like PET and HDPE or find niche markets like plastic film or Styrofoam recycling.
  • Entrepreneurs can provide collection services for offices and households, operate drop-off locations, or focus on document destruction and shredding services.
  • With the construction industry booming, disposing of huge volumes of debris is a major challenge.

The keys to success for any new recycling business are 1) identifying the right local niche and target materials 2) ensuring access to profitable end markets and 3) building strategic partnerships with waste management companies, municipalities, general contractors , and generators.

2. Analyze the Competition

Thoroughly analyzing the competitive landscape is crucial when starting any new business, and recycling is no exception. Here are some tips on assessing your competition as a new recycling entrepreneur:

Identify direct and indirect competitors in your local area. Direct competitors offer the same services and target the same customers as you plan to. Search online directories and drive around your region to create a comprehensive list.

Evaluate their offerings, capabilities, and weaknesses. Visit their sites or call anonymously to inquire about services and pricing. Search their websites and social media pages to gauge their marketing abilities. Look for gaps or shortfalls you can improve on.

For example, a scrap metal recycler may find competitors have small, cluttered facilities and poor logistics. An electronics recycler may see weak community outreach from rivals. Identifying deficiencies can reveal opportunities to gain an edge.

Research indirect competitors too – businesses that may lure away potential customers. For a plastic recycler, these could include waste-to-energy plants or landfills. Understanding all options for waste generators’ materials provides useful intel.

Estimate the market share of major players, using available data like revenue, volumes handled, and regional coverage. This gives perspective on who leads the market and how much share is feasibly up for grabs.

Evaluate competitive online presence as well. Search engines, review sites, and social media all help customers form opinions, so review what customers see during online research. If competitors’ web presences are outdated, lacking in engagement, or absent, you can seize the advantage.

Lastly, learn from inspirational companies outside your region. Look for recyclers with and gold-standard gold-standard customer service, s and gold-sta,ndard, or innovative practices that set them apart. Adapt elements that could give you a competitive edge in your local market.

Analyzing the competition from all angles provides tremendous insight into positioning your new recycling business for success amidst rivals. Use these findings to hone your niche, offerings, and marketing for maximum impact when you launch.

3. Costs to Start a Recycling Business

Starting a recycling company requires careful financial planning and cost analysis. The expenses involved can vary widely based on factors like location, scale, target materials, and more. Here is an overview of typical start-up and ongoing costs to expect:

Start-up Costs

  • Incorporation Fees – $500-$2,000 to form an LLC or corporation
  • Business Licensing – $50-$500 for state and local business licenses
  • Permits – $3,000-$10,000 for special recycling permits and approvals
  • Equipment – $50,000-$500,000+ for trucks, balers, crushers, shredders, forklifts, etc. Scale and materials affect costs greatly. Leasing can lower initial outlay.
  • Real Estate – $5,000-$750,000 to buy or rent facility space. Minimum 2 acres recommended for most recycling operations.
  • Site Improvements – $50,000-$250,000 for paving, fencing, truck scales, office space, stormwater management, etc.
  • Consultants – $2,000-$20,000 for legal, accounting, engineering, and compliance support.
  • Inventory – $10,000-$100,000 for spare parts, fuel, and other operational materials.
  • Working Capital – $25,000-$250,000 cushion for first 3-6 months of operating expenses.
  • Contingency – An additional 10-20% of total costs for unexpected overages.

Total startup costs can easily exceed $500,000 for a full-scale recycling business. Starting small and scaling gradually can reduce and initial capital needed.

Ongoing Costs

  • Labor – $200,000-$2 million annually for employees like equipment operators, drivers, sorters, and administrators. Major cost factor.
  • Insurance – $10,000-$100,000 annually for property, liability, commercial auto, workers comp. Varies by risk exposure.
  • Rent/Mortgage – $24,000-$500,000+ per year depending on facility size and location.
  • Equipment Maintenance – $50,000-$250,000 annually for repairs, fuel, and replacements to keep equipment operating efficiently.
  • Utilities – $10,000-$100,000+ per year including electricity, gas, water, telephone, internet.
  • Disposal Fees – Depending on the model, $50-$500+ per ton in landfill tipping fees for residual wastes.
  • Transportation – For collections models, $50,000-$500,000 annually for driver payroll, fuel, and truck maintenance.
  • Marketing – $15,000-$150,000 per year for advertising, online marketing, business development.
  • Other Overheads – ~$50,000 for office supplies, professional services, compliance costs, and unforeseen expenses.

While daunting, the sizable revenue potential in recycling makes the startup and operating costs involved surmountable for many entrepreneurs. Careful planning and advantage-seeking can help optimize costs and profitability.

4. Form a Legal Business Entity

When starting a recycling company, one of the first key legal decisions is choosing the right business structure. The four main options each have advantages and disadvantages to weigh.

Sole Proprietorship

This simplest structure has no formal registration requirements. The owner operates under their own name and personal liability.

  • Pros: Easy to form, few paperwork requirements, the owner retains full control, no corporate taxes.
  • Cons: Unlimited personal liability, limited access to financing, no perpetual business life.

Best for small recycling operations with minimal risk. Offers little protection if sued.

General Partnership

Two or more co-owners share management, profits/losses. Personally liable for each other’s business actions.

  • Pros: Easy to establish, share startup costs, pooled management skills.
  • Cons: Equal responsibility for debts/lawsuits, divisions between partners, no perpetual life.

Limited Liability Company (LLC)

Members enjoy liability protection while retaining passthrough taxes like a partnership. Managed informally or with a corporate structure.

  • Pros: Limited liability for owners, separate legal entity, operational flexibility, passthrough taxation.
  • Cons: More paperwork than sole proprietorship, limited business life.

The liability shield makes an LLC ideal for recycling companies of most sizes.

Corporation

A separate legal entity offers complete limited liability for shareholders. Considerable legal formalities.

  • Pros: Strongest liability protection, unlimited business life, easier to raise investment capital.
  • Cons: Double taxation on corporate income and dividends, extensive recordkeeping, closely regulated.

The liability shield benefits larger recycling firms but increased regulations can deter small businesses.

5. Register Your Business For Taxes

One important task when starting a recycling company is obtaining an Employer Identification Number, or EIN, from the IRS. This unique identifier is essential for federal tax purposes.

An EIN acts like a social security number for your business. It identifies your company to the IRS and allows you to open business bank accounts, apply for licenses and permits, file taxes, and hire employees. An EIN is required if you have any employees, operate your recycling business as an LLC or corporation, or file any partnership tax returns.

Applying for an EIN is free and can be done online via the IRS website . The online application takes less than 30 minutes to complete. You’ll need to provide basic information about your recycling business structure and ownership.

Once submitted, you’ll receive your EIN immediately. This number should be included on all your recycling business’ tax filings and other documents requiring IRS identification.

You’ll also need to register with your state’s taxation department for sales tax collection purposes. This involves filing additional paperwork and remitting sales tax revenue regularly. State business registration can be completed on [your state’s taxation website] after receiving your EIN.

Taking these essential steps early on ensures your new recycling venture complies with federal and state tax laws right from the start. The EIN also legitimizes your business and lays the groundwork for growth.

6. Setup Your Accounting

As a recycling entrepreneur, implementing solid accounting principles from day one is critical. Proper bookkeeping and financial management will help your business thrive and avoid costly IRS issues.

Accounting Software

Getting set up with small business accounting software like QuickBooks provides the foundation. The software seamlessly integrates with your business bank accounts and credit cards, automatically importing and categorizing transactions to streamline recordkeeping.

Hire an Accountant

Partnering with an accountant takes your financial management to the next level. A qualified accountant provides bookkeeping and records reconciliation monthly or quarterly to identify any discrepancies. This prevents small mistakes from becoming major problems.

Come tax season, your accountant will be familiar with your finances and can ensure accurate filing and maximal deductions for your recycling business. Expect to invest around $200-$500 monthly for these ongoing services.

Open a Business Bank Account

Maintaining completely separate finances for your recycling company is also key. Do not comele personal and business transactions, as this complicates taxes and makes an audit more likely. Open dedicated business checking/savings accounts to keep funds separate.

Apply for a Business Credit Card

Applying for a business credit card also builds your recycling company’s financial identity. Issuers evaluate business creditworthiness based on time in business, income, and the owner’s credit. Startup companies can get approved for $1,000-$10,000 in initial business credit.

7. Obtain Licenses and Permits

Before collecting or processing any recyclable materials, it is essential for recycling entrepreneurs to acquire all required federal, state, and local licenses and permits. Find federal requirements through the U.S. Small Business Administration . The SBA also has a local search tool for state requirements.

The specific permits needed vary based on your location and the scale and types of materials handled, but some examples include:

  • Solid Waste Facility Permit – State environmental agencies regulate waste management. You’ll need a solid waste permit to operate any recycling facility including sorting, processing, baling, storage, or collections.
  • Hazardous Materials Permit – If handling any batteries, e-waste, or other materials classified as hazardous, additional EPA and state permits are required covering transport, storage, security protocols, and disposal of these items.
  • Air Quality Permit – Recycling operations produce dust, odors, and other air pollutants requiring air permits, especially for shredder, crusher, or melting activities. State environmental agencies review emissions controls and can impose restrictions or limitations through the permitting process.
  • Wastewater Discharge Permit – Water used in recycling processes becomes contaminated and must be properly treated before discharge. Permits set allowable discharge limits and monitoring requirements based on the types of pollutants.
  • Stormwater Permit – Outdoor recycling facilities of a certain size have to implement stormwater management plans and obtain NPDES discharge permits for rain-contacting operations. This helps prevent runoff pollution.
  • Occupational Health & Safety Permits – For activities like spray painting, abrasive blasting, or hazardous material handling, OSHA permits are required to demonstrate proper procedures and safety precautions for workers.
  • Transportation Licenses – For collection services, commercial driver’s licenses, vehicle registrations, and state waste transporter permits must be secured for all drivers and trucks. DOT numbers may also be required.
  • Local Business Licenses – Cities and counties require business licenses for all recycling operations in their jurisdiction covering zoning approvals, taxes, and other regulations. Some may require special recycling facility licenses.

While daunting, covering all licensing and permitting bases ensures your recycling business complies fully with the myriad regulations on waste management and environmental practices.

8. Get Business Insurance

Given the hazards inherent in handling large volumes of scrap materials and operating heavy machinery, insurance is especially critical for recycling businesses. The right policies can prevent severe financial losses.

Without adequate coverage, a few hypothetical scenarios could cripple or destroy your recycling company:

  • A machine malfunction sparked a fire that caused $250,000 in equipment damage. Without property insurance, you would bear the full replacement cost.
  • An employee was injured by faulty baling equipment. Without liability insurance, their $500,000 lawsuit award could bankrupt your business.
  • A delivery truck crashed resulting in $100,000 in property damage to the other vehicle. Lacking commercial auto insurance means you must cover the payment yourself.

To mitigate risk, work with an insurance broker to secure policies tailored to your recycling operation before opening. Key coverages likely needed include:

  • General liability – Protects against third-party, bodily injury, property damage, and lawsuits
  • Commercial property – Covers damage to business property like equipment in case of events like fires or storms
  • Commercial auto – For company vehicles, covers collision, damage, and liability
  • Workers’ compensation – Pays for employee injuries suffered on the job per state laws
  • Business interruption – Replaces income lost if operations are halted by covered incidents

The application process will require details on your location, facility, volumes handled, transportation practices, and materials recycled to assess risk levels. Quotes for annual premiums will reflect the underwriter’s appraisal of the hazards involved. Higher deductibles can reduce premium costs.

9. Create an Office Space

Having a dedicated office space provides legitimacy and functionality for a recycling startup. An office allows you to meet with clients, store documents securely, manage payroll, and house your business address. Depending on needs and budget, various options exist:

Home Office

A home office works well initially, with minimal setup – simply designate a bedroom or basement area. This allows easy access to administrative work, storage, and meetings. However, having clients visit a residence may appear unprofessional. Lack of separation may also lead to distraction. Expect minimal investment, but limited capabilities.

Coworking Office

For recycling businesses wanting a professional presence without the cost of commercial space, a coworking space like WeWork offers a nice middle ground. Coworking spaces provide amenities like conference rooms, front desk staff, high-speed internet, break areas, and office equipment for monthly membership fees starting around $300.

Retail Office

Some recyclers operate a small retail office/drop-off center allowing local clients to conveniently submit materials for recycling while providing a space for staff to work. If you have a storefront location, utilize part of it for your office needs. However, retail spaces have higher rent and may lack adequate parking or amenities for employees.

Commercial Office

Leasing traditional commercial office space provides the most professional environment but requires considerable investment. Expect monthly rents of $1,000 plus utility costs and a multi-year lease. However, the space can be customized to your needs and convey stability to clients. This option works best for established recycling firms.

10. Source Your Equipment

A key step in launching any recycling operation is acquiring the necessary equipment for collecting, sorting, and processing materials. Savvy entrepreneurs have options when sourcing these assets:

Buying brand-new equipment from manufacturers ensures full warranties and no worn components. However, prices are highest for shiny new machinery. Options include contacting manufacturers directly or working with an equipment dealer who can bundle offerings. Expect to pay premium prices but benefit from customization.

Purchasing used recycling equipment helps save money, with high-quality machines potentially available at half-off retail prices. Search industry classifieds, online auctions like Ritchie Bros. , and local equipment dealers to find deals. Joining industry trade groups also provides access to members selling off assets.

An alternative to buying is renting equipment as needed. This prevents major upfront capital outlays. Rental rates vary widely – expect to pay 10% of the purchase price per month. Search equipment rental marketplaces like Rent It Today when the need arises.

Leasing provides the benefits of new equipment without a huge lump purchase. After a down payment, fixed monthly installments cover the equipment over a set term. Ownership transfers after the final payment. Expect to pay a few thousand per month depending on the assets leased.

11. Establish Your Brand Assets

Developing a strong brand identity helps recycling businesses make a memorable and professional impression on customers. Your brand conveys what your company stands for.

recycling of waste business plan

Getting a Business Phone Number

A dedicated business phone number lends legitimacy versus using a personal cell. Options like RingCentral provide toll-free and local numbers with professional call-handling features like greetings, extensions, and voicemails. Expect costs starting around $30/month.

Creating a Logo and Brand Assets

A logo uniquely ties your recycling brand’s visual identity together. Consider an abstract mark, a letter mark, or one incorporating recycling symbols. Services like Looka help create logos tailored to your company for affordable rates.

Business Cards and Signage

Business cards enable quick sharing of contact details in person and at trade events. Yard signs, building signage, and vehicle decals boost visibility. Order economical, quality cards and signage from Vistaprint .

Purchasing a Domain Name

Your domain name is the URL website visitors type to find your recycling business online. Choose a name matching your brand and register it through Namecheap or similar providers. Aim for a .com address with keywords like “yourcityrecycling”.

Building a Website

An online presence is a must through an informational website. Options include DIY builders like Wix or hiring a freelancer from Fiverr . Weigh time vs. cost.

Regardless, ensure your site presents capabilities, contact options, and useful content to engage visitors. This drives new business.

12. Join Associations and Groups

Joining local groups and associations provides invaluable connections when starting a recycling venture. Surrounding yourself with fellow industry experts leads to trade secrets and partnerships.

Local Associations

Most regions have recycling-focused trade organizations you can join, like the California Resource Recovery Association . These provide access to events, advocacy efforts, peer support, and insider knowledge that gives you a competitive edge.

Local Meetups

Attending local meetups and tradeshows puts you face-to-face with potential mentors and partners. Sites like Meetup list environmental and waste management events near you. Bring business cards and be ready to connect.

Facebook Groups

For real-time sharing and advice, Facebook groups like Business Owners, Entrepreneurs, and Start-Ups Networking and (RCO) Recycling business opportunities provide an engaged community of thousands of recycling pros.

13. How to Market a Recycling Business

Implementing ongoing marketing is essential for recycling businesses to continually attract new customers. A multifaceted approach combining digital and traditional strategies is ideal for growth.

recycling of waste business plan

Personal Networking

First and foremost, tap your network and existing customer base. Satisfied clients who spread word-of-mouth referrals and reviews are invaluable assets. Consider thanking loyal customers with a special offer if they refer new business.

Digital Marketing

For wider outreach, smart digital marketing should be a priority:

  • Run Google Ads campaigns with keywords like “recycling near me” to get found locally in searches
  • Create Facebook ads targeted by location and demographics likely needing recycling services
  • Start a YouTube channel with tutorials on topics like scrap metal preparation for educational marketing
  • Maintain a blog on your website with helpful recycling content driving organic search traffic
  • Claim Google Business Profile and Yelp pages to manage listings and customer reviews
  • Send email newsletters with company updates and special offers to engender loyalty

Traditional Marketing

More traditional tactics can supplement your digital activities:

  • Print full-color flyers and mailers to distribute in neighborhoods
  • Take out ads in local newspapers and community circulars
  • Sponsor community events related to sustainability to get brand exposure
  • Advertise on billboards along highly trafficked roads near your facility
  • Run ads on local radio stations aligned with your target customer demographics
  • Provide tours of your facility to local schools or civic groups to create connections

The most effective marketing incorporates digital avenues for expanded reach with targeted local advertising to attract customers in your area. All efforts should convey your capabilities, commitment to service, and the convenience you provide.

14. Focus on the Customer

Providing excellent customer service is crucial for recycling companies to retain clients and gain referrals. In this highly competitive industry, experience matters. Some ways to improve customer focus include:

  • Small touches that show you value customers have a huge impact.
  • Respond promptly to inquiries, provide reminders before pickup days, or send holiday cards to regular clients.
  • Offer flexible scheduling if a customer needs to reschedule a pickup. Go the extra mile to build goodwill.
  • Following up is also key. Call clients after a big project to ensure satisfaction. Seek feedback so you can continuously improve offerings.
  • Address any concerns immediately.
  • With great service, you become partners in your clients’ recycling efforts rather than just a vendor.
  • Make it easy for satisfied customers to leave online reviews. Positive experiences shared publicly or privately with peers are your best marketing.

By providing supportive, responsive customer service – answering questions, solving problems, listening to needs – you demonstrate genuine commitment. Clients will stick with you for the long haul and promote you to others. This helps recycling businesses grow exponentially through referrals.

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How to Create Recycling Business Plan Efficiently in 2024

  • By Rakesh Patel
  • Last Updated: May 2, 2024

Recycling business plan

  • A well-crafted recycling business plan is crucial for financing, attracting investors, and driving the company’s growth and success.
  • Analyzing the market is essential to identifying key opportunities, differentiating from competitors, and establishing a sustainable customer base.
  • Developing a clear sales and marketing strategy with defined target markets help you build building brand awareness.

Starting a recycling business without a sound plan is like a sitting duck waiting to be shot. But thankfully, you are here so that you can get a guiding light for your new venture.

There is no doubt that the recycling services industry is on an upswing as it was valued at $57.69 billion in 2021 and is expected to touch the $90 billion mark by 2028 .

So first, let us show you what a recycling business plan is and how it will help you before moving on to its components.

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Table of Content

  • What is Recycling Business Plan?

How to Develop a Recycling Business Plan?

What is recycling business plan .

Recycling business plan is a comprehensive document that outlines the goals, objectives, strategies, and financial projections of your business. In simple words, think of it as your pole star that will show you a way out of the dark.

What is recycling business plan

Having such a well-developed plan can serve as a roadmap to guide your company’s operations and ensure better efficiency.

Why is it important to construct for your recycling business?

Whether you are starting a new business or already associated with the recycling industry, developing a robust business plan is essential for achieving organizational goals. Below is why you must construct one for your business. 

1. Identifying your target market

Identifying and analyzing your target market

Firstly, it enables you to identify and analyze your target market to help you understand the needs of your potential customers so that you can precisely serve what they want.

This precision will give you a competitive edge over your competitors who are scattering their efforts all over the place.

2. Managing your operations and resources

A business plan provides you with clarity about your operations, like how the daily waste collection process should take place and what tasks will be carried out by your team in a timely manner.

This will ensure that everything is properly aligned along with the right set of instructions for doing them. As a result, your recycling business can run smoothly.

3. Making your financial projections

A recycling business plan includes financial projections for at least the first year of operation. This projection gives you an idea about the funding you need for your business to take off. In short, it assists you to develop your financial plan as well. 

Once you have projections ready, it also provides you with a roadmap for achieving your revenue and profitability goals. In other words, you can say, it gets your numbers right.

4. Ensuring compliance with regulations

As a business owner, you cannot provide your services legally without complying with the rules set by the jurisdiction in your area. 

This is where it is crucial to develop a business plan that gives you an overview of the regulations and requirements for operating a recycling business in your service area. 

Doing it right before starting your recycling business ensures that you have complied with all applicable regulations. This means you can avoid hefty fines as well as mitigate potential risks.

5. Monitoring your performance

A recycling business plan gives you detailed insights by serving as a baseline for monitoring your performance and progress. This allows you to come up with your strategies and operations accordingly and make informed decisions to optimize your recycling process.

Creating a plan is one of the initial steps when it comes to starting a new recycling business. But, how will you develop it efficiently? For that, let’s discuss its components in the next section..

Business owners should include 10 main components while developing a business plan. Let us talk about them one by one. 

1. Industry overview

This section gives you a gist of the recycling industry and the market trends that are driving its growth. It typically includes information such as:

Size and growth of the industry

This section should provide an overview of the recycling industry’s size and growth trends. You can include statistics on the amount of waste generated, the percentage of waste that is currently being recycled, and projections for future growth.

Key market segments

Target market segments mean the sections of the whole industry which you are eying to target. For example – commercial or residential waste. Identify your target market segments and provide information on the size of each segment and its growth potential.

Competitive landscape

Analyze the major players (aka competitors) in your region, including their market share, strengths, and weaknesses. Also, identify any new entrants or potential competitors that may affect your business.

The legal and regulatory environment

Provide an overview of the legal and regulatory environment in which your business will operate. This gives you an idea of any permits or licenses required to operate a recycling business.

2. Executive summary

An executive summary is like a quick overview of your overall business plan. Here are some key elements to include:

  • Services: Give an overview of the services that your recycling business will offer and the types of waste you will recycle.
  • Target market: Describe the target market for your recycling business, including demographics, geography, and the size of the market.
  • Financial projections: Summarize your financial projections for the first few years of operation, including revenue, expenses, and profit margins.

3. Mission statement

The mission statement is all about your company’s primary focus and what it aims to achieve. A well-crafted mission statement can serve as a guiding principle for all the decisions made at your business.

Thus, it should communicate the essence of the company’s business, values, and culture, including recycling problems and solutions . However, when creating a mission statement, it is important that you keep it clear and concise.

4. Services and pricing

Following a statement, you can describe the recycling services that  you want to provide and how much you will charge for each of them. Hence, it should include a breakdown of the costs associated with any of your services as well as any pricing plans you offer. 

For example , you could charge a flat fee for a specific service such as curbside recycling pickup. Or, wherever possible, you can charge variably based on the volume of materials being recycled. 

5. Operational plan

It outlines the day-to-day activities that are essential to run your business. It gives details on: 

  • How your business will function?
  • How it will meet its goals and objectives?
  • What processes and precautions will everyone need to follow?

This will ensure that your daily efforts produce the maximum output toward your desired goals. As an additional benefit, it also saves recycling companies from inconsistencies that happen when a reliable plan is not set.

When deciding your operational plan, it is wise to add software to your process that will relieve you of much of your daily burden.  One such recycling waste collection route planning software is Upper,  which helps you plan routes for your waste collection team so that they can reach their destinations in a minimum time.

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6. Job roles and responsibilities

This outlines the key positions within your business and the responsibilities associated with each of them. One of its purposes is to provide a clear understanding of the organizational structure of your company.

Here are some examples of job roles and responsibilities that can be included in a recycling business plan:

  • Chief Executive Officer (CEO): The CEO is responsible for providing direction for the company while overseeing all aspects of its operations and ensuring that it achieves its objectives.
  • Operations Manager: The Operations Manager is responsible for overseeing the day-to-day operations, managing staff, coordinating with customers, and ensuring that all equipment and facilities are properly maintained.
  • Sales and Marketing Manager: A person who can develop marketing strategies to promote the services, identify new business opportunities, and build relationships with key customers.
  • Customer Service Representative: The person should be responsible for providing customers with information about the company’s services, answering questions, and resolving any issues or concerns that arise.
  • Recycling Technician: The Recycling Technician is responsible for sorting, processing, and preparing recyclable materials using recycling technologies for reuse.

7. Target market research

The process gives an in-depth analysis of the industry, competition, and potential customers. Thus, it is important to conduct thorough research using reliable sources and data. Let’s have a look at each of its components:

  • Industry analysis: It provides an overview of the recycling industry, including its size, growth, and recycling trends as well.
  • Competitor analysis: Here you identify your competition and their strengths or weaknesses. You can figure out information on their products, pricing strategies, marketing approaches, and market share.
  • Customer analysis: Its purpose is to show you the buying behavior, pain points, and preferences of your target audience.

Pro tip: The better you know your audience, the more effective will be your market research. So, find out the demographics, psychographics, and needs and preference of your target audience in detail.

8. Sales and marketing strategy

A strategy outlines the specific tactics and approaches that you will use to promote your services, generate leads, and convert those leads into paid customers. Here are some of its key elements:

  • Promotion channels: Here you identify specific channels for promoting your services and how you will use them. It includes digital marketing, social media, print media, events, and word-of-mouth marketing.
  • Lead generation : This section describes the methods you will use to generate leads such as  cold calling, email marketing, SEO, and PPC advertising.
  • Sales/Conversion approach: It tells you how you will close more sales and generate more revenue. If you have any unique selling proposition (USP) that makes you stand apart, you can describe it in this part.

9. Financial projections

It is crucial step as it provides an overview of the expected financial performance of the company in the short term and long term. This also serves as a goal to achieve for your entire team so that you keep on growing financially every year. 

Here is an example to give you a better idea of a financial projection: 

  • Revenue: $500,000
  • Cost of services provided: $250,000
  • Gross profit: $250,000
  • Operating expenses: $100,000
  • Net income: $150,000

10. SWOT analysis

SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It is a strategic planning tool that helps you identify and analyze internal and external factors that can affect the operations and profitability of your business. 

Here’s a breakdown of each component of the SWOT analysis:

  • Strengths: These are internal factors that give you an advantage over other recycling businesses. It includes your business’s core competencies, unique selling points, financial stability, and other resources.
  • Weaknesses: These are internal factors that put your business at a disadvantage compared to its competitors. It can be a lack of resources, inexperienced staff, poor infrastructure, etc.
  • Opportunities: These are external factors such as emerging trends, changes in regulations, new markets, or partnerships that your business can capitalize on to improve its operations and profitability.
  • Threats: These are external factors that can negatively impact your business’s operations and profitability. It can be market competition, economic downturns, changing regulations, natural disasters, etc.

By conducting a SWOT analysis, you will have a better understanding of what to capitalize on (strengths and opportunities) as well as figure out weaknesses and potential threats.

To identify your target market, you need to consider factors such as location, demographic, and behavior. Determine the type of recyclables products that are in demand and the consumers who are likely to use recycling services.

The startup costs for a recycling business can range from $10,000 to $20,000, depending on the size and type of operation.

One should establish a strong marketing strategy that promotes your services and highlights the benefits of recycling in order to attract more clients. Additionally, you can use social media platforms, local advertising, and community outreach to raise awareness of your business.

The success of a recycling business can be measured through various metrics such as revenue growth, customer retention rate, and the volume of recyclables collected and processed.

All in all, a recycling business plan is a crucial roadmap that outlines your company’s mission, services, target market, sales and marketing strategy, financial projections, and operational plan. 

A well-crafted plan can help you secure financing, attract clients and guide your business toward sustainable growth and profitability. So, go through these all components before you start your recycling business because it is worth all the effort. In case you want to streamline your waste collection process, it is recommended to use AI driven route planning software like Upper. You can explore its features by taking a 7 days FREE TRIAL . 

Rakesh Patel

Rakesh Patel, author of two defining books on reverse geotagging, is a trusted authority in routing and logistics. His innovative solutions at Upper Route Planner have simplified logistics for businesses across the board. A thought leader in the field, Rakesh's insights are shaping the future of modern-day logistics, making him your go-to expert for all things route optimization. Read more.

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Small Business Trends

How to start a recycling business: your guide to a greener profit.

Thinking about starting a recycling business? The stats back you up. By 2028, the global waste recycling industry will be valued at almost $90 billion. This article will guide you through the steps you need to start a recycling business. From the financial plans and legal requirements to the equipment recycling businesses need.

Why Start a Recycling Business?

how to start a recycling business

Starting a recycling business is a significant venture that has big benefits.

  • This type of business reduces the demand for raw materials and conserves natural resources. The EPA reports that in 2018, 186 million metric tons of greenhouse gas emissions were saved.
  • Grand View Research pegs recycling is a growing industry, projecting it will reach $81.3 billion by 2028.

A business like this creates employment all the way up from collection sorting to management and processing.

What Do Recycling Companies Do?

how to start a recycling business

Recycling companies work with a wide range of different materials.

Scrap Metal Recycling

Sources can include construction and demolition debris, electronic devices, and automotive parts. The materials can include different types of ferrous metals like iron and steel and non-ferrous metals like aluminum.

Plastic Waste Recycling

A new company needs the right equipment, including conveyor belts and shredders. The sources here include a variety of plastic polymers.

Paper Recycling

A paper recycling department in your new business will collect waste from municipalities, businesses, schools, and offices. This system needs to categorize different materials and separate cardboard, office paper, and newspaper.

Electronic Waste Recycling

Recycling this type of material conserves materials like copper, silver and gold. E-waste recycling reduces water and soil pollution. This type of recycling requires dismantling and sorting procedures.

CriteriaScrap Metal RecyclingPlastic Waste RecyclingPaper RecyclingElectronic Waste Recycling
Sources of Waste- Construction and demolition debris
- Electronic devices
- Automotive parts
- Variety of plastic polymers- Municipalities
- Businesses
- Schools
- Offices
- Computers
- Cell phones
- TVs
- Other electronics
Key Materials Involved- Ferrous metals (e.g., iron, steel)
- Non-ferrous metals (e.g., aluminum)
- Different types of plastics (e.g., PET, HDPE, PVC)- Cardboard
- Office paper
- Newspaper
- Copper
- Silver
- Gold
- Other precious metals
Equipment Needed- Metal shredders
- Sorting systems
- Conveyor belts
- Shredders
- Sorting systems
- Sorting systems
- Balers
- Pulping machines
- Dismantling tools
- Sorting systems
- Shredders
Environmental Benefits- Reduces the need for raw materials
- Decreases energy consumption
- Reduces plastic waste in landfills
- Conserves resources
- Conserves trees and forests
- Reduces landfill waste
- Reduces water and soil pollution
- Conserves precious metals
Processing Procedures- Sorting
- Shredding
- Melting
- Sorting
- Shredding
- Melting and pelletizing
- Collection
- Sorting
- Pulping
- De-inking
- Drying
- Collection
- Dismantling
- Sorting
- Recovery of materials

There are also specialized recycling programs, like those for recycling ink cartridges or those that facilitate business recycling program initiatives.

The Fundamentals of Starting a Recycling Business

how to start a recycling business

Before you can start recycling, you need to learn how to start a business . Here’s what you need to get started.

Research and Market Analysis of the Recycling Industry

Some points to consider include:

  • Researching collection methods. Take a look at the logistics and costs for different business models like drop-off centers and curbside pickup.
  • Look into the recyclable items in your area. Common ones include glass and plastics, cardboard, metal, and electronics.
  • Take a look at the market size and the potential for recycling growth. Look at the trends in waste and analyze government initiatives.

Creating a Business Plan for Your Recycling Business

Here are some tips for getting your business plan right. The business description needs to detail whether you’re starting a paper, recycling, or e-waste recycling venture. Be specific about what you’ll be handling.

The market analysis needs to describe the different segments and whether you will count on industrial, commercial, or residential clients.

Funding and Financial Planning

Financial planning for a startup business should include costs like marketing, insurance, licenses, and equipment plus others.

  • You can get money for small business loans by going to banks or credit unions. The Small Business Administration offers programs.
  • Family and friends might invest but you need to be clear about the terms to avoid any problems later on.
  • Check out grants and subsidies from the government or industry associations to get funded.

Legal Requirements and Regulations for Starting a Recycling Business

how to start a recycling business

Recycling businesses need to stay compliant with regulations to minimize pollution and protect health. Noncompliance can have legal consequences.

Acquiring Necessary Permits

First, you need to pinpoint the kind of recycling venture you are going to start. These can vary depending on your location and the kind of materials you handle. Permits usually mean you’ll need to deal with federal state and local governments.

Environmental Regulations

Federally, you need to deal with the Environmental Protection Agency (EPA). Each state has its own agency. Cities and counties may have their own departments too.

Consider using an environmental consulting firm.

Health and Safety Protocols

Specific protocols depend on the type of business but here are a few general pointers.

  • Employees need to be trained on potential hazards and safe workplace practices.
  • Everyone needs to understand the proper use of Personal Protective Equipment (PPE). That includes gloves and face shields. etc.
  • Safe handling procedures and an up-to-date Material Safety Data Sheet (MSDS) need to be included.

Startup Costs to Consider for Your Recycling Business

how to start a recycling business

If you want to make money with a recycling business, you must start by knowing what costs.

Equipment and Machinery

Here’s a list with some prices.

For Material Handling

  • Forklifts start at $10,000.
  • Conveyor belts move materials for sorting. They cost up to $10,000 per linear foot.
  • Shredders can cost up to $100,000.
  • Bailers and compactors can cost somewhere between $2000 to $50,000

Heavy Equipment

Depending on the material you might need crushers, excavators, and loaders. Heavy equipment costs anywhere from $50,000 to several hundred thousand dollars.

Location and Processing Facilities

Before you commit to a location, conduct a feasibility study and site assessment. Make sure the location lines up with regulatory and zoning compliances.

Marketing and Branding

Showcase your service and how it contributes to broader social goals. For example, highlight how it supports green initiatives. Brand it as a company that reduces landfill waste.

How to Start a Profitable Recycling Business

how to start a recycling business

Here are a few tips to make your business profitable.

Choosing a Niche

Analyse and research the market demand. Plus you want to look at the competition and the availability of materials.

Quality of Recyclable Materials

The number one thing to look out for here is contamination. Visual inspections can identify contaminants like food waste and trash.

Partnerships and Collaborations

Organizations and businesses that parallel your operations make for good partners and collaborations. Search for other recycling businesses that share your environmental responsibility goals.

Put together an excellent value proposition highlighting your benefits, resources, and expertise.

Types of Recycling Services to Offer

how to start a recycling business

A recycling business can provide different services.

Community Recycling Programs

These programs collect recyclables from residential properties. The residents sort recyclables and put them in bins. They get picked up curbside.

Corporate Recycling Services

These programs work with businesses. They provide processing, sorting and collection services for materials like metals, plastics and paper.

Waste Management Services

These services look after collection and disposal. They collect recyclables from the curb and include sorting and environmentally responsible treatments.

Steps to Launch Your Recycling Business

how to start a recycling business

Here’s a step-by-step guide to launching a recycling business.

Procurement of Raw Materials

You can start by establishing partnerships with waste management companies or local cities and municipalities. Other entrepreneurs can set up their own curbside collection programs and/or drop-off locations.

Setting Up the Processing Facility and Recycling Centers

There are two commonly used options here. The manual sorting facility needs a location where trucks can deliver recyclables. You’ll need a lot of space for sorting equipment.

An automated sorting facility requires fewer workers. However, it does need a computerized control system to adjust and monitor the processes.

Implementing Marketing Strategies

Here are the three most successful marketing options for a recycling program.

  • Use customer testimonials and/or case studies.
  • Master community engagement and local partnerships. Don’t forget local schools and community organizations.
  • A responsive website needs educational content and updated contact information.

How to Run a Successful Recycling Business

how to start a recycling business

Running a successful business includes the following:

Effective Resource Management

Optimizing and analyzing your processing and sorting operations is top of the list. Effective resource management means improving your efficiency and maximizing your material recovery rates.

Customer Engagement

Look for feedback and share educational content to build a loyal customer base.

Sustainability Measures

One of the top metrics is the waste diversion rate. It’s the percentage of waste that gets diverted away from landfills.

FAQs: How to Start a Recycling Business

How profitable is a recycling business.

The market price for the recyclable items you are working with is a big factor. By 2028, the industry is forecast to be worth US$90 billion.

What types of recycling are most profitable?

There are several sustainable business ideas within the recycling industry. Metal recycling and electronic waste are the two that generate the most money.

Is starting a recycling business good for the environment?

Yes, in several ways. A recycling business diverts glass, plastics, paper, and metal from landfills. These businesses reduce the need for processing raw materials.

What are the risks involved in a recycling business?

Like any business, there are risks with a recycling process. If contamination and quality control aren’t done properly, processing costs increase.

Market prices for items like plastics paper and metal can be volatile for those who want to sell recyclable materials.

How does a recycling company work with municipalities?

Municipalities often offer contractual agreements to recycling companies. These companies can operate curbside collection services for the municipality. They can also manage and establish drop-off centers. Both are recycling program options.

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recycling of waste business plan

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Recycling Business Plans

Garden products recycling business plan.

Hair Recycling Technologies makes garden supplements and soil amendments made from recycled hair.

Pallet Manufacturer Business Plan

Advanced Technology Pallets (ATP) has patented a new technology to use recycled automobile tires to manufacture new shipping pallets that far exceed the current industry strength and durability standards.

Plastics Recycling Business Plan

Replay Plastics will create a PET (polyethylene terephthalate) cleaning and refining plant located in the western United States.

Recycling Energy Conversion Business Plan

Good Earth Resources will build and operate facilities for energy generation from garbage processing and recycling.

Recycling Waste Materials Business Plan

Mid-Atlantic Recycling, LLC’s area of business will be to collect, recycle/compost, and market waste from municipality waste processing plants for use use as a consumer good.

A wide variety of materials from homes and businesses can be recycled and reprocessed. Scrap metal, building materials, furniture, electronic devices as well as conventional recyclables such as cardboard, glass, paper, and plastic are all fair game.

Now, just because these components are available for recycling doesn’t mean there’s a business around to make that process easy. Meaning there’s plenty of opportunities for entrepreneurs to create a niche, customer-centric recycling business. You just need a business plan to do it.

Luckily, you can start by downloading one of our Sample Recycling Business Plans. It’ll give you all the insights you need to develop a full plan for your own business.

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recycling of waste business plan

How to Start a Profitable Plastic Recycling Business [11 Steps]

By Nick Cotter Updated Feb 02, 2024

plastic recycling business image

Business Steps:

1. perform market analysis., 2. draft a plastic recycling business plan., 3. develop a plastic recycling brand., 4. formalize your business registration., 5. acquire necessary licenses and permits for plastic recycling., 6. open a business bank account and secure funding as needed., 7. set pricing for plastic recycling services., 8. acquire plastic recycling equipment and supplies., 9. obtain business insurance for plastic recycling, if required., 10. begin marketing your plastic recycling services., 11. expand your plastic recycling business..

Embarking on a plastic recycling business requires a thorough understanding of the market landscape to ensure viability and success. Market analysis is crucial in identifying the demand for recycled materials, understanding the competition, and recognizing potential challenges and opportunities. Here are essential steps to guide you through your market analysis:

  • Research the types and volumes of plastic waste generated in your target area to gauge the supply available for recycling.
  • Analyze the demand for recycled plastics by identifying industries and manufacturers that use recycled materials in their products.
  • Investigate local and national regulations regarding plastic recycling to understand the legal framework and environmental standards.
  • Study current market prices for various types of recycled plastics to help forecast potential revenue.
  • Examine the competitive landscape by looking at existing plastic recycling businesses, their processes, and their market share.
  • Assess the availability of technology and machinery for the recycling process, considering both cost and efficiency.
  • Explore potential partnerships with suppliers and buyers, which can provide a steady stream of input materials and a reliable market for your output.

plastic recycling business image

Are Plastic Recycling businesses profitable?

Yes, plastic recycling businesses can be profitable. Depending on the size of the business and its location, profits can range from a few thousand dollars a year to millions of dollars. Additionally, the recycling of plastic can provide environmental benefits, such as reducing waste and conserving resources.

Creating a thorough business plan is crucial for the success of your plastic recycling enterprise. It will serve as a roadmap for your operations, financial management, and strategic direction. Here's a guide to drafting an effective business plan for your plastic recycling business:

  • Start with an executive summary that encapsulates the mission, vision, and the core values of your business.
  • Detail the types of plastics your business will recycle and the recycling processes you intend to use.
  • Conduct a market analysis to identify your target market, competition, and demand for recycled plastics.
  • Outline your business model, including how you will generate revenue, pricing strategy, and your value proposition.
  • Describe your operations plan, including the location of your facility, equipment needed, and the operational workflow.
  • Develop a marketing and sales strategy to attract customers and create partnerships with suppliers and buyers.
  • Provide an organizational chart that outlines your team's structure, including key roles and responsibilities.
  • Present a detailed financial plan with projections for expenses, revenue, profit margin, and break-even analysis.
  • Include an appendix with any additional data, such as market research studies, resumes of the management team, or letters of intent from potential clients.

How does a Plastic Recycling business make money?

Plastic recycling businesses make money by selling the recycled plastic to companies that use it to make new products. The plastic can also be sold to other plastic recyclers, who can further process the plastic into new products. Additionally, some plastic recycling businesses may receive payments from the government or other organizations for taking in and recycling plastic waste.

Developing a plastic recycling brand is crucial for establishing a strong market presence and gaining trust among consumers and partners. Your brand should reflect your mission of sustainability and innovation in recycling. Consider the following steps to create a compelling brand identity:

  • Define Your Brand Values: Outline the core principles that your brand stands for, such as environmental responsibility, community engagement, or technological innovation in plastic recycling.
  • Create a Memorable Brand Name and Logo: Choose a name and design a logo that are both memorable and reflective of your recycling mission, making it easy for customers to identify and remember your brand.
  • Develop a Unique Selling Proposition (USP): Clearly articulate what differentiates your brand from competitors. This could be a unique recycling process, superior quality of recycled materials, or exceptional customer service.
  • Build a Strong Online Presence: Utilize a professional website and social media platforms to showcase your brand's story, mission, and the impact of your recycling efforts, thus creating transparency and building trust.
  • Engage with Your Community: Participate in local events, sponsorships, and educational programs to increase brand visibility and demonstrate your commitment to the community and environment.

How to come up with a name for your Plastic Recycling business?

When coming up with a name for your plastic recycling business, consider your target audience and the type of message you’re trying to convey. Brainstorm words and phrases that you think best describe your company, such as ‘eco-friendly’, ‘sustainable’ and ‘green’. Keep the name simple, easy to remember, and relevant to the industry. Finally, do some research to make sure there isn’t already an existing business using your chosen name.

image of ZenBusiness logo

Starting a plastic recycling business requires adherence to both environmental and business regulations. Formalizing your business registration is a crucial step, ensuring your company operates legally and is recognized by the relevant authorities. Here's how to navigate the registration process:

  • Research the business structure that best suits your needs (e.g., sole proprietorship, partnership, corporation, or limited liability company) and understand the implications for taxes, liability, and operations.
  • Choose a unique business name that complies with state guidelines and register it with the appropriate state agency, often the Secretary of State or Business Bureau.
  • Obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS) for tax purposes, especially if you plan to hire employees.
  • Apply for any necessary business licenses and permits specific to plastic recycling operations, which may include environmental permits, zoning permits, and health and safety approvals.
  • Register for state and local taxes to ensure you're set up to pay sales, use, income, and employment taxes as applicable to your business operations.
  • Keep records of all your registration documents and renew them as required to maintain compliance with state and federal regulations.

Resources to help get you started:

Explore key resources designed for plastic recycling entrepreneurs to stay informed on market trends, enhance operational efficiency, and foster strategic business development:

  • Plastics Recycling Update: A leading publication offering the latest news, trends, and technologies in the plastics recycling industry. Visit site
  • The Association of Plastic Recyclers (APR) Reports: Comprehensive reports and guides on best practices, market development, and technical resources for recycling professionals. Visit site
  • Ellen MacArthur Foundation - Circular Economy and Plastics: Insightful resources that explore the transition to a circular economy, focusing on innovative plastic use and recycling. Visit site
  • Recycling International Magazine: Global coverage on recycling industry news, including in-depth articles on plastic waste management and recycling strategies. Visit site
  • GreenBiz - Circular Economy: A segment dedicated to circular economy practices, offering articles, webinars, and research reports relevant to plastic recycling businesses. Visit site

Starting a plastic recycling business requires a thorough understanding of the legal landscape, as compliance with local, state, and federal regulations is crucial. Acquiring the necessary licenses and permits is a critical step to ensure your business operates legally and safely. Below is a guide to help you through this process:

  • Research local zoning laws: Before applying for a permit, ensure your chosen location is zoned for industrial use and specifically for a recycling facility.
  • Contact your local government: Reach out to your city or county's business licensing department to learn about required local business licenses.
  • Obtain an Environmental Permit: Depending on your location, you may need to apply for an environmental permit from the state's environmental protection agency to operate your recycling plant.
  • Check for specialized permits: Some areas require special permits for waste collection and transportation, so inquire about any additional requirements.
  • Understand federal requirements: The Environmental Protection Agency (EPA) has guidelines and regulations for recycling businesses, which may necessitate federal permits.
  • Keep records: Maintain accurate records of all licenses and permits, as you will need to provide proof of compliance during inspections and renewals.

What licenses and permits are needed to run a plastic recycling business?

Depending on the location, the required licenses and permits may vary. Generally, a business license, an environmental permit, a zoning permit, and any other local permits or licenses that may be needed are all needed to run a plastic recycling business.

Opening a business bank account and securing funding are crucial steps in establishing a solid financial foundation for your plastic recycling business. They separate your personal finances from your business operations and provide the necessary capital to grow. Here's how to accomplish these tasks:

  • Choose the right bank: Research banks to find one that offers low fees, easy access, and good customer service. Consider whether you need online banking, a physical branch nearby, or specific business services.
  • Prepare the necessary documents: You will need your business registration details, EIN (Employer Identification Number), ownership agreements, and possibly a business plan when opening your account.
  • Understand your funding needs: Calculate the initial capital required to start your operations, including equipment, premises, and working capital.
  • Explore funding options: Look into traditional loans, government grants, venture capital, angel investors, or crowdfunding. Choose the option that offers the best terms and suits your business model.
  • Create a compelling pitch: If seeking investors, develop a solid business plan and pitch that outlines your business model, market analysis, and sustainability impact to attract the right funding.
  • Maintain a good credit score: A strong business credit score can help you secure loans with better interest rates and terms.
  • Consider alternative funding sources: For additional support, look into industry-specific grants, local business competitions, or partnerships with environmental organizations.

Setting the right pricing for plastic recycling services is a crucial step in ensuring the sustainability and profitability of your business. It involves a careful analysis of costs, market demand, and competitive pricing. Consider the following guidelines when determining your pricing strategy:

  • Analyze your costs: Include all operational costs such as collection, sorting, processing, labor, and transportation. Ensure your pricing covers these expenses and provides a reasonable margin.
  • Understand the market: Research the local and regional market rates for recycled plastics. Knowing what customers are willing to pay can help you set competitive prices.
  • Offer tiered pricing: Create different service packages based on volume, frequency, and type of plastic. This can cater to a wider range of customers and incentivize larger contracts.
  • Consider value-added services: If you offer additional services such as waste audits or sustainability consulting, factor these into your pricing or offer them as premium services.
  • Flexibility is key: Be prepared to adjust your pricing strategy in response to market fluctuations, changes in raw material costs, and customer feedback.
  • Communicate value: Highlight the environmental and social benefits of recycling plastic, which can justify a premium price to eco-conscious customers.

What does it cost to start a Plastic Recycling business?

Initiating a plastic recycling business can involve substantial financial commitment, the scale of which is significantly influenced by factors such as geographical location, market dynamics, and operational expenses, among others. Nonetheless, our extensive research and hands-on experience have revealed an estimated starting cost of approximately $225000 for launching such an business. Please note, not all of these costs may be necessary to start up your plastic recycling business.

Launching a plastic recycling business requires careful selection of equipment and supplies to handle the processing of recyclable plastics efficiently. The right machinery will not only improve your operational efficiency but also ensure the quality of the recycled product. Here are some essential items to consider:

  • Grinders/Shredders: To break down plastic waste into smaller, manageable pieces for easier processing.
  • Balers: For compressing plastic waste into compact, easy-to-transport bales.
  • Extruders: If you're producing plastic pellets, an extruder is necessary for melting and forming the recycled plastic.
  • Sorting systems: Automated or manual systems to separate plastics by type and color.
  • Washing and drying units: To clean the plastic waste and remove any contaminants before processing.
  • Conveyor belts: To facilitate the movement of plastic materials through different stages of the recycling process.
  • Granulators: For cutting plastic into smaller granules, often used after the initial size reduction.
  • Personal protective equipment (PPE): Safety gear for workers, including gloves, goggles, and masks.
  • Quality control tools: Such as scales for weight measurements and spectrophotometers for material composition analysis.

List of Software, Tools and Supplies Needed to Start a Plastic Recycling Business:

  • Business plan software
  • Computer and software (accounting, word processing and database programs)
  • Office supplies and equipment (desks, chairs, computers, printers, etc.)
  • Advertising materials (brochures, posters, flyers, etc.)
  • Recycling equipment (shredders, sorting machines, grinders, etc.)
  • Protective gear (gloves, masks, goggles, etc.)
  • Plastic containers (for collecting and storing recycled plastic)
  • Plastic collection bags
  • Trucks or vans for transporting collected plastic
  • Weighing scales
  • Storage facilities (warehouses, etc.)

Ensuring your plastic recycling business is well-protected against potential risks is crucial for its success and sustainability. Obtaining the right business insurance can help safeguard your operations, assets, employees, and the environment. Below are key points to consider when seeking insurance for your plastic recycling business:

  • General Liability Insurance: This is essential to protect your business from lawsuits due to injuries or property damage caused by your operations.
  • Property Insurance: Protects your facility, equipment, and inventory in case of fire, theft, or other damages.
  • Workers' Compensation: Required in most regions if you have employees, it covers medical costs and lost wages for work-related injuries and illnesses.
  • Environmental Insurance: Specifically important for recycling businesses to cover costs related to pollution and environmental damage.
  • Commercial Auto Insurance: If you own vehicles for transporting materials or finished products, this insurance is necessary.
  • Product Liability Insurance: If your business manufactures products from recycled plastics, this insurance can protect against claims of harm caused by your products.
  • Consult with an Insurance Broker: An experienced broker can help you identify specific risks associated with your business and find the best coverage options.

Marketing is a critical component for the success of your plastic recycling business. It's essential to communicate the benefits of your services effectively to potential customers and partners. Below are some strategies to help you begin marketing your plastic recycling services:

  • Identify Your Target Market: Understand who needs your recycling services, such as local businesses, manufacturers, or municipal waste management programs, and tailor your marketing message to them.
  • Develop a Strong Brand Identity: Create a logo, slogan, and color scheme that reflects your commitment to sustainability and makes your business easily recognizable.
  • Online Presence: Build a professional website and use social media platforms to reach a broader audience and engage with your community about the importance of recycling.
  • Networking: Join local business associations, attend community events, and partner with environmental organizations to gain visibility and credibility.
  • Advertising: Consider local newspaper ads, radio spots, and online advertising through Google Ads or social media to reach potential customers.
  • Educational Outreach: Host workshops or seminars on the importance of plastic recycling to educate the public and create a customer base that values your services.
  • Referral Programs: Encourage existing customers to refer new clients by offering discounts or other incentives.

Once your plastic recycling business has established a solid foundation and streamlined its operations, expanding your business is the next step to increase your impact and profitability. Consider the following strategies to broaden your reach and enhance your capabilities in the recycling industry:

  • Diversify Recycling Materials: Start recycling additional types of plastics, if you've been focusing on a limited selection, to attract a wider range of customers.
  • Upgrade Equipment: Invest in more advanced recycling machinery that can increase your processing capacity and efficiency.
  • Expand Collection Networks: Partner with more local businesses, schools, and community organizations to collect a larger volume of recyclable materials.
  • Enhance Product Line: Develop new products from recycled plastics to offer more options to consumers and create additional revenue streams.
  • Explore New Markets: Look for opportunities to sell recycled materials or products in new geographical areas, whether domestically or internationally.
  • Focus on Education: Run community workshops and educational programs to increase awareness about the importance of recycling and how it supports the environment.
  • Secure Additional Funding: Apply for grants, loans, or attract investors to provide the financial support needed for expansion.
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How to Start a Recycling Business

Last Updated: August 7, 2024 Approved

This article was co-authored by Madison Boehm . Madison Boehm is a Business Advisor and the Co-Founder of Jaxson Maximus, a men’s salon and custom clothiers based in southern Florida. She specializes in business development, operations, and finance. Additionally, she has experience in the salon, clothing, and retail sectors. Madison holds a BBA in Entrepreneurship and Marketing from The University of Houston. There are 15 references cited in this article, which can be found at the bottom of the page. wikiHow marks an article as reader-approved once it receives enough positive feedback. This article received 23 testimonials and 90% of readers who voted found it helpful, earning it our reader-approved status. This article has been viewed 423,558 times.

A successful recycling business is a venture that allows you to make a profit while helping the environment. It is, however, a large undertaking, and you'll face serious competition. By making a detailed plan, locking in financing, understanding the legal requirements, and using good business sense, you can get your recycling business up and running.

Planning for Success

Step 1 Find your niche.

  • Market research will be absolutely essential! You must investigate what recycling businesses already exist in your area, where you will be able to sell materials and for how much, and how much volume exists in your area.
  • There are many different types of recycling businesses. You could choose to collect and resell household items like furniture and working appliances, collect materials like paper and glass to sell to processing facilities, collect and process recyclable materials into new products, or collect items that are difficult for consumers to get rid of, like broken electronics, and process them to remove the recyclable components.
  • Keep in mind that the commodities market is volatile, which means your profit margins can change very quickly. Depending on the current market conditions, the going rate for materials like metal and paper can change dramatically, which will have a big impact on your bottom line. [2] X Research source

Step 2 Budget.

  • Vehicles to haul recyclables
  • A space to store and/or sell recyclables
  • Wages for employees
  • Machinery to process recyclables
  • Money to pay people for their recyclables

Step 3 Create a business plan.

  • Your company's goals
  • What products/services you offer and who your target market will be
  • How your business will be structured and managed
  • How you will process materials and/or sell products
  • How much money you will need, what you will need it for, and how much you will need to borrow
  • What will make your business unique from its competition
  • Market analysis, including how much competition you will have and how much demand there is for your services
  • How much money you expect to make
  • How you will market your business

Step 4 Get the capital you need.

  • The Small Business Administration is a great resource for startup companies in the United States.
  • Check with the Environmental Protection Agency's Jobs Through Recycling Program to see if they can offer you financial assistance.
  • You may be able to get a loan from your state. Florida, for example, offers special reduced rate loans to entrepreneurs who can increase the state's recycling capacity.
  • The Sustainable Jobs Fund may also be able to offer you assistance if your business will provide jobs in an economically distressed neighborhood.
  • You may qualify for a loan from the Business and Industry Guaranteed Loan Program if your business is in a rural area.

Navigating the Legal Obstacles

Step 1 Choose a business structure.

  • Once you decide which business structure is right for you, contact your state's Secretary of State office to find out what you need to do to apply. The process varies from state to state. [7] X Research source
  • Each business type requires the submission of different forms. You may want to hire an attorney to help, especially if you are forming a corporation. [8] X Research source
  • It's a good idea to consult with an attorney and/or CPA if you are unsure which business structure is right for you,
  • Make sure to put some thought into your business's name before you file any forms. It needs to be distinguishable from all other businesses registered in your state. You can check with your state's office to find out if the name is available, and with the U.S. Patent and Trademark Office to make sure your desired name has not been trademarked by another business. [9] X Research source

Step 2 Register with the IRS.

  • Applying for an EIN is easy on the IRS's website. You can also submit the application by mail or fax, or even apply over the phone by calling 267-941-1099 (for international applicants only).

Step 3 Get a business license.

  • If you are handling any hazardous materials, such as mercury from electronics, you will need to comply with all state and federal environmental protection laws. [12] X Research source
  • Depending on your location and the nature of your recycling business, you may need special permits for environmental concerns like air emissions and waste water. [13] X Research source
  • In some states, you will be required to apply for an annual permit and report all of your recovered materials to the Department of Environmental Protection. [14] X Research source
  • Check with your state's Department of Transportation to find out what the requirements are for registering your commercial vehicles and whether or not you need any additional permits for your vehicles. [15] X Research source

Operating Your Business

Step 1 Find a space.

  • Consider zoning restrictions. If you plan on having a physical location where you store or process recycling materials, you will need to make sure that your building is properly zoned for this kind of business. Although it might be ideal to have a central location near the city, residents and/or planning boards are likely to object to having a recycling business near residential areas. [16] X Research source
  • Contact your city's zoning commission, planning and development department, or building department for more information about the zoning restrictions in your area.
  • If you need customers to come to your location, either to purchase items or to drop them off, you need to make sure it is a convenient place for people to come. It should be as centrally located as possible and have plenty of parking. You also need to make sure the building is clearly marked so people can find you easily.

Step 2 Hire employees.

  • Remember that when marketing your business you need to focus on the value that you will be providing to your customer, whether it's top dollar for their materials or the most convenient way to dispose of them. [17] X Research source
  • If you will be reselling goods, keep in mind that some of your customers will be consumers who support the green lifestyle and are drawn in by your advertising, while others may just be looking to purchase used products that are in good condition to save money. It is a good idea to advertise to both of these types of customers.

Step 4 Look for big clients.

  • Certain types of recycling businesses, such as those that deal with used electronics, are routinely inspected by the Occupational Safety and Health Administration (OSHA) to ensure that employees are using the correct equipment and handling procedures. [20] X Research source
  • You also need to make sure to meet your obligations for paying both federal and state taxes. Be sure to keep detailed books for tax purposes.

Expert Q&A

Madison Boehm

  • When your recycling business is doing well, consider expanding. Common methods of growing a recycling business are increasing the number of materials you accept or building your own processing facility. [21] X Research source Thanks Helpful 0 Not Helpful 0

recycling of waste business plan

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Start a Scrap Metal Business

  • ↑ http://startups.co.uk/how-to-start-a-waste-and-recycling-business/2/
  • ↑ http://www.forbes.com/sites/michaelkanellos/2013/11/12/profits-become-elusive-in-recycling/#681bcbb94b5b
  • ↑ http://startups.co.uk/how-to-start-a-waste-and-recycling-business/4/
  • ↑ https://www.sba.gov/writing-business-plan
  • ↑ http://www.dep.state.fl.us/waste/categories/recycling/pages/loan.htm
  • ↑ https://www.sba.gov/category/navigation-structure/starting-managing-business/starting-business/choose-your-business-stru
  • ↑ http://www.entrepreneur.com/article/77730
  • ↑ http://www.nolo.com/legal-encyclopedia/choosing-business-name-faq-29077-3.html
  • ↑ https://www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online
  • ↑ http://www.bizfilings.com/states.aspx
  • ↑ http://www.recyclingsecrets.com/starting-electronics-recycling.htm
  • ↑ http://www.dep.state.fl.us/waste/categories/recycling/pages/rmdealercert.htm
  • ↑ http://www.dol.wa.gov/vehicleregistration/commercialvehicles.html
  • ↑ http://startups.co.uk/how-to-start-a-waste-and-recycling-business/5/
  • ↑ http://www.gaebler.com/How-to-Start-a-Metal-Recycling-Business.htm

About This Article

Madison Boehm

To start a recycling business, start by finding out what materials are already being recycled in your local area. For example, if your town already picks up paper and glass, you might want to start a business recycling large wooden furniture or broken electronics. Additionally, figure out where you can sell the material you want to recycle, and how much you can make from it, to make sure your business can be profitable. Then, determine how much money you’ll need to start your business so you can start looking for loans or investors. For more information, including how to take the appropriate legal steps to start your business, keep reading! Did this summary help you? Yes No

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Recycling Business

Back to All Business Ideas

Eco-Friendly Enterprise: How to Start a Recycling Business

Written by: Esther Strauss

Esther is a business strategist with over 20 years of experience as an entrepreneur, executive, educator, and management advisor.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on April 25, 2021

Eco-Friendly Enterprise: How to Start a Recycling Business

Investment range

$156,550 - $184,100

Revenue potential

$300,000 - $700,000 p.a.

Time to build

Profit potential

$120,000 - $210,000 p.a.

Industry trend

Pay attention to these important factors as you establish your recycling business:

  • Location — Choose a suitable location for your recycling facility with adequate space for processing, storage, and administrative tasks. Ensure your chosen location complies with local zoning laws when operating a recycling facility.
  • Services — Decide on the types of materials you will recycle, such as paper, plastics, metals, electronics, or organic waste. Determine whether you’ll focus on collection, processing, or both.
  • Environmental permits — Secure necessary environmental permits and comply with regulations regarding waste management and processing.
  • Equipment : Invest in various equipment such as collection vehicles, trucks or vans, and collection bins or containers. Provide appropriate safety gear for your employees, including gloves, goggles, and protective clothing.
  • Processing equipment : Depending on your focus, purchase sorting machines, balers, shredders, crushers, and other necessary recycling equipment.
  • Register your business — A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple. Form your business immediately using ZenBusiness LLC formation service or hire one of the best LLC services on the market.
  • Legal business aspects — Register for taxes, open a business bank account, and get an EIN .
  • Partnerships — Build relationships with local governments, environmental organizations, and other businesses to generate referrals and collaborate on projects.

Orange PDF document icon with a stylized 'A' symbol on the page

Interactive Checklist at your fingertips—begin your recycling business today!

You May Also Wonder:

How do recycling companies make money?

The intricacies depend on the type of business, but most recycling companies make profits in three ways. They can either charge for the collection of recyclable material, sell recycled material to a producer or sell a recycled product directly to a consumer.

Which recycling business is most profitable?

There isn’t one most profitable recycling business because there are many niches and approaches businesses can take. But two niches that have good potential are waste paper and electronic waste.

Waste paper requires minimal sorting and processing, so your initial capital outlay can stay low. While electronic waste usually has components that are made of precious metals.

What can be recycled for money?

There are a number of items that you can recycle, including scrap metal (which can be reused many times without degrading), junk cars and parts, bottles and cans (with aluminum fetching over $1,000 per ton), ink cartridges, electronics, furniture, plastic waste, and solid waste.

How do I market my recycling business?

Utilize online platforms to showcase your services, engage with your target audience, and share informative content. Collaborate with local businesses and organizations, conduct educational outreach, and promote convenience and ease of use. 

What recycled material has the highest demand?

Commonly sought-after recycled materials include paper and cardboard, plastic bottles and containers, aluminum cans, glass bottles, and certain types of metals. 

What material is hardest to recycle?

The material that is often considered hardest to recycle is typically Styrofoam (expanded polystyrene). Its lightweight and bulky nature poses challenges in the recycling process, as it requires specialized machinery and processes to efficiently break it down and recycle it. 

recycling business rating

Step 1: Decide if the Business Is Right for You

Before delving into the world of recycling, let’s look at it from a general perspective.

Pros and cons

To gain a balanced view of the recycling industry, let’s look at the positives and the negatives. 

  • Join growing global fight against climate change
  • You’re the boss — choose your specialization, work when you want
  • Growing industry with huge potential
  • Capital and labor-intensive
  • Small margins and limited profit potential
  • Underdeveloped recycling infrastructure

Recycling industry trends

A look at Google Trends for the search term “recycling services” shows consistent interest over the last five years((https://trends.google.com/trends/explore?date=today%205-y&geo=US&q=recycling%20services)). 

Industry size and growth

recycling industry size and growth

  • Industry size and past growth – Analyst IBISWorld values the US recycling facilities market at $7.6 billion in 2022, after growing more than 3% annually in the last five years.(( https://www.ibisworld.com/industry-statistics/market-size/recycling-facilities-united-states/ ))  
  • Growth forecast – The US plastic recycling market alone is expected to post a healthy annual growth of more than 4% through 2030.(( https://www.researchandmarkets.com/reports/5311547/united-states-u-s-plastic-recycling-market )) 
  • Number of businesses – There are more than 1,000 recycling facilities in the US(( https://www.ibisworld.com/industry-statistics/number-of-businesses/recycling-facilities-united-states/ ))
  • Number of people employed – The industry employs nearly 25,000 people.((​​ https://www.ibisworld.com/industry-statistics/employment/recycling-facilities-united-states/ )) 

Trends and challenges

recycling business Trends and Challenges

The latest trends in recycling are:

  • Paper and paperboard wastes are declining, while plastic waste is increasing. 
  • Public awareness about recycling is increasing.

Some of the challenges are:

  • Finding CDL drivers and helpers 
  • China’s National Sword policy which cuts imports of recyclable waste

Popular materials

Nearly 70 million tons of municipal solid waste in the US were recycled in 2018, according to the Environmental Protection Agency. These are the most common materials that are recycled.(( https://www.epa.gov/facts-and-figures-about-materials-waste-and-recycling/national-overview-facts-and-figures-materials#NationalPicture ))

  • Paper and paperboard (66.5%)
  • Metals (12.6%)
  • Rubber, leather, and textiles (6%)
  • Wood (4.49%)
  • Plastics (4.47%)

What kind of people work in recycling?

recycling industry demographics

Among the workers in recycling are the collectors. 

  • Gender – Nearly 94% of recyclable materials collectors are male.(( https://www.zippia.com/recyclable-materials-collector-jobs/demographics/#gender-statistics ))
  • Average level of education – Around 60% of collectors are high school graduates.(( https://www.zippia.com/recyclable-materials-collector-jobs/education/ ))
  • Average age – Most collectors are over 40 years old.(( https://www.zippia.com/recyclable-materials-collector-jobs/demographics/#age-statistics ))

How much does it cost to start a recycling business?

Starting a waste collection business will be your cheapest option because you won’t need to process any material. For a collection business, you’ll need $20,000 to $30,000 to get started.

Here are a few things that you’ll need:

  • Staff 

If you’re looking to start a small production or processing business, you’ll need an investment of about $170,000. On the higher end, you’ll be looking at $3 million and up. 

You’ll need a handful of items to successfully launch your recycling business. Here’s a list to help you get started:

  • Hydraulic lifts
  • Industrial loaders
  • Vibratory feeders
  • Recycling screens
  • Pulverizers

Ensure that you have all the necessary equipment before you start your business; otherwise, you could end up with delays.

Here’s an idea of what your investment will cover:

Start-up CostsBallpark RangeAverage
Setting up a business name and corporation$150 - $200$175
Business licenses and permits$100 - $300$200
Insurance $100 - $300$200
Business cards and brochures$200 - $300$250
Recycling plant$40,000 - $50,00045000
Equipment$85,000 - $90,00087500
Vehicles$30,000 - $40,000$35,000
Website$1,000 - $3,0002000
Total$156,550 - $184,100$170,325

How much can you earn from a recycling business?

recycling business earnings forecast

Recycling advocate Green Biz estimates that the cost of processing a ton of recycling material is $75. In addition, you’ll need to evenly split any income above this mark with your local municipality. 

Roughly speaking, here is the revenue you would generate per ton of materials:

  • Cardboard: $25
  • Paper: $2.50
  • PET plastic: $150
  • HDPE plastic: $250
  • Aluminum: $1,325

In your first year or two, you could recycle 15 tons of waste in a day for five days a week, bringing in nearly $300,000 in annual revenue. This would mean around $120,000 in profit, assuming a 40% margin. As your brand gains recognition, your capacity could climb to 30 tons a day and you could extend operating hours to six days a week. If you hire more staff and invest in additional equipment, your profit margin would be reduced to around 30%. With annual revenue of around $700,000, you’d make a tidy profit of $210,000.

What are the barriers to entry?

The recycling industry is a highly regulated space, so you need to be aware of several barriers.

Here are a few:

  • Several permits and licenses required
  • Expensive insurance
  • Demanding OSHA regulations
  • High startup costs

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Step 2: hone your idea.

It’s time to think about where you’ll fit in the recycling industry, your business’s location, and other finer details

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

To determine your competition, you could look at the city, county, state, or even national level. You might look through trade organization databases or Google Search businesses in your niche. 

Try to get as much data from your recycling business competitors as possible, like how much material they collect, process, and produce, how they price their products and transport goods. By learning about your competition, you put yourself in a good position to beat them. 

There are many types of recycling businesses . They vary by which part of the recycling process they’re in and what material they recycle. The three primary recycling business niches are also steps in the overall process: 

  • Collectors – Gather, sort, store, and deliver recyclables such as plastic bottles 
  • Processors – Recycle used materials before passing on to manufacturers
  • Producers – Take raw material from processors and create products

What? Identify your recycling business focus

Will you specialize in metal? Plastic? Electronics? You could start a plastic recycling business, recycled paper company, or even an aluminum recycling facility. There are many possible avenues. So you’ll need to do your research and choose the best fit. You should take into account the availability and demand of materials, the costs of starting in a particular niche, and which step of the recycling process offers the best fit. 

You could collect waste materials, transport and process them, store materials, or manufacture and sell products. 

Keep in mind, until you choose your niche you won’t know what equipment to purchase, your target demographic, or how to market your new business.

How much should you charge for recycling?

Since materials and commodities usually fluctuate in price, you’ll have to check out the latest valuations to determine the worth of your recyclables. You can also look at your competitors’ prices to give you a better idea. 

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market will be the primary customers for your products. For example, if you have a plastic recycling business, your target market will be producers of any goods made out of recycled plastic. 

At the same time, you could also offer to collect plastic for recycling from consumers and businesses. If you were to structure your business like this, you’d have target markets on both ends of your business — in-take and output. 

Where? Choose the location for your recycling business

Choosing the right location is essential for your recycling centers. It’s a good idea to have a site near your customers to keep your transportation costs low, especially since you’re dealing with tons of materials. A typical location for this type of business would be in an industrial area on the edge of the city to avoid high rental costs. 

Step 3: Brainstorm a Recycling Company Name

Here are some ideas for brainstorming your business name:

  • Short, unique, and catchy names tend to stand out
  • Names that are easy to say and spell tend to do better 
  • Name should be relevant to your product or service offerings
  • Ask around — family, friends, colleagues, social media — for suggestions
  • Including keywords, such as “climate” or “recycling”, boosts SEO
  • Name should allow for expansion, for ex: “Green Cycle Recycling” over “Battery Recycling Solutions”
  • A location-based name can help establish a strong connection with your local community and help with the SEO but might hinder future expansion

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

Powered by GoDaddy.com

Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that set your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Recycling Business Plan

Here are the key components of a business plan:

what to include in a business plan

  • Executive Summary: Present a brief of your recycling business, highlighting the types of materials you’ll process and the environmental and economic impact you aim to achieve.
  • Business Overview: Describe your recycling business’s role in waste management, focusing on the materials you’ll recycle and the processes you’ll use.
  • Product and Services: List the services you offer, such as collection, sorting, processing, and reselling of recyclable materials.
  • Market Analysis: Evaluate the demand for recycled materials in your area and the sectors you will serve, like manufacturers or municipal programs.
  • Competitive Analysis: Identify your competition and how your business will offer more efficient or sustainable recycling options.
  • Sales and Marketing: Outline your approach to securing sources of recyclable materials and finding buyers for the processed goods.
  • Management Team: Introduce the team that will lead the business, emphasizing any expertise in environmental science or waste management.
  • Operations Plan: Detail the operational workflow, from material collection to processing and resale.
  • Financial Plan: Provide an overview of your startup costs, operational expenses, and revenue projections.
  • Appendix: Include supplementary documents, such as certifications, detailed market studies, or partnership agreements, to support your business plan.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you are planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to recycling. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your recycling business will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

types of business structures

  • Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
  • General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
  • Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.
  • C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.
  • S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just needs to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have. 

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2024

recycling of waste business plan

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

recycling of waste business plan

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you are completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

types of business funding

  • Bank loans : This is the most common method, but getting approved requires a rock-solid business plan and strong credit history.
  • SBA-guaranteed loans : The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
  • Government grants : A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
  • Venture capital : Offer potential investors an ownership stake in exchange for funds, keeping in mind that you would be sacrificing some control over your business.
  • Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
  • Personal : Self-fund your business via your savings, the sale of property or other assets, and support from family and friends.

Bank and SBA loans are probably the best options, other than friends and family, for funding a recycling business. You might also try crowdfunding if you have an innovative concept.

Step 8: Apply for Recycling Business Licenses and Permits

Starting a recycling business requires obtaining a number of licenses and permits from local, state, and federal governments. 

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits, such as storage and recycling permits and hazardous material permit. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your recycling business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

types of business insurance

  • General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
  • Business Property: Provides coverage for your equipment and supplies.
  • Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
  • Worker’s compensation: Provides compensation to employees injured on the job.
  • Property: Covers your physical space, whether it is a cart, storefront, or office.
  • Commercial auto: Protection for your company-owned vehicle.
  • Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
  • Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of any of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks. 

Running a recycling company entails a lot of moving parts which makes for complicated management processes. But by automating these processes, you can spot errors and improve your efficiency. You may want to use industry-specific software, such as ScrapRight , Waste Logics , and ReMatter .

  • Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
  • If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.

You can create your own website using services like WordPress, Wix, or Squarespace . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

They are unlikely to find your website, however, unless you follow Search Engine Optimization ( SEO ) practices. These are steps that help pages rank higher in the results of top search engines like Google. 

Here are some powerful marketing strategies for your future business:

  • Educational Workshops: Host workshops in schools, community centers, and local events to educate people about the importance of recycling, proper sorting techniques, and the impact on the environment.
  • Partnerships with Local Businesses: Collaborate with local businesses to set up recycling bins at their locations, fostering a sense of community responsibility and expanding your recycling network.
  • Reward Programs: Implement a reward system where individuals or businesses earn incentives for recycling, such as discounts, coupons, or recognition, creating motivation for active participation.
  • Social Media Campaigns: Leverage social media platforms to showcase success stories, recycling tips, and engage with the community, building a strong online presence and encouraging participation.
  • Mobile Recycling Units: Introduce mobile recycling units that can visit different neighborhoods or events, making recycling more accessible to a broader audience.
  • Participation in Local Events: Set up booths or participate in local fairs, markets, or festivals to raise awareness about your recycling services and interact with potential customers face-to-face.
  • Community Clean-up Initiatives: Organize or sponsor community clean-up events, highlighting the positive impact of recycling while creating a sense of pride and unity within the community.
  • Branding through Unique Containers: Design visually appealing and easily identifiable recycling containers, making your service more recognizable and encouraging people to use them.
  • Collaboration with Municipalities: Work with local governments to establish partnerships, ensuring that your recycling services align with municipal waste management goals and regulations.
  • Data-Driven Marketing: Collect and share data on the positive environmental impact of your recycling efforts, demonstrating the tangible results of community participation.

Focus on USPs

unique selling proposition

Unique selling propositions, or USPs, are the characteristics of a product or service that set it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your recycling business meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your recycling business could be:

  •  The most eco-friendly recycling processing system
  • The best prices on recycled materials 
  • Full-service recycling, from pick-up to delivery! 

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a recycling facility, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in recycling for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in recycling. You’ll probably generate new customers or find companies with which you could establish a partnership. Online businesses might also consider affiliate marketing as a way to build relationships with potential partners and boost business.

Step 12: Build Your Team

If you’re starting out small, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a recycling business would include:

  • Collectors 
  • Facility Manager
  • Accountant 
  • Marketing Lead 

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn or Facebook.  

You can also use free classified sites like Jobs and AngelList. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent.

Step 13: Run a Recycling Business – Start Making Money! 

Recycling is a fast-growing industry worth more than $7 billion in the US. By starting your own recycling business, you not only stand to make some good money, you’ll also be doing a service to your community and helping combat climate change. 

But you’ll have to be ready to invest a significant amount into your processing facility and equipment. So it’s a good idea to identify possible sources of funds from the start. Having distinctive upcycled products is also ideal.

If you’ve followed all the steps laid out in this guide, you and your recycling business should be ready for success!

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  • Decide if the Business Is Right for You
  • Hone Your Idea
  • Brainstorm a Recycling Company Name
  • Create a Recycling Business Plan
  • Register Your Business
  • Register for Taxes
  • Fund your Business
  • Apply for Recycling Business Licenses and Permits
  • Open a Business Bank Account
  • Get Business Insurance
  • Prepare to Launch
  • Build Your Team
  • Run a Recycling Business - Start Making Money! 

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How to start a waste recycling business

Table of Contents

Different kinds of waste recycling

Waste paper and cardboard, plastic recycling, metal recycling, electronic devices, wood recycling, glass recycling, clothing and textiles, bricks and inert waste recycling, regulations, how to register your waste recycling business, making a business plan, start-up costs, finding partners, useful contacts, environment agency, department for environment, food and rural affairs, chartered institute of waste management, the environmental services association, manage your finances with a simple app.

As the world continues to put a greater emphasis on environmental issues, there are more opportunities for businesses to cater to those needs. 

It’s not just government agencies that must commit to environmental standards, nowadays there are many more upsides for businesses that choose to go green, whether it’s for regulatory purposes or just part of building a socially conscious public image. 

All this means that waste recycling looks to be a promising career prospect going forward. In this guide, we’ll cover everything you’ll need to know about how to start a waste recycling business, including:

  • Different kinds of waste recycling 
  • Managing your finances

First of all, let’s talk about what we actually mean by “waste recycling” because it can cover a lot of different areas that you can cover as a business. 

Most paper and cardboard is completely recyclable. In the UK alone, several million tonnes of it are discarded every year, so recycling it is big business and great news for the environment. 

Plastic waste is a huge environmental problem at the moment. Because it doesn’t break down naturally, any plastic that ends up in landfills or oceans is going to be there for a long time.

Metal is by far one of the most robust when it comes to recycling. Because it doesn’t lose any of its quality during the process, all kinds of metal can be recycled over and over again for different purposes.  

Waste of electrical and electronic equipment (WEEE) recycling became mandatory in 2014 with the introduction of WEEE regulations. 

The regulations prevent electronic devices from ending up in landfills where the materials and batteries become more dangerous as they degrade. It covers pretty much all electronic devices, but you’ll mainly be dealing with things like computers, monitors, mobile phones, radios, TVs and electrical tools. 

Wood is an incredibly versatile material for recycling. It can be easily reshaped and reused or turned into mulch for building materials

Glass is another material that is perfect for recycling. It’s all completely reusable and never loses its quality, so it can be recycled pretty much endlessly into products that are as good as brand new. 

Clothing has become a much larger issue in recent years. As the general public has started to catch on to the real environmental cost of “fast fashion”, there has been a real push to prevent the mountains of old clothing from filling up landfills. 

Luckily, around half of textiles that go into making clothes can be recycled. 

Finally, a lot of waste from construction sites can be recycled into usable materials for other construction products. 

Rubble can be ground down into building materials, while old bricks can be reused for different projects or turned into brick chips for landscaping. 

Starting a waste recycling business involves adhering to regulations set out by the Waste Framework Directive and Environmental Protection Act. 

Under their regulations, both you and every business you work with:

  • Have a ‘Duty of Care’ requiring them to ensure their waste is disposed of safely and properly even after it has been passed on to another party.
  • Must ensure waste is transferred only to another authorised person.
  • Must transfer a written description of the waste so that the new carriers can properly perform their own Duty of Care.
  • Planning consent from their local authority or council. This can be difficult because local residents often protest waste projects in their area. 

For a full picture of the regulations you need to follow, and how to get them, get in touch with these government agencies:

  • Department for Environment, Food and Rural Affairs. 
  • The Environment Agency.
  • Driver and Vehicle Licensing Agency – for vehicle licenses.
  • The Chartered Institute of Wastes Management and the Environmental Services Association – for training courses about Duty of Care and permits. 

As a recycling business, you’ll need to register with HMRC for the proper license. The license applies to any business that plans to:

  • Transport waste (a carrier).
  • Buy, sell, or dispose of waste (a dealer).
  • arrange for someone else to buy, sell, or dispose of waste (a broker).

Registration costs £154, but operating without registration could lead to a fine of up to $5,000

When you register, you’ll need all of the following:

  • Names and dates of birth of the organisation’s executives, owners, directors or partners.
  • Details of any environmental offences they’ve committed.
  • A way to pay (for example, a debit or credit card).

When you register, HMRC will tell you whether your registration is upper or lower tier. Upper-tier registrations need to be renewed every 3 years for £105. You don’t need to renew if it’s a lower-tier registration. 

If any of your registration details change, you’ll need to contact the Environmental Agency to update your registration. You need to update them within 28 if any of the following things happen:

  • Your organisation’s contact details change
  • Your organisation’s management changes
  • Someone in management is convicted of an environmental offence
  • Your organisation changes what it does, for example, you’re registered as a waste carrier but start acting as a waste broker as well. This change will cost an additional £40. 

Your details need to be updated within 28 days.

You’ll need to apply for entirely new registration if:

  • your business structure has legally changed, like changing from a sole trader to a limited company
  • you’re changing from a lower tier to an upper-tier registration

A new registration will cost another £154. 

The guidance we’ve mentioned is specific to England, there are slightly different processes depending on where you live in the UK:

  • Northern Ireland

Any business that plans to use, recycle, treat, store, or dispose of waste also needs a specific permit from the Environmental agency . 

Once again, there are different issuing bodies for each region of the UK:

Both the registration process and permit application can be a little confusing, and the penalties for not getting it perfect are severe, so it’s probably a good idea to contact the Environmental Agency directly to make sure you’re doing everything right. 

Every business should begin with a detailed business plan. It’ll clearly outline all your main goals while giving you step by step guidance on how to achieve those goals. 

Not only that, your business plan will be useful if you’re trying to secure investors. Whether you’re applying for a bank loan or working with a private individual, a business with a well-made plan is going to be a much safer bet for them.

At the very basic level, every business should be made up of:

  • Market research
  • A SWOT analysis

There’s a lot to unpack in those three steps, so check out our article, How to write a business plan , for a more detailed explanation. 

Starting a waste recycling business will require a fair amount of investment. Most of your money will go into buying or renting a space big enough for your needs. You’ll need to bear in mind that each type of recycling will need different amounts of storage and machinery. 

Your other main start-up costs will include:

  • Employee wages
  • Insurance and registration costs

Remember, a lot of these costs can be lower if you choose to subcontract or hire out labour and equipment, instead of buying everything yourself. 

When it comes to waste trucks, prices can vary a lot. A good one could cost anywhere between £10,000 to £35,000. The sort of trucks you should be looking at are:

  • Front-loaders –  They have an automated fork placed on the front operated by a driver. The waste is lifted into a large container then compacted by a packing blade.
  • Rear loaders – They’re generally used in residential areas. They have a large opening at the back where workers can throw in waste. 
  • Automated Side Loaders (ASL) – These are what most people think of when they picture a garbage truck. This loader picks up bins and empties them out with large mechanical arms. They normally work in residential areas on behalf of the local council. 
  • Pneumatic Collection WCVs – These trucks have a large crane with a mouthpiece that attaches to openings in the ground. It’s used for sucking up underground waste from any construction or installations stuck underground. 
  • Grapple trucks – Used to collect and transport bulky waste, anything too large or difficult to remove by hand. 

Most insurance brokers will offer tailored insurance policies depending on your industry, but generally, these are the most common insurance policies you’ll need:

  • Public liability insurance – if your business comes into contact with members of the public.
  • Employers’ liability insurance – if your business employs staff.
  • Business buildings insurance 
  • Business contents insurance – protects the contents of your business premises, your business equipment, and tools.
  • Stock insurance – if you hold any stock, whether on your premises or in storage.
  • Product liability insurance – protects you should a customer of yours suffer damage as a result of a faulty product you provide.
  • Personal accident insurance 
  • Business interruption insurance – if your business is disrupted by material damage caused by an event such as a flood or fire.
  • Business legal protection insurance – covers your commercial legal expenses and protects against the potential costs of legal action brought by or against your business.

You can’t start a waste recycling business without waste. To make your business worthwhile, you’re going to need large volumes of it too, so finding partners is essential. 

As part of your market research, you should contact local businesses and organisations to see if they’d be interested in a partnership. Some good places to start would be:

  • Local councils
  • Construction companies
  • Bars and restaurants
  • Government buildings – schools, prisons, libraries, museums.

For everything we’ve mentioned so far, here’s the contact information for all the departments you’ll need to get in touch with. 

Email: [email protected]

Telephone: 03708 506 506

Telephone: 03459 33 55 77

Email: [email protected]

Telephone: 01604 620426

Email: [email protected]

Phone: 0207 824 8882

Financial management can be stressful and time-consuming when you’re self-employed. That’s why thousands of business owners use the Countingup app to make their financial admin easier. 

Countingup is the business current account with built-in accounting software that allows you to manage all your financial data in one place. With features like automatic expense categorisation, invoicing on the go, receipt capture tools, tax estimates, and cash flow insights, you can confidently keep on top of your business finances wherever you are. 

You can also share your bookkeeping with your accountant instantly without worrying about duplication errors, data lags or inaccuracies. Seamless, simple, and straightforward! 

Find out more here .

Countingup

  • Counting Up on Facebook
  • Counting Up on Twitter
  • Counting Up on LinkedIn

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ProfitableVenture

Waste Paper Recycling Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Green & Eco-friendly

Do you want to start a waste paper recycling company? If YES, here is a sample waste paper recycling plant business plan template & FREE feasibility report.

There are diverse areas of specialization in the recycling industry and one of them is waste paper recycling. This business is highly profitable because there is hardly any country or city that you won’t find printing presses, offices, schools and other facilities that generate paper as waste product.

It is a fact that waste paper can be recycled to generate other paper based products and going by the trend as it concerns going green, the United States’ government is seriously giving support to players in the recycling industry and as a paper recycling business, you stand the chance of benefiting from this legislature.

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The truth is that the market is still open for new investors to come in. Although there are competitions at various levels in the industry, but if you are able to come up with a good business strategy, then you are sure of getting your own fair share of the industry.

So, if you have decided to start a waste paper recycling company, then you should make sure that you carry out thorough feasibility studies and also market survey. Business plan is yet another very important business document that you should not take for granted when launching your business.

Below is a sample waste paper recycling company business plan template that will help you write yours without much stress.

A Sample Waste Paper Recycling Plant Business Plan Template

1. industry overview.

Waste paper recycling business falls under the waste collection and recycling services industry and companies that operate in the industry consists of Residential waste collection, recyclable material collection, transfer and storage facility, nonresidential waste collection, hazardous waste collection and c&d site waste collection. It is important to state that this industry does not account for government-provided services of a similar nature.

A close study of the industry shows that the waste collection and recycling services industry has benefited from the recovery of the industrial, construction, paper production, printing services and commercial business sectors. As these sectors expand, it is natural for them to produce more waste.

So also, steady demand from the residential market has helped stabilize the overall revenue generated by the waste collection and recycling industry. Going forward, the demand for waste collection services will continue to be driven by population growth, privatization and business creation. Additionally, the industry will benefit from the public’s growing interest in the recycling industry.

The companies holding the largest market share in the Waste Collection Services in the US industry include Waste Management Inc., Republic Services Inc. and Waste Connections Inc. Statistics has it that in the united states of America alone, there are about 11,824 licensed and registered waste paper recycling companies scattered all across the length and breadth of the country and they are responsible for employing about 217,713 employees.

The industry rakes in a whooping sum of $45 billion annually (benched mark in 2018) with an annual growth rate projected at 1.7 percent within 2013 and 2018.

A recent report published by IBISWORLD shows that the distribution of establishments in the waste collection and recycling industry across the United States largely reflects the size and distribution of the US population and economic activity.

Densely populated areas that are particularly economically active tend to generate large quantities of waste, necessitating the presence of greater number of industry establishments.

The report further stated that other factors that contribute to the relative concentration of industry establishments in a geographic location include the structure of the local economy and the commitment to and level of recycling. Some industries, particularly in the service sector, generate relatively little waste.

No doubt starting and operating a waste paper recycling company can be challenging, but the truth is that it can be rewarding at the same time.

One good thing about the industry is that it is open for both big time investors who have the capacity to start the business with world – class recycling plant and fleet of waste paper collection trucks and aspiring entrepreneurs who may want to start with just one waste paper collection truck.

2. Executive Summary

Alex Woods® Waste Paper Recycling. Inc. is a registered and licensed recycling company with bias in waste paper recycling that will be based in Colorado Springs – Colorado. We have been able to secure all the relevant licenses and permits to operate as a standard waste paper recycling company in the United States. We will ensure that we abide by the rules and regulations guiding the industry.

We are in the waste management and recycling industry to contribute our quota in saving the earth and also to compete in the highly competitive waste management and recycling industry not only in Colorado Springs – Colorado, but also throughout the United States market.

Alex Woods® Waste Paper Recycling. Inc. will be involved in the collection and recycling of waste paper. Our business goal is to become one of the leading waste paper recycling companies in the United States of America and we will make sure that we do all we can to compete favorably in the industry.

Our workers are going to be selected from a pool of certified and highly experienced recycling engineers and technicians in and around Colorado Springs – Colorado. We will make sure that we take all the members of our workforce through the required trainings that will position them to meet the expectation of the company and to compete favorably with leading waste paper recycling plants in the United States.

At Alex Woods® Waste Paper Recycling. Inc. our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.

Alex Woods® Waste Paper Recycling. Inc. is owned by Alex Woods and his immediate family members. Alex Woods is an astute investor who has interest in the waste collection and recycling industry. The company will be fully financed by Alex Woods who has a diploma in Waste Management and a Degree in Industrial Engineering from Auburn University and MBA from Duke University with over 17 years’ experience in the industry.

3. Our Products and Services

Alex Woods® Waste Paper Recycling. Inc. is established with the aim of maximizing profits in the waste collection and recycling industry. We want to compete favorably with the leading waste paper recycling companies in the United States which is why we have put in place a competent quality assurance team that will ensure that every recycled waste paper product that leaves our recycling plant meets and even surpass our customers’ expectations.

We will ensure that we do all that is permitted by law in the United States to achieve our business goals and objectives. Our service offerings are listed below;

  • Recyclable paper material collection, hauling and sorting
  • Office Paper (Recycled products)
  • Toilet Paper and Tissues (Recycled products)
  • Paper Towels and Napkins (Recycled products)
  • Cardboard (Recycled products)
  • Customized paper cups and bags for events (Recycled products)
  • Corrugated cardboard boxes, cartons and cases (Recycled products)

4. Our Mission and Vision Statement

  • Our Vision is to become one of the preferred choices when it comes to paper waste collection and recycling in the whole of Colorado Springs and neighboring cities.
  • Our mission is to ensure that we build a successful waste paper recycling company that will operate in the whole of the United States of America; a company that will provide standard recycled paper materials that will assist the relevant industries in saving cost and energy.

Our Business Structure

Our business structure will be designed in such a way that it can accommodate but full-time and part-time/contract staff. Adequate provision and competitive packages have been prepared for all our employees.

At Alex Woods® Waste Paper Recycling. Inc. we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders.

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. For now, we will contract the maintenance of our trucks and recycling plant to service providers, we don’t intend to maintain a very large overhead from the onset.

But as soon as the business grows and stabilizes, we will assemble our own in – house maintenance team. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;

  • Chief Executive Officer
  • Recycling Plant Manager
  • Human Resources and Admin Manager
  • Sales and Marketing Executive
  • Plant Engineers/Technicians and Operators

Client Service Executive

Truck Drivers

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization

Recycling Plant Manager:

  • Oversee recycling pick-up or drop-off programs to ensure compliance with community ordinances.
  • Create or manage recycling operations budgets.
  • Inspect physical condition of recycling or hazardous waste facility for compliance with safety, quality, and service standards.
  • Negotiate contracts with waste management
  • Schedule movement of recycling materials into and out of storage areas.
  • Provide training to recycling technicians or community service workers
  • Oversee campaigns to promote recycling or waste reduction programs in communities or private companies.
  • Develop community or corporate recycling plans and goals to minimize paper waste and conform to resource constraints and develop program goals or plans.
  • Identify or investigate new opportunities for materials to be collected and recycled.
  • Plan implementation or promotion of recycling programs.

Admin and HR Manager

  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Defining job positions for recruitment and managing interviewing process
  • Carrying out induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Oversee the smooth running of the daily office activities.

Sales and Marketing Manager

  • Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
  • Model demographic information and analyze the volumes of transactional data generated by customer
  • Identifies development opportunities; follows up on development leads and contacts
  • Writing winning proposal documents, negotiate fees and rates in line with organizations’ policy
  • Responsible for handling business research, market surveys and feasibility studies for clients
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Create new markets cum businesses for the organization
  • Empower and motivates the sales team to meet and surpass agreed targets

Accountant/Cashier:

  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensuring compliance with taxation legislation
  • Handles all financial transactions for the company
  • Serves as internal auditor for the company

Recycling Plant Engineers (2) and Technicians/Machine Operators (8)

  • Responsible for installing, maintaining and repairing of all the recycling machines in the plant
  • Operate recycling processing equipment, such as sorters, balers, crushers, and granulators to sort and process materials.
  • Responsible for sorting, shearing, shredding, torching and baling paper waste materials to be sold to downstream metal smelters for further processing.
  • Operating facilities for separating and sorting used and condemned paper waste for recycling
  • Operate fork lifts, skid loaders, or trucks to move or store recyclable materials and finished products.
  • Handle any other job functions as it relates to recycling materials.
  • Assist in loading and unloading waste paper materials and recycled materials
  • Maintain a logbook of their driving activities to ensure compliance with federal regulations governing the rest and work periods for operators.
  • Keep a record of vehicle inspections and make sure the truck is equipped with safety equipment, such as hazardous material placards.
  • Assist the transport and logistics manager in planning their route according to a pick – up and delivery schedule.
  • Inspect vehicles for mechanical items and safety issues and perform preventative maintenance
  • Comply with waste truck driving rules and regulations (size, weight, route designations, parking, break periods etc.) as well as with company policies and procedures
  • Collect and verify delivery instructions
  • Report defects, accidents or violations
  • Welcomes clients and potential clients by greeting them in person or on the telephone; answering or directing inquiries.
  • Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
  • Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
  • Receives parcels / documents for the company
  • Distribute mails in the organization
  • Handles any other duties as assigned by the manager.

6. SWOT Analysis

Going by our vision, our mission and the kind of business we want to set up, we don’t have any other option than to follow due process. Following due process involves hiring a business consultant to help us conduct SWOT analysis for our business.

Alex Woods® Waste Paper Recycling. Inc. hired the services of a seasoned business consultant with bias in startups to help us conduct a thorough SWOT analysis and to guide us in formulating other business strategies that will help us grow our business.

As a company, we look forward to maximizing our strength and opportunities and also to work around our weaknesses and threats. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Alex Woods® Waste Paper Recycling. Inc.

Our strength is centered on strong management, strong fleet operations, size advantages, cost advantages, customer loyalty and strong reputation amongst domestic and industry players. Our business is centrally located in a densely populated industrial estate in Colorado Springs – Colorado; our location is in fact one of our major strengths.

Another strength that counts for us is the power of our team; our workforce and management. We have a team that is considered experts in the waste collection and recycling industry, a team of hardworking and dedicated individuals.

Our weakness could be lack of finance, high debt burden, cost structure, lack of scale compared to our peers who have already gained ground in the industry. As a new waste paper recycling company we may not have the financial muscle to sustain the kind of publicity we want to give our business.

  • Opportunities:

Paper and paperboard account for the majority of material recycled by this industry. Higher paper prices not only encourage downstream buyers to opt for lower-cost recycled materials, but also enable operators to raise the price of the materials they recover and resell, boosting revenue.

The price of paper is expected to increase going forward, presenting a potential opportunity for the industry. Our business concept also positioned us to be the preferred choice in Colorado Springs – Colorado.

The truth is that there are no standard waste paper recycling company within the area where ours is going to be located; the closest company to our proposed location is about 15 miles away. In a nutshell, we do not have any direct competition within our target market area.

Some of the threats that we are likely going to face are mature markets, bad economy, stiff competition, volatile costs, and rising fuel prices. Other threats include the campaign against the use of paper and the promotion of digital documents (this will reduce the generation of waste paper).

7. MARKET ANALYSIS

Market Trends

The waste collection and recycling industry especially in the United States is dynamic and at the same challenging. But one thing is certain, once your company can gain credibility, it will be much easier for you to secure permanent deals/contracts with big time paper waste generators who are compelled by the law in the United States to dispose their waste as at when due.

Latest trends show that the waste collection and recycling services industry has benefited from the recovery of the printing press business sector. As this sector expands, it is natural for them to produce more waste. So also, steady demand from the residential market has helped stabilize the overall revenue generated by the waste collection and recycling industry.

Going forward, the demand for waste paper collection services will continue to be driven by population growth, privatization and business creation. Additionally, the industry will benefit from the public’s growing interest in the recycling industry.

Some of the major factors that count positively in this line of business are reliable end products, competence, trust, honesty, good relationship management and of course timely and safe pick-ups.

8. Our Target Market

Before starting our waste paper recycling company, we are certain that there is a wide range of both businesses that need our services. We will ensure that we develop strategic pacts with printing press, corporate organizations, and households et al.

This will give us several options to generate revenue for our company. In view of that, we have created strategies that will enable us reach out to various printing press, schools, corporate organizations and households who we know can’t afford to do without our services.

We have conducted our market research and survey and we will ensure that all our waste paper collection services are well accepted in the market place. Below is a list of the people and organizations that we have specifically market our services to;

  • Printing Companies
  • Manufacturers and retailers of paper – based products
  • Photo processing centers/Photo Labs
  • Household who generate papers waste
  • Corporate organizations who generate paper waste
  • Small business owners who generate paper waste

Our Competitive Advantage

Our major competitive advantage is the vast industry experience and solid reputation of our owner, Alex Woods and our management team. Alex Woods® Waste Paper Recycling. Inc. no doubt is a new waste paper recycling company, which is why we took our time to do a thorough homework before launching the business.

We were able to highlight some factors that will give us competitive advantage in the marketplace; some of the factors are trust, honesty, good waste paper collection network, excellent relationship management, strong management, strong fleet operations, our size advantages, cost advantages, customer loyalty and strong reputation amongst domestic industry players.

Another competitive advantage that we are bringing to the industry is the fact that we have designed our business in such a way that we can comfortably work with both individuals and big conglomerates that are involved in massive generation of paper waste.

Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and objectives.

9. SALES AND MARKETING STRATEGY

  • Marketing Strategy and Sales Strategy

The marketing strategy for Alex Woods® Waste Paper Recycling. Inc. is going to be driven basically by professionalism, excellent customer service, honesty and quality recycled paper products. We want to drive sales via the output of our jobs and via referral from our satisfied customers.

Alex Woods® Waste Paper Recycling. Inc. is a business that is strategically located and we are going to maximize the opportunities that are available which is why we spent more to locate the business in a visible location.

Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of Alex Woods® Waste Paper Recycling. Inc.

Our goal is to grow Alex Woods® Waste Paper Recycling. Inc. to become the leading waste paper recycling company in Colorado Springs – Colorado which is why we have mapped out strategies that will help us take advantage of the available market.

Alex Woods® Waste Paper Recycling. Inc. is set to make use of the following marketing and sales strategies to attract clients;

  • Introduce our waste paper collection and disposal business by sending introductory letters alongside our brochure to corporate organizations who are into manufacturing of paper waste, printing companies, paper products manufacturing companies, photo labs, schools and other key stake holders in Colorado Springs
  • Print out fliers and business cards and strategically drop them in offices, libraries, public facilities and train stations et al.
  • Use friends and family to spread word about our business
  • Post information about our company and the products and services we offer on bulletin boards in places like schools, libraries, and local coffee shops et al
  • Place a small or classified advertisement in the newspaper, or local publication about our company and the products and services we offer
  • Leverage on referral networks such as agencies that will attract clients who would need our customized services
  • Advertise our waste collection and recycling company in relevant magazines, newspapers, TV station and radio stations
  • Attend relevant expos, seminars, and business fairs et al to market our services
  • Engage in direct marketing approach
  • Encourage the use of Word of mouth marketing from loyal and satisfied customers
  • Join local chambers of commerce and industry to market our products and services.

Sources of Income

Alex Woods® Waste Paper Recycling. Inc. will ensure that we leverage on our strength and the opportunities available to us in the U.S. market to generate enough income that will help us drive the business to stability. We will go all the way to explore every available source of income in the waste collection and recycling industry.

Below are the sources we intend exploring to generate income for Alex Woods® Waste Paper Recycling. Inc.;

10. Sales Forecast

We are well positioned to take on the available market in Colorado Springs – Colorado and we are quite optimistic that we will meet our set target of generating enough income / profits from the first month of operation and grow the business and clientele beyond Colorado Springs to other cities in the state of Colorado.

We have been able to examine the waste collection and recycling services industry and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast.

Below are the sales projection for Alex Woods® Waste Paper Recycling. Inc., it is based on the location of our business and our competitive advantage;

  • First Fiscal Year (FY1): $240,000
  • Second Fiscal Year (FY2): $350,000
  • Third Fiscal Year (FY3): $550,000

N.B : This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same waste collection and recycling services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

11. Publicity and Advertising Strategy

Any business that wants to grow beyond the corner of the street they are operating from must be ready to utilize every available means to advertise and promote the business. We intend growing our business beyond Colorado Springs – Colorado which is why we have perfected plans to build our brand via every available means.

We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. Below are the platforms Alex Woods® Waste Paper Recycling. Inc. intend leveraging on to promote and advertise the business;

  • Place adverts on both print (newspapers and magazines) and electronic media platforms
  • Sponsor relevant community – based events/programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our products
  • Install our Bill Boards on strategic locations all around Colorado Springs – Colorado
  • Distribute our fliers and handbills in target areas
  • List our company in local directories/yellow pages
  • Advertise our company in our official website and employ strategies that will help us pull traffic to the site.
  • Ensure that all our staff members wear our branded shirts and all our waste collection trucks are well branded with our company logo et al.

12. Our Pricing Strategy

Alex Woods® Waste Paper Recycling. Inc. has a lease arrangement with various companies and the company’s pricing is based on miles per thousand tons of waste paper collected and transported. We have perfected our plans to charge competitive rates since we have minimal overhead compared to our competition in the industry.

We will ensure that we leverage on price to win customers; our prices will be affordable and negotiable. As the business grows, we will continue to review our pricing system to accommodate a wide range of clientele.

  • Payment Options

The payment policy adopted by Alex Woods® Waste Paper Recycling. Inc. LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Alex Woods® Waste Paper Recycling. Inc. will make available to her clients;

  • Payment via bank transfer
  • Payment with cash
  • Payment via online bank transfer
  • Payment via mobile money
  • Payment via Point of Sales Machines (POS Machines)
  • Payment via check
  • Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our clients make payment for waste paper collection and recycling products without any stress on their part.

13. Startup Expenditure (Budget)

A waste paper collection business is indeed capital intensive hence an entrepreneur would have to pool cash together or welcome investors to partner with you. Although the capital needed to set up an office structure for such business might not be expensive, but the recycling plants and running capital of the business is always the real deal.

You would need huge capital base to be able finance the purchase of acceptable recycling machines and waste truck and also to fuel and maintain your trucks. However, this is what it would cost us to start Alex Woods® Waste Paper Recycling . Inc. in the United of America;

  • The total fee for incorporating the business in the United States of America – $750.
  • The budget for liability insurance, permits and license – $5,500
  • The amount needed to acquire a suitable recycling plant facility with enough parking space for our waste collection trucks (Re – Construction of the facility inclusive) – $100,000.
  • The amount required to finance the purchase of recycling plant machines and the first set of waste collection trucks – $150,000
  • The cost for equipping the office (computers, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al): $5,000
  • The cost for accounting software, CRM software and Payroll Software – $3,000
  • Other start-up expenses including stationery – $1000
  • Phone and Utilities (gas, sewer, water and electric) deposits – ($3,500).
  • Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $120,000
  • The cost for launching our official website: $600
  • Additional Expenditure (Business cards, Signage, Adverts and Promotions et al): $2,500

Going by the report from the market research and feasibility studies conducted, we will need about six hundred and fifty thousand (650,000) U.S. dollars to successfully set up a medium scale but standard waste paper recycling company in the United States of America.

Generating Funds/Startup Capital for Alex Woods® Waste Paper Recycling. Inc.

Alex Woods® Waste Paper Recycling. Inc. is set to start as a private business that will be solely owned by Mr. Alex Woods and his immediate family members. He will be the sole financier of the company but may likely welcome other business partners when need for expansion arises.

These are the areas we intend generating our startup capital for our business;

  • Generate part of the startup capital from personal savings
  • Source for soft loans from family members and friends
  • Apply for loan from the bank

N.B: We have been able to generate about $100,000 (Personal savings – $80,000 and soft loan from family members – $80,000) and we are at the final stages of obtaining a loan facility of $500,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.

One of our major goals of starting Alex Woods® Waste Paper Recycling. Inc. is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to offer our recycled paper products a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.

Alex Woods® Waste Paper Recycling. Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner of our business strategy.

We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

  • Business Name Availability Check : Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of Insurance for the Business: Completed
  • Acquiring of trucks and relevant waste paper recycling machines and equipment: In progress
  • Renting of Recycling Plant Facility (Parking Yard for our waste collection trucks) in Colorado Springs : Completed
  • Conducting Feasibility Studies: Completed
  • Startup Capital Generation: Completed
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents: In Progress
  • Design of The Company’s Logo: Completed
  • Printing of Promotional Materials: Completed
  • Recruitment of employees and drivers: In Progress
  • Purchase of the needed furniture, office equipment, electronic appliances and facility facelift: In progress
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business (Business PR): In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with key players in the industry (networking and membership of relevant companies that are into the generation of paper waste and also paper products manufacturing companies): Completed
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Plastics Recycling Sample Business Plan

ExpertHub Staff

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Security guard business plan sample, gift baskets sample business plan, energy conservation sample business plan.

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Plastics Recycling Business Plan

Executive summary.

The growing utilization of plastics in industrial and consumer applications, combined with increased consumer awareness surrounding solid waste recycling, has led to an increased demand for recycled plastic resins and products. One of the fastest growing types of collected plastic materials for recycling is polyethylene terephthalate (“PET”) from post-consumer beverage and water bottles. Replay Plastics will capitalize on the opportunities in the recycled resin and packaging markets through two main divisions: a Recycling Division and a Packaging Division.

The Company will create a PET cleaning and refining plant located in the western United States (all 16 major North American PET recycling plants are currently located in the eastern United States or Canada). Its initial capacity will be 46 million pounds, and it will utilize post-consumer bottle feed stock presently collected in California, Oregon and Washington States, which collect over 200 million pounds per year. The Company will be vertically integrated, and use almost all of its recycled material in its Packaging Division. Any surplus materials (clean flake) produced will be sold to outside companies. The extruded sheet may then be sold to manufacturers, who will thermoform it into high-visibility packaging or use it in other high value added manufacturing operations. The strapping will be sold to companies who ship large packages or pallets, such as the lumber milling industry. The Company currently has commitments available from customers to purchase all of the product produced. MANAGEMENT Ben Braddock, President, has a 30-year history of experience encompassing all aspects of Polymer Raw Material, Plastic Conversion Methods, and Venture Development. He has founded successful ventures in the plastic converting industry, and assisted in the launch of five plastic converting manufacturing plants. Sam McGuire, Executive VP and COO, is a graduate Engineer with over 20 years experience in the post-consumer plastics recycling industry and is the inventor of the primary cleaning & refining technology used in the process for this project. He has received a patent for his technology and has been directly involved in over twenty-five major post consumer plastics recycling projects. Carl R. Smith, CFO, has over 30 years investment and merchant banking and management experience. He has assisted in raising over $500 million and served as board member and/or officer in over 40 public and private companies.

1.1 Objectives

  • Sales passing $15 million in first year, $31 million in year 2, growing to $43 million.
  • Gross margin of 35% or more in first year, 45% in second year then 50% or more.
  • Net profit of 13% in year one, then exceeding 20% annually starting in year two.

1.2 Mission

Replay Plastics is a manufacturing company dedicated to converting waste plastic materials into commercially viable products, utilizing environmentally friendly recycling and manufacturing methods. We intend to make enough profit to generate a significant return for our investors and to finance continued growth and continued development in quality products. We will also maintain a friendly, fair, and creative work environment, which respects diversity, new ideas and hard work.

1.3 Keys to Success

The main keys to the success of the Company are:

  • Secure Supply- Contract for supply of post-consumer bottles and post-industrial manufacturing waste for PET raw material feed stock.
  • Marketing – Contractual arrangements for the sale of virtually all initial production.
  • Management – Strong senior management with extensive, broad-based, industry-specific experience.

1.4 Potential Risks

Unavailable or scarce raw material feed stock for production

  • Replay is confident that it has secured good availability of low cost post-consumer PET bottles (feed stock) derived from post-consumer beverage bottles from California based recycling collectors, and has back up sources identified.

Technology employed may be unreliable or unprovenReplay will use a proven, patented technology that was developed by one of its principals for the cleaning and recycling phase. The extrusion division will employ commercially proven technology – the industry is employing unique recycled PET technology which is used by prominent eastern U.S. manufacturers of PET extrusions.

  • There may not be a market for the Company’s products

The Industry-wide experience of the Management Team has allowed them to identify markets for the Company’s products. Their expertise and reputations have allowed them to obtain commitments for virtually all of the planned initial production.

  • The location may not be near enough to markets

The markets that have been identified are primarily in the western U.S., which will provide a distinct advantage to the Company because of freight costs and delivery timing.

  • The Company may not be able to attract top management

The Company has assembled a world class management team with proven ability and direct experience in the Company’s market segments.

  • Company may not meet environmental standards

This environmentally-favorable venture provides for the development of technically feasible and economically viable solutions to PET plastic beverage bottle recycling, as well as environmentally aware in-house re-use practices which filter and return nearly all of the process water to the production lines.

  • The Company may not be able to sell all of its production capability

Through the Senior Management’s industry-wide contacts, the Company has identified potential customers and received commitments for all of the production potential of the initial facility.

Company Summary

The Company will capitalize on the opportunities in the recycled resin and packaging markets through two main divisions: a Recycling Division and a Packaging Division.

Recycling Division

Using a patented process, the Company will create a PET cleaning and refining plant located in the western United States; we have chosen this region because all 16 major North American PET recycling plants are currently located in the eastern United States or Canada, despite western states’ favorable recycling attitudes among consumers. Its initial annual capacity will be 46 million pounds and it will utilize bottle feed stock from California, Oregon and Washington States, which collect over 200,000,000 pounds per year. The Company will become totally vertically integrated, and use all or almost all of its recycled material in its Packaging Division. Any surplus material produced will be sold to outside companies.

Packaging Division

We will create a plant (actual facilities to be shared with the Recycling Division) to manufacture extruded plastic roll stock sheet or high-strength strapping, employing state-of-the-art technology developed to utilize recycled PET resin. The extruded sheet will be primarily sold to thermoformers who will convert it into high visibility packaging, as well as laminators and fabricators. The strapping will be sold to commercial users for use as package or pallet strapping. The Company currently has commitments from customers to purchase all of the initial production capacity. Excess flake will be sold to outside customers.

2.1 Company Ownership

Replay Plastics is owned by the initial founders, B. Braddock, S. McGuire and C. Smith, who are the proposed three executives of the operating entity. The plan was conceived and developed by these individuals, with the intent to apply their extensive experience and contacts in the industry to building a successful profitable corporation.

2.1.1 Potential Conflict

Our COO, Mr. Sam McGuire, the inventor and patent holder of the recycling process to be used by the Company, is a principal in Company A of Chicago, IL. For many years, Company has designed, manufactured and assembled plastic recycling equipment, and has given us quotes on meeting our needs in this area.

After a thorough investigation, Replay has found that Company A is able to source or supply the required equipment at considerably lower cost than any other company from which a quote was available. Mr. McGuire has disclosed that Company A has included a smaller than normal margin in their quote on goods they will manufacture, to cover overhead, contingency and profit which might result in a small benefit to him. They have agreed to source all of the equipment possible with no added margin.

Replay has concluded that the savings available outweigh any other consideration and that we will purchase the cleaning and refining equipment from Company A.

2.2 Start-up Summary

Our start-up expenses are budgeted at $210,000, which is mostly for on-site contractor services during facility preparation. $50,000 has been set aside for legal and accounting, $25,000 for special consulting that may be required during start up and $50,000 each for local engineering and lab equipment and supplies. $30,000 has been set aside as a contingency for the start up period.

Our largest Start-up Requirement is the building of the recycling and extrusion facility. Its final value at completion is listed below as a long-term asset of $3,620,000 (excluding expensed items like consultants and engineering listed above). Aside from the building itself, we need $25,000 in machinery and fixtures, $500,000 of inventory (plastic bottle feed stock) and cash to cover us through the initial year.

Replay Plastics will utilize two processes in the same facility to produce:

  • Cleaned and recycled plastic PET flake (RPET), recovered from post-consumer beverage bottles and manufacturing waste produced by its sheet customers
  • Extruded roll stock sheet PET.
  • Extruded PET high-strength strapping for securing large packages or pallet loads; each using 100% RPET produced in-house

3.1 Product Description

Roll stock sheet will be sold to custom thermoformers primarily to be used to produce high-visibility packaging. It will also be sold to manufacturers of laminates and fabricated plastic products.

High strength PET packaging strapping is used to secure packages or pallets in such industries as lumber milling and corrugated and other paper production.

Both products will be extruded from post-consumer polyethylene terephthalate (PET) bottles. The recycling programs in California, Washington and Oregon collect in excess of 200,000,000 pounds of PET bottles per annum. Replay’ initial capacity will be 46,000,000 pounds.

Using a patented process, Replay will clean and refine the PET material from the post-consumer bottle stock and post-industrial manufacturing waste. The PET flake resin produced will be extruded into roll stock sheet or high-strength strapping.

Although the Company expects to convert all of its bottle feed stock into extruded products, any surplus flake will be sold to outside manufacturers.

3.2 Competitive Comparison

While quality and delivery are important factors to our potential clients, price is most often the determining factor in a buying decision. Good-quality packaging products manufactured from recycled (less expensive) resins, as close as practical to the end customer’s operations, will be most competitive and achieve a significant market share. These factors have helped to determine the business parameters of Replay Plastics.

3.3 Sourcing

In excess of 200,000,000 pounds of post-consumer PET beverage bottles are collected and available as feed stock for manufacturers who can re-process this material into commercial products. The Company has excellent relations with the firms and associations that collect and distribute these materials and has been assured that its requirements will be available for the foreseeable future.

The Company has entered negotiations with a California based source of post-consumer bottles and is confident that sufficient volumes are available on a contract basis from this source to satisfy its requirements. In addition, the Company intends to purchase production waste from its sheet customers and blend it into its feed stock.

Currently, the majority of the post-consumer PET bottles collected in California, Oregon and Washington are exported to China. The Chinese have absorbed the amounts surplus to the use in North America. Their interest has kept the industry in the position of being able to maintain a steady price range for this bottle stock. A significant percentage of all sales of such bottle stock are managed by Plastics Recycling Corporation of California (PRCC), an industry funded marketing agency which operates similarly to a co-operative. They accept bids from potential buyers on behalf of the firms which act as “consolidators,” which accumulate stocks from the smaller, individual bottle-recycling depots. Some amount of the available stocks are regularly bought by recyclers in eastern North America who focus on the carpet manufacturers who use RPET resin in their process, but the high cost of transport from the western U.S. makes eastern sources more desirable.

Replay has a good relationship with Company B, one of the larger consolidators in California. Company B has indicated a desire to contract to supply Replay with all of its raw material needs. They prefer to deal with a local consumer such as Replay, rather than the uncertainty and extra preparation requirements of the export market.

There are other sources of post-consumer feed stock known to Replay, and we are confident that we will have sufficient materials available for our production needs.

3.4 Technology

Sam McGuire, a key member of our Management team, is one of the original innovators of cleaning and refining technology for post-consumer PET, and we will be utilizing his patented process in our recycling facility. Sam has worked in the establishment and operation of facilities employing similar technologies over the last several years.

On the manufacturing side, Management has been an integral part of the advancement of industry practices over the last twenty years or so, and includes in their knowledge base most, if not all, of the state-of-the-art available equipment and manufacturing techniques.

Market Analysis Summary

Strong demand for recycled plastics is working in the industry’s favor. Major users of plastic packaging, apparently responding to consumer desires, have begun incorporating at least some recycled plastic content in their products as part of the growing interest in recycling. Recycled resin demand is on the rise as prices for the two major recycled resins, PET and HDPE, continue to hold value or appreciate against their virgin counterparts.

In volume, PET is currently the number one recycled resin. Supply of recycled PET is in excess of 800 million pounds per year. This figure is expected to grow, reaching over 1 billion pounds during the next few years. The plastics industry has developed new markets and applications for recycled resins from both post-consumer and post-industrial sources.

PET leads the recycled recovered resins as the most visible and valuable, and its use is increasing. Of the total 3.7 billion pounds of PET consumed in 1997, just 16% was from recycled sources. Of the more than 90 billion pounds of plastics produced annually in the United States, less than 5% is from recycled sources. Plastics, after aluminium, represent the second highest value material in the waste stream and have the highest projected growth rate.

Markets and uses for recycled plastics are rapidly expanding. Plastic containers are being collected at the curb for recycling in nearly 500 communities, representing more than 4 million households. U.S. demand for recycled plastic will continue to expand and new markets will develop as technologies permit the efficient segregation and reprocessing of high-purity resins. Improved quality of resins, environmental issues and higher prices for virgin resin will contribute to growth.

Packaging is expected to be the largest market segment for recycled plastics, with sheet and lumber following. Surveys indicate that Americans are increasingly willing to collect and separate discarded packages, foregoing a degree of convenience to make products more disposable, and even paying a premium for a recycled item.

Increasingly, communities are refusing to consider incineration until every effort is made first to recycle; public sentiment is strongly in favor of products that can be recycled or are made of recycled materials. In recent years, the household recycling rate of PET bottles has more than doubled to 30% of all PET soft drink bottles sold. In fact, PET’s recycling rate is the fastest growing among all beverage containers. The future of PET recycling is even brighter than it has been in the past. PET intrinsic scrap value is second only to aluminium among container materials. The plastics industry has launched a research and development program aimed at increasing PET recycling. According to the U.S. Environmental Protection Agency (EPA), plastic soft drink bottles account for approximately 2% of the solid waste discarded in America. The EPA has set a national goal to recycle 25% of the municipal solid waste stream and the industry is committed to achieving its share of that important goal.

The recycling industry intends to accelerate the rate of plastic recycling as part of its commitment to develop solutions to the solid waste problem. Industry analysts have projected that 50% of all PET containers will be recycled by the year 2007. More plastics will be recycled annually than any other recyclable material. Replay believes a significant answer to America’s waste problem lies in creating high value, recycled thermoformable sheet and other extruded products for the packaging market.

Although more than 200 million pounds of PET post-consumer materials are collected in the western United States each year, there is presently no local cleaning and refining facility converting the bottles into resins suitable for re-manufacturing. Originally, recycled PET (RPET) was used primarily in the carpet fiber industry, which is located along the eastern seaboard. The early development of the RPET industry was therefore focused in the eastern USA, with eastern states adopting the first bottle deposit laws that resulted in collection of post-consumer bottles that can be recycled. Recently, California, Oregon and Washington have adopted bottle deposit programs, and accumulation of recyclable materials in those states has begun. With all of the cleaning and recycling plants and the majority of consumers traditionally located in the eastern part of the country, development of consumers of recycled flake and down-line products, such as film and sheet, has been slow to develop in the West. A strong demand for post-consumer bottles from Asia has prevented the buildup of inventories and reduced the pressure for the collection industry to find or develop western markets.

There is currently no independent extrusion plant of recycled polyterephthalate (PET) sheet in the western United States or Canada that services the roll stock requirements of major custom and proprietary formers. With the development of the recycling industry for PET starting in the eastern part of the country, and the preponderance of consumers of sheet there as well, development of independent extrusion facilities using RPET has been slow to develop. It appears that in order to attract such companies, local sources of RPET would have to available. While there are customers in the West for the products, contracting a supply and shipping it from the East makes the venture unattractive.

Our founders recognize that an opportunity exists and propose a vertically integrated conversion facility that will employ state-of-the-art technologies to produce extruded sheet and high strength strapping from 100% recycled PET post-consumer bottle stock, cleaned and refined in our own facility.

4.1 Target Market Segment Strategy

The Company has chosen its target markets because recycled PET (RPET) is in high demand as flake resin by converters, as roll stock sheet used to produce high visibility packaging and as high strength strapping for the lumber industry. Sales are price-sensitive, so that proximity to markets and feed stock source provide a competitive edge. Replay Plastics identified an opportunity to take advantage of both circumstances in the western United States.

Total market demand is reported as 1.2 billion pounds per year. Since only 800 million pounds are processed in the USA, consumers are forced to look at wide spec virgin PET (virgin resin that is outside of spec but still usable) which is normally sold at a discount to virgin prices, but still higher than recycled (RPET) pricing. Some manufacturers are also forced to import materials from Mexico, India and South America. Some converters are being forced to use more expensive virgin resin.

The current pricing for virgin resin is $0.65-0.73 per lb. and $0.42-.53 for RPET flake. The spread between the two has traditionally been maintained at approximately $0.20 per lb.

PET Film & Sheet

The total reported market of extruded film and sheet is 872 million pounds, of which identified industry usage of RPET is 160 million pounds.

The reported market demand (to replace virgin PS, PVC and PET) if RPET was available is estimated at 1 billion pounds.

Current pricing for RPET sheet is $0.70-0.79 per lb.

RPET Strapping

The total reported domestic plastic strapping market is 240 million pounds. Of this market, industry usage of virgin polypropylene is 132 million pounds and of PET is 108 million pounds.

It is generally accepted in the industry that less expensive strapping made from RPET could not only take over the polypropylene strapping market, but convert as much of the much larger and more expensive steel strapping market as RPET strapping was available.

Current pricing for RPET strapping is $0.90 -1.08 per lb.

4.2 Market Segmentation

The primary market can be broken down as follows.

Consumers of PET in:

California: 62 Oregon: 8 Washington: 9

Consumers of HDPE in: California: 73 Oregon: 10 Washington: 12

4.3 Industry Analysis

Currently there is no direct competition in the western United States for either of the two divisions of the Company. Any production in the trading area remains captive and not available to our target market.

The ability of the Company to obtain a source of post-consumer bottle stock is an integral component of the strategy to vertically integrate operations and manufacture products in demand by western consuming industries. Without the cleaning and refining division, it would be difficult to source sufficient RPET flake resin at costs that would allow the Company to be competitive.

4.3.1 Barriers to Entry

Limited Supply of raw material Recycled PET (RPET) resins are in high demand, and demand is currently under-supplied. Many manufacturers are delaying expansion because of uncertainty of supply. Entrants would have to consider sourcing post-consumer or post-industrial waste and clean and refine it rather than attempting to purchase flake on the open market. Even at that, there is not an over-abundance of post-consumer or post industrial material in the marketplace.

Equipment costs are high and industry specific, resulting in a high exit cost. Because of the scarcity of RPET flake, entrants may be forced to establish cleaning and refining facilities for post-consumer bottles. The equipment required is costly and very industry specific. It would not easily be re-sold as a system. There is a market for used extrusion equipment, which normally sees 60-70% of new value being realized.

Vertical integration is an important consideration and difficult to accomplish successfully. Because of the scarcity of RPET resin, and to maximize profit potential, entrants must consider a two-stage production facility. Cleaning and refining post-consumer bottles and extruding the resulting flake into commercial products requires a management team such as Replay has, with a broad range of expertise, experience, industry contacts and knowledge in both areas.

Firm contracts for supply and sales. Replay Management’s industry contacts will allow us to secure contracts for both supply of feed stock and sale of finished goods.

Freight is a major cost of operations; proximity to source of supply and markets is crucial. Hauling plastic materials is expensive so entrants will have to consider establishing facilities close to materials and markets. Entrants with existing operations would have to consider new separate facilities in many cases, reducing economies of scale and making management more difficult.

4.3.2 Competition and Buying Patterns

There has been a strong demand (sellers’ market) for our products for several years. Traditional buying patterns in this industry are based on quality, price, reputation of manufacturer, freight costs, delivery times and proximity to markets. During such a sellers’ market, buying patterns are often more influenced by availability.

4.3.3 Main Competitors

Currently in the western United States, there is no direct competition for cleaning and refining post-consumer or post-industrial PET. Nor is there any non-captive extrusion of roll stock sheet.

The extruded sheet required by thermoformers is currently supplied by:

  • Advance Extrusion, Becker, MN
  • Kama, Pittsburgh, PA
  • Plasti-Shell Packaging, Gonzales, LA
  • Petco, Montreal, Canada
  • Klockner, VA

In a news release dated September 10, 2004, Itec Environmental Group, Inc. announced their intention to open a PET and High Density Polyethelene (HDPE) recycling operation in Riverbank, CA (east of San Francisco). The news release states that the Company’s new and yet unproven technology lets it work with bottle streams that others have to reject as too dirty. This Company is familiar to our Management, and is not considered a significant factor in any of our markets.

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recycling of waste business plan

The Future-Proof Business Model for Waste Management

As we stand at the crossroads of necessity and opportunity, resource optimization and circular thinking must be more than a department or an initiative—they must be the guiding principles that inform every decision and shape every strategy. By Samuele Barrili

In the rapidly evolving landscape of waste management, a new paradigm has emerged—one that goes beyond mere disposal to encompass resource optimization, economic efficiency, and long-term viability. As the foremost expert in waste management alchemy, I have witnessed firsthand the transformative power of integrating these principles into the very core of business operations. This article is directed at waste management company owners who are ready to elevate their businesses and position themselves at the forefront of our industry.

The Integration Imperative The days of viewing resource conservation as a mere add-on or marketing ploy are long gone. Today’s discerning clients, both in the private and public sectors, are actively seeking partners who demonstrate a genuine commitment to responsible resource management. By weaving these principles into the core of your business model, you are not just attracting forward-thinking clients, you are future-proofing your enterprise against increasingly stringent regulations and public expectations.

Consider this: a 2023 global survey revealed that 78 percent of consumers are more likely to choose a product or service from a company with a strong track record in responsible resource management. For waste management companies, this translates to a significant competitive advantage. By positioning these principles at the heart of your operations, you are not just managing waste, but you are also cultivating trust, enhancing your brand reputation, and opening doors to new market opportunities.

Embracing the Circular Economy At the crux of advanced waste management lies the principle of the circular economy. This model challenges the traditional linear “take-make-dispose” approach, instead advocating for a system where resources are used, recovered, and regenerated in a closed loop. As waste management professionals, we are uniquely positioned to be the architects of this circular future. Implementing four circular economy principles means rethinking every aspect of your operations, including:

  • Design for Recyclability: Collaborate with manufacturers to create products that are easier to recycle or repurpose at the end of their lifecycle.
  • Resource Recovery: Invest in advanced sorting technologies to maximize the recovery of valuable materials from waste streams.
  • Upcycling Initiatives: Develop innovative processes to transform waste materials into higher-value products, creating new revenue streams in the process.
  • Collaborative Partnerships: Foster relationships with industries that can use your recovered materials as inputs for their processes.

By adopting these principles, you are not just reducing waste, but you are also creating value and positioning your company as an indispensable player in the economy of tomorrow.

Waste Reduction Strategies: Beyond the Landfill While efficient waste management remains crucial, true progress lies in waste reduction. Progressive waste management companies are now offering consultation services to help clients minimize waste generation at the source. This shift from a reactive to a proactive approach not only benefits the bottom line, but also creates new business opportunities. Consider implementing the following strategies:

• Waste Audits and Consultations: Offer comprehensive waste audits to clients, identifying areas for reduction and proposing tailored solutions. • Pay-As-You-Throw (PAYT) Programs: Implement volume-based pricing structures that incentivize waste reduction among your clients. • Education and Outreach: Develop programs to educate communities and businesses about waste reduction techniques, positioning your company as a thought leader in the field. • Smart Waste Management Systems: Use IoT-enabled sensors and data analytics to optimize collection routes and schedules, reducing unnecessary pickups and associated costs.

By helping your clients reduce their waste footprint, you are not only providing added value, but also securing long-term partnerships built on trust and shared goals for efficient resource management.

Harnessing Advanced Technologies The waste management industry is on the cusp of a technological revolution. Embracing cutting-edge technologies is no longer optional—it is a necessity for staying competitive and meeting evolving standards. Key technologies to consider include:

• Anaerobic Digestion: Convert organic waste into biogas and nutrient-rich fertilizer, creating a closed-loop system for food waste management. • Advanced Material Recovery Facilities (MRFs): Invest in AI-powered sorting systems and robotics to increase recycling efficiency and purity of recovered materials. • Chemical Recycling: Explore technologies that can break down hard-to-recycle plastics into their chemical components, opening up new recycling possibilities. • Methane Capture and Use: Implement systems to capture methane from landfills and convert it into usable energy or products. • Blockchain for Traceability: Use blockchain technology to create transparent, verifiable records of waste management processes, enhancing trust and accountability.

By investing in these technologies, you are not just improving operational efficiency, but you are also positioning your company as an innovator in the field, capable of tackling the most complex waste management challenges.

The Road Ahead As we stand at the crossroads of necessity and opportunity, the path forward for waste management companies is clear. Resource optimization and circular thinking must be more than a department or an initiative—they must be the guiding principles that inform every decision and shape every strategy.

The companies that will thrive in the coming decades are those that view waste not as a problem to be solved, but as a resource to be harnessed. They are the ones who will transform landfills into mines, waste streams into supply chains, and challenges into business opportunities.

As the waste management alchemist, I challenge you to reimagine your role in the global ecosystem. You are not just waste managers, you are pioneers, circular economy architects, and guardians of our planet’s future. By embracing these principles as your core business strategy, you are not just adapting to change—you are driving it. | WA

Samuele “Sam” Barrili is known as the go-to guy for helping waste management companies execute growth strategies. He began his journey in this field in 2009 after completing his degree in Toxicological Chemistry and joining a wastewater treatment company to develop its market. Over the years, thanks to his proprietary SAM Method (Stream Advanced Management), Samuele has assisted dozens of waste management companies across America and Europe in increasing their annual profits by more than 25 million dollars. In 2019, he transitioned from the C-Suite of a Chemical Hazardous Waste Company to launching his own MiM agency. His focus has always been on leveraging innovative business strategies to drive growth and profitability. Samuele began sharing content, educating, and consulting with waste company owners worldwide to help them transform their business results through strategic planning and execution. He has had the pleasure of working with world-class clients, implementing strategies that significantly enhanced their operations and profitability. Samuele can be reached at [email protected] or visit www.sambarrili.com .

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recycling of waste business plan

A Giant Plastics Chemical Recycling Plant Planned for Pennsylvania Died After Two Years. What Happened?

The site of the formerly proposed Encina chemical recycling plant for plastic waste in Point Township, Penn. Credit: James Bruggers/Inside Climate News

The Missing Equations at ExxonMobil’s Advanced Recycling Operation

The ExxonMobil Baytown Complex in Baytown, Texas, at dusk. Credit: James Bruggers/Inside Climate News

Dumped, Not Recycled? Electronic Tracking Raises Questions About Houston’s Drive to Repurpose a Full Range of Plastics

Jan Dell, founder of The Last Beach Cleanup and a chemical engineer, examines the contents of a large container of bagged plastics at a Houston Recycling Collaboration all-plastics recycling depository in the Houston community of Kingwood in September. Credit: James Bruggers/Inside Climate News

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Fossil fuels, houston’s plastic waste, waiting more than a year for ‘advanced’ recycling, piles up at a business failed three times by fire marshal, houston seeks to be a national model for plastic recycling. but a program that started in 2022 hasn’t yet found its footing..

James Bruggers

This story is a partnership between Inside Climate News and CBS News .

HOUSTON—When the news crew showed up outside a waste-handling business that’s failed three fire safety inspections and has yet to gain state approval to store plastic, workers quickly closed a gate displaying a “no trespassing” sign.

Behind the gate, deliveries of hundreds of thousands of pounds of plastic waste from residents’ homes have piled up over the last year and a half. Satellite and drone images reveal bags, bottles and even a cooler spread about, some of the plastic heaped high in bales next to strewn cardboard and tall stacks of wooden pallets.

The expanding open-air pile at Wright Waste Management, on the edge of an office park 20 miles northwest of downtown Houston, awaits what the city of Houston and corporate partners including ExxonMobil call a new frontier in recycling—and critics describe as a sham.

A pile of plastic waste are seen in May at Wright Waste Management in Houston. Credit: CBS News

The Houston Recycling Collaboration was formed as a response to low recycling rates in the city, a global problem. Hardly any of the plastic products meant to be used once and tossed can be recycled mechanically—the shredding, melting and remolding used for collection programs across the country. 

The Houston effort adds a new option alongside the city’s curbside pickup: Partners say people can bring any plastic waste to drop-off locations—even styrofoam, bubble wrap and bags—and if it can’t be mechanically recycled, it will be superheated and chemically processed into new plastic, fuels or other products.

recycling of waste business plan

Exxon and the petrochemical industry call this “advanced” or “chemical” recycling and heavily promote it as a solution to runaway plastic waste, even as environmental advocates warn that some of these processes pump out highly toxic air pollution, contribute to global warming and shouldn’t qualify as recycling at all.

But the Houston effort illustrates a different problem: Twenty months into collection, ongoing tracking by environmental groups indicates the household plastic waste people have dropped off still isn’t getting chemically recycled. 

A massive plastics sorting plant planned by one member of the collaboration, Cyclyx International, isn’t on track to open until the middle of next year. And the plastic mounting at Wright in the meantime likely will build up even faster because city officials and their partners expanded their collection program in April from one original drop-off center to eight.

An investigation by Inside Climate News and CBS News that uncovered Wright’s failed fire safety inspections and missing fire permits also unearthed a fracture in the public-private collaboration.

One of the city’s industry partners, FCC Environmental Services, which operates a large sorting facility for the city’s curbside recycling program, has opted out of the drop-off collection. In a July 2023 letter , the company raised concerns about the safety of storing plastic waste at a facility that lacks required permits. 

Explore the latest news about what’s at stake for the climate during this election season.

“As a member of the [Houston Recycling Collaboration], FCC does not want its reputation and image involved in such irregular and risky practices,” Inigo Sanz, chief executive officer of FCC at the time, wrote in the letter to partners without mentioning the Wright site by name. FCC also complained about the focus on storing waste for future chemical recycling while missing opportunities to recycle some of the plastic mechanically.

Public records requests by Inside Climate News and CBS News also found that the fire marshal’s office for Harris County, Texas, inspected the Wright site three times from July 2023 through April and failed it on each occasion. The inspection reports noted that the company was operating without some of its required fire operational permits, including those for handling “hazardous materials” and “miscellaneous combustible storage.”

recycling of waste business plan

A fire inspector visiting the site on April 30 observed “significantly more product” around the facility than during the previous inspection. There were “no fire lanes or means of controlling a fire,” the inspector wrote, and the public right of way was blocked by a new 15-foot tall, 100-foot wide and 500-foot long wall of wooden pallets stacked outside the fence line.

Plastic recycling facilities are notorious for catching fire and sending toxic smoke billowing into the air. All it takes is a trigger: an unextinguished cigarette, sparking from electronic or mechanical equipment, arson, oily rags spontaneously combusting. That’s why conditions at the Wright site worry local environmental advocates, county fire inspectors and at least one independent fire investigator.

“Five acres of paper and plastic piled up with little or no fire suppression: What could go wrong?” said Richard Meier, a private fire investigator in Florida who worked 24 years as a mechanical engineer in manufacturing, including in plastics companies. He reviewed the Harris County fire inspection reports and Google Earth images of the site from earlier this year at the request of Inside Climate News and CBS News.

“You have piles and piles and piles of all this fuel,” Meier said. “Plastic is a refined version of petroleum, and paper is chewed-up wood.”

The fire risk only grows with intense summer heat, for which Houston is known.

“When you are talking about igniting a fuel, it is about adding heat to that fuel. If the fuel is already warm, it takes much less added heat to start an ignition,” Meier said.

The company’s owner declined to comment.

When shown a drone video of the Wright site taken in July, informed of the three failing fire marshal’s inspections and told that Wright’s application to store plastic had not yet been approved by state environmental regulators, the city’s top solid waste official responded with surprise.

“That contradicts some of the information we have in our records,” said Mark Wilfalk. “The last report we had was they are A-OK.”

Wilfalk later said he had been relying on his department’s review of the Wright site and not that of the county fire marshal.

The Clash Over ‘Advanced’ Recycling

Plastic is a modern dilemma much like the oil and gas used to make it, underpinning the global economy even as it chokes the world in waste seeping into our food, water and bodies. About a third of the 430 million metric tons produced each year are tossed after a single use, according to the United Nations .

UN officials have declared plastic a big part of what they call “a triple planetary crisis” of climate change, nature loss and pollution. More than 170 nations are trying to draft a global plastics treaty by the end of this year. In the U.S., lawsuits over plastic pollution are multiplying . So are the calls to reduce production.

Bag It: The Plastics Crisis

All of that has pressured petrochemical companies to offer solutions. The major one they suggest: chemical recycling, which the industry lobby group American Chemistry Council says allows more kinds of plastic to be “recaptured and remanufactured into new plastics and products.”

But critics argue that chemical recycling is more of an unproven marketing play so plastic production can keep growing than a real fix for the global crisis.

“Recycling may be a very, very small portion of the solution, but it is not going to solve this monumental plastic pollution problem that we have,” said Veena Singla, an adjunct assistant professor of environmental health sciences at Columbia University. She called recycling an “end-of-pipe solution that does not require industry to cut down its production or its profits and its plans for expansion.”

And that, Singla said, means more harm across the plastics lifecycle, from oil and gas drilling to plastic production to plastic waste in rivers and oceans to micro- and nano-plastics in blood vessels .

Veena Singla, an adjunct assistant professor of environmental health sciences at Columbia University, discusses her concerns about chemical recycling of plastics during a July interview. Karl Mollohan/CBS News

Made of some 16,000 chemicals , many of them toxic, plastics were never designed for recycling. Globally, less than 10 percent of plastic gets recycled, according to the Organization for Economic Co-operation and Development, a group that represents developed nations. In the United States, the recycling rate is even lower at less than 6 percent, according to a 2022 study by two environmental groups, The Last Beach Cleanup and Beyond Plastics.

Chemical recycling will be different, the industry says. The Houston collaboration, which includes petrochemical giants Exxon and LyondellBasell, part owners of fellow member Cyclyx , offered an opportunity to demonstrate that. 

“The challenge here is the plastic waste. It’s not the plastic,” said Ray Mastroleo, Exxon’s global market development manager for advanced recycling, during a late July tour of the company’s chemical recycling facility. Located at its Baytown plant outside Houston, it has been getting its feedstock mostly from scrap and byproduct plastic from industrial sources.

A view of the ExxonMobil Baytown petrochemical complex near Houston, where the company has added a chemical recycling facility for waste plastic. Credit: Carlos Chavez/CBS News

During the collaboration’s roll-out, Houston’s then-mayor, Sylvester Turner, said it would move the city to a “circular economy,” a term without a widely accepted definition but used to suggest products are repeatedly made from waste without tapping new natural resources. Turner said the city and its partners were “sending a message” that “Houston is dedicated to impacting change and setting the example for communities around the country.”

But Inside Climate News in November reported that electronic tracking of plastic waste collected for the collaboration in 2023 showed it wasn’t getting recycled after all, and instead was being stored at Wright Waste Management; that construction of the planned Cyclyx Circularity Center, a sorting facility touted as necessary for the program, was behind schedule; and that Exxon was declining to reveal basic information about its Baytown chemical recycling facility, including details that could support or undermine its chemical recycling environmental claims.

In December, the Cyclyx Circularity Center received $135 million in funding, but its warehouse still sits empty of sorting equipment less than a year before it’s scheduled to begin operations.

A view of the proposed Cyclyx Circularity Center in an industrial area near Houston. Credit: CBS News

Exxon describes its chemical recycling as a type of pyrolysis, where waste plastic is heated to 600 degrees in a reactor without oxygen, converted to products such as ethane or naphtha in oil and gas forms, then sent to other Exxon units for further refining. The process, the company maintains, allows it to “unlock the inherent value of used plastics that might otherwise wind up in a landfill or incineration.”

But critics argue that pyrolysis is energy-intensive manufacturing with a large carbon footprint, not that different from incineration and that it mostly just makes new fossil fuels. 

“Any process that effectively destroys 75 percent-plus of the plastic waste … cannot legitimately be claimed as plastic recycling.”

Jan Dell, an independent chemical engineer, former industry consultant and founder of The Last Beach Cleanup, a nonprofit that works on reducing plastic pollution, views Exxon’s chemical recycling claims with skepticism. She reviewed public documentation, including Exxon patents, and estimated that no more than 25 percent of the incoming plastic waste to the Exxon chemical recycling facility could be converted into feedstocks for new plastic.

“Any process that effectively destroys 75 percent-plus of the plastic waste … cannot legitimately be claimed as plastic recycling,” Dell said. “ExxonMobil should stop using the words ‘advanced recycling’ to describe their process.”

That’s a position similar to that of the U.S. Environmental Protection Agency. In its 2023 draft national strategy to prevent plastic pollution, the EPA concluded that converting “solid waste to fuels, fuel ingredients, or energy” should not be considered a recycling practice.

California Attorney General Investigates Exxon and Others

While the chemical industry has persuaded more than two dozen state legislatures to pass laws encouraging chemical recycling, it’s also faced withering critiques from opponents and questions about its technical and economic viability.

Last fall, a report by two environmental groups, Beyond Plastics and the International Pollutants Elimination Network, attempted to make the case that chemical recycling technology has failed by showing how companies have largely been unable to make it work commercially.

And the 2023 annual sustainability report for the global oil giant Shell released earlier this year revealed that it was backing away from its corporate goal to significantly ramp up chemical recycling of plastic.

“We have concluded that the scale of our ambition to use 1 million tonnes of plastic waste a year in our global chemical plants by 2025 is unfeasible due to a lack of available plastic waste feedstock, slow technology development and regulatory uncertainty,” the company reported.

The ExxonMobil chemical recycling facility at its Baytown petrochemical complex near Houston. Credit: Dwaine Scott/CBS News

California Attorney General Rob Bonta, who is suing Exxon and other oil companies over alleged deception regarding climate change, is also investigating the oil and gas industry’s role in alleged deceptive public messaging about plastic pollution and recycling. In that investigation, Bonta’s office issued subpoenas to Exxon and the industry lobby groups American Chemistry Council and the Plastics Industry Association.

In a written statement this week, Bonta said his investigation was nearing completion.

“The root of our investigation lies in this truth: plastics are wreaking havoc on our environment due to the fossil fuel industry’s decades-long campaign of deception, perpetuating a myth that recycling can solve the plastics crisis,” Bonta said. “That deception is ongoing today with the industry’s promotion of ‘advanced recycling.’”

Exxon’s Mastroleo declined to comment on Bonta’s investigation but said: “We’ve already processed 60 million pounds of plastic waste through our facility. We have ambitions to go even further to 1 billion pounds. And so to say that’s a myth when we’re actually doing it, I’m not sure I’m aligned with that.”

Exxon officials declined last year, and then again recently, to say what percentage of new plastic the company makes from every pound of plastic waste that it processes at its Baytown chemical recycling facility.

Ray Mastroleo, ExxonMobil's global market development manager for advanced recycling, is seen at the company's chemical recycling facility inside the Baytown petrochemical complex near Houston. Credit: Dwaine Scott/CBS News

Mastroleo said he didn’t know. A significant amount “goes to fuels,” he said, along with “lubricants, plastic, as well as other products.” He said he considers all of that to be recycling.

“Recycling is taking waste to create new products,” Mastroleo said.

He declined to comment on Shell’s decision to back off advanced recycling of plastic, other than to say of Exxon: “I believe we have a world-class technology organization, a world-class operational organization, and I can lean into that. That’s what gives me confidence. If I were a betting man, I know where I would bet.”

Terry Collins, a professor of chemistry at Carnegie Mellon University, has estimated that Exxon would need to build more than 300 facilities with the capacity of its Baytown operation to handle the waste generated by all the plastic the company makes. Globally, Collins said, more than 10,000 such facilities would be needed to process all of the plastic produced on the planet.

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Mastroleo acknowledged that Exxon’s effort “is just the start of the journey.”

He added: “We need to work with our communities, with governments and industry to make sure plastic circularity is something that’s real, something that is believable.”

Tracking Plastic Waste

In a garage in Houston, Brandy Deason stuffed some of the plastic waste she has accumulated in recent weeks into a large plastic bag. An empty water container from a hurricane preparedness kit. Styrofoam packing material. Plastic film wrap from a mail-order bed frame. Target shopping bags. Shampoo bottles. Plastic clamshell-style food packaging that once contained tomatoes.

Deason, a climate justice coordinator fighting against chemical recycling of plastic for the Houston Air Alliance, an environmental group, said she tries to minimize her use of plastic but said that’s hard to do.

“Gotta have emergency water in a hurricane,” she explained. “Gotta have some shampoo.”

Brandy Deason, a climate justice coordinator for Air Alliance Houston concerned about pollution from chemical recycling of plastic waste, prepares a bag of plastic waste packed with an electronic tracker to see if it's being recycled. Credit: Dwaine Scott/CBS News

Most of these materials would not normally get recycled in Houston or pretty much anywhere else in the United States. But the Houston Recycling Collaboration has encouraged residents to do exactly what Deason is doing—to “bag it and bring it,” including “all plastics, all numbers” and “all symbols,” even plastic that does not have any recycling labels,  such as dry cleaner bags and bubble wrap.

The difference between a regular bag of plastic and Deason’s: She slipped an Apple AirTag electronic tracker in before taking it to a Houston recycling drop-off center.

“We want to know what was happening with this stuff,” Deason said. “Is it really going to go to get recycled?”

Her efforts follow those of The Last Beach Cleanup, which last year used electronic tracking to show plastic waste collected by the city for the collaboration was piling up on the ground at the Wright business.

“We want to know what was happening with this stuff. Is it really going to go to get recycled?”

In April, during a public “lunch and learn” webinar, a copy of which Inside Climate News and CBS News obtained through a Texas open records law request, a Cyclyx official described the environmentalists’ tracking of plastic waste to the Wright site in positive terms.

“The geotags were a great thing to show it’s actually going to where we want it to go,” Zach Divin, the director of operations for Cyclyx, said of the collected waste. “That is the site [where] it’s stored.”

Brandy Deason talks about tracking plastic waste to Wright Waste Management. Credit: Dwaine Scott/CBS News

But fires at recycling facilities are relatively common. The Last Beach Cleanup has tracked more than 130 globally since 2019 at plastic recycling and sorting facilities, not counting hundreds more that Dell said have occurred in Turkey and India. 

“Should that catch fire,” Deason said, standing near the Wright site, “the emissions coming off of that could be really poisonous to the people that live around here, not to mention a dangerous, large fire like that could spread into a neighborhood.” 

Open Fire Code Violations

Public business records identify Stratton Wright as the president of Wright Waste Management, which is described on its website as “Texas’s premier waste-to-energy logistics coordinator.” It’s been on file with the Texas Commission on Environmental Quality as a cardboard recycler since 2016, but on Sept. 26, 2023, months after trackers were showing plastic waste already going to the business, Wright submitted a “ notice of intent ” to operate a municipal solid waste recycling facility. That application to the TCEQ revealed a plan to store as much as 2.2 million pounds of plastic waste and a request for permission to exceed time limits for plastic waste storage. 

“The longer storage time is necessary as the preliminary processing facility has not yet been constructed,” according to the application, which referenced Cyclyx’s planned sorting facility. “Recycling of this material could not occur if an extension of the storage time were not granted.”

“The application has not been approved and is under review,” said TCEQ spokesman Ricky Richter. “TCEQ is waiting on financial assurance documentation from the applicant.”

Asked about his business last October for Inside Climate News’ November story, Stratton Wright said “everything is on the up-and-up.” But this summer, he declined four direct requests for an interview, instead referring reporters to Cyclyx.

In an interview, Ryan Tebbetts, a Cyclyx vice president, declined to discuss the Wright site’s failing fire marshal inspections or its regulatory status with the TCEQ, referring questions back to Wright Waste Management.

 “Wright Waste Management doesn’t represent us, and they are currently a temporary solution before we can get [our] facility operational,” Tebbetts said.

Inside a mostly empty warehouse, Cyclyx International vice president Ryan Tebbetts talks about his company's plans for a large waste plastic sorting facility in the Houston area, and its goal of getting as much as 90 percent of plastic recycled. Credit: Dwaine Scott/CBS News

Cyclyx has been talking about opening its high-tech plastic sorting plant since at least 2022 and had previously targeted its opening for 2024. Last fall, Joe Vaillancourt, the chief executive officer of Cyclyx, told Inside Climate News that the company was awaiting a final investment decision and working through engineering details. In December, the company announced that Exxon and LyondellBasell were together investing $135 million in the sorting facility to pay for operating activities and construction costs, with startup planned for mid-2025.

Cyclyx provided a tour of its giant warehouse, the size of nine football fields, but it was still largely empty except for some bales of plastic waste. One contained a tracking device that showed it had been recently moved from the Wright site, Dell said. (It’s since been moved back, according to the device.)

“We’ve got a lot of work ahead of us over the next 12 months to get there,” acknowledged Tebbetts, who said the company has been trying to stockpile as much plastic as possible in advance of its startup.

Eventually, this plant should have the capacity to process into small plastic pellets as much as 250 million pounds of plastic waste per year, tailored to the needs of customers conducting different kinds of chemical or mechanical recycling, he said. The company has proven its technology to make customized pellets for various recyclers “on the small scale” in a laboratory setting, he said, and “we are very confident in our ability to deliver.”

Wilfalk, the city’s top solid waste official, said after seeing drone video of waste piles at the Wright site that he was “comfortable” with the way Wright was managing the plastic waste. He thought it was better there than “at the landfill,” where he said “it’d be flying all over the place until it’s being covered.”

Wilfalk also acknowledged receiving the July 2023 letter from FCC, a company with a 15-year contract to receive, sort, recover and sell all materials that Houston residents contribute to the city’s curbside recycling program. For that effort, residents toss limited types of plastic, paper and metals into bins collected by waste haulers at the curb.

Mark Wilfalk, director of the Houston Solid Waste Management Department, talks about the city's public-private recycling collaboration during a July interview. Credit: Dwaine Scott/CBS News

FCC questioned why plastic waste collected for the collaboration was to be stockpiled at a location without necessary permits when it could be processed at the FCC-managed site , which it described as a “fully permitted, state of the art, insured facility (owned by the City of Houston) which includes not only the latest equipment for sorting, but also the most advanced systems for safety and fire prevention.”

Without naming the Wright site, Sanz, the chief executive officer of FCC Environmental Services at the time, wrote that “FCC questions whether holding recyclable materials in an unpermitted temporary storage facility would be legal, safe and/or environmentally sound and is not willing to compromise its values on a project with so many uncertainties.”

Wilfalk attributed FCC’s complaints to the possibility that the company is anxious about the collaboration’s new all-plastics approach.

“I think these are areas that … haven’t been explored to the fullest extent, and I think it makes some people in the industry nervous,” he said. “It makes them concerned. But we have to be willing to take some risk, you know?”

“[FCC] is not willing to compromise its values on a project with so many uncertainties.”

FCC declined requests to be interviewed for this story.

The Harris County Fire Marshal’s office said that as of early August, there “remained open fire code violations” at the Wright site, those described in the office’s April 30 inspection.

“It is absolutely not our goal to shut down a business in Harris County,” said fire marshal spokeswoman Brandi Dumas, as long as fire officials feel “the owner or manager is working with us and taking steps to come into compliance.”

Meanwhile, Deason’s latest tracker is now pinging from the site’s plastic waste pile.

Chris Spinder, Ben Tracy and Tracy Wholf of CBS News contributed to this report.

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James Bruggers covers the U.S. Southeast, part of Inside Climate News’ National Environment Reporting Network. He previously covered energy and the environment for Louisville’s Courier Journal, where he worked as a correspondent for USA Today and was a member of the USA Today Network environment team. Before moving to Kentucky in 1999, Bruggers worked as a journalist in Montana, Alaska, Washington and California. Bruggers’ work has won numerous recognitions, including best beat reporting, Society of Environmental Journalists, and the National Press Foundation’s Thomas Stokes Award for energy reporting. He served on the board of directors of the SEJ for 13 years, including two years as president. He lives in Louisville with his wife, Christine Bruggers.

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The site of the formerly proposed Encina chemical recycling plant for plastic waste in Point Township, Penn. Credit: James Bruggers/Inside Climate News

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AS far as electronic waste in South Africa goes, the work has only just begun. 

Fortunately, key players like E-Waste Recycling Authority (ERA) are making strides in this area, as shown by their recently released 2023 Annual Report. Responsible for processing 22% of the Department of Forestry, Fisheries and the Environment (DFFE) national target of e-waste collection for the country – achieved 91% of their waste electrical and electronic equipment (WEEE) collection target last year, with a one percent waste-to-landfill ratio. 

The latest report from the UN warns that e-waste growth is rising five times faster than documented e-waste recycling globally, with African countries recycling rates at below 1%.

“We’re happy with the results from our first year of operations for ERA and are committed to keeping momentum through our strategic partnerships, driving public awareness, engaging WEEE producers, and working closely with DFFE,” says Ashley du Plooy, ERA CEO.

In South Africa e-waste is growing at three times the rate of solid municipal waste, with the country’s largest metros facing a looming landfill crisis. To address this, the WEEE Extended Producer Responsibility (EPR) Regulations were brought into law in SA in 2021; an environmental policy aimed at producers’ responsibility for the post-consumer stage of their products life cycle. To implement these regulations, Producer Responsibility Organisations (PRO) like ERA serve as intermediaries between industry and the government. 

ERA works closely with multiple sectors of corporate South Africa and has grown their membership to over 45 producers – including household names like Defy, HP, Dell Technologies, Philips, IBM, and Smeg. Sectors that have been successfully engaged in tackling e-waste with ERA since day one are ICT and Domestic Appliances.. 

“We’re working to institutionalise our systems and establish operational routines applicable across sectors. We encourage more WEEE producers to reach out to see how we can work together towards a more sustainable South Africa,” says du Plooy.

What will it take to turn the tide on E-waste in SA?

In addition to collaborating with various industries and the DFFE to ensure the uptake of such policies, ERA works closely with service providers like recycling companies, who manage the collection and recycling of e-waste across the country. Through these efforts, the footprint of ERA’s e-waste drop-off points has grown to over 100 across the country from e-waste bins at Makro store parking lots, GeT Metal buy-back centres, to recycling service providers EWaste Africa, Desco and Recyclex, and soon at over 200 Pick n Pay stores . 

These efforts are funded by the fees and levies paid by producer members, as are their ongoing campaigns to educate the public and drive awareness for increased uptake of recycling. For their incentivised Takeback Scheme with Makro for International E-waste Day in 2023 ERA collected 164 tons of e-waste over just two days. 

Economic Potential for the Country

Densifying infrastructure and driving public awareness are but a few of the mandates ERA exhausted their budgets on in 2023, as stipulated by the EPR regulations.

“This is just the beginning – we’ve barely scratched the surface of what needs to be done,” says du Plooy. “To achieve a Circular Economy we need to address Problem Fractions such as mixed plastics, and we’d like to reduce our Waste-to-Landfill ratio to 0%. For 2024 the DFFE has a national e-waste target of 61 000 tons , and we at ERA have endeavoured to facilitate the collection of a third of this, at 20 000 tons. Watch this space.”

  • e-waste drop-off points
  • electronic waste
  • EPR regulations
  • waste to landfill

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Inner West dust and air quality has a better plan

5 september 2024.

EPA Victoria has approved Victoria's inaugural Better Environment Plan, an innovative approach to local environment management.

These plans are optional agreements to support businesses in exploring innovative solutions for issues likely to impact human health and the environment.

The Brooklyn Recycling Group is the first to register a Better Environment Plan in Victoria.

Recycling and fertiliser businesses in the Brooklyn industrial precinct – Gypsum & Fertilizer Pty Ltd, City Circle Recycling Pty Ltd, Resource Co Pty Ltd and Delta Recycling Pty Ltd – are the first companies to sign on to the new scheme.

The plan commits the group to identify and implement strategies to reduce dust pollution and improve air quality in Melbourne’s inner west.

This includes establishing natural wind breaks, installing dust monitors in more locations and undertaking a comprehensive communications campaign to ensure key stakeholders, particularly the local community, are kept informed of milestones and progress.

EPA Victoria’s Executive Director of Strategy, Suzy Neilan said EPA was pleased to have the first plan underway.

“These plans provide an opportunity to think outside the box when it comes to managing potential impacts on community and the environment,” Ms Neilan said.

“For EPA, it’s about providing guidance and information so we can all meet our environmental obligations; we need to think differently when it comes to protecting our environment.”

A spokesperson for the Brooklyn Recycling Group, Christian Buxton said the initiative represents a significant step forward for the recycling industry and environmental management across the state.

“This Better Environment Plan is an ambitious project aimed at transforming waste management practices and enhancing the circular economy.

“Our primary objective is to reduce the generation of dust from our operations. Through this partnership, we aim to create a lasting positive impact on the environment while fostering economic growth in the region, Mr Buxton said.”

The objectives and actions outlined in the BEP were developed with the support of the Victorian Government’s Clean Air for All Victorians Strategy (2022) and the recommendations of the Inner West Air Quality Community Reference report, Group Air Pollution in Melbourne’s Inner West: taking direct action to reduce our community’s exposure (2020).

The new plan is funded through the Victorian Government’s air quality strategy,   ‘Clean Air for All Victorians’ which targets air pollution hot spots and supports industry to reduce pollution.

Better Environment Plan communication tools:

Website -  brooklynrg.com.au/

Facebook -  www.facebook.com/profile.php?id=61564827702760&is_tour_dismissed

LinkedIn -  www.linkedin.com/company/brooklyn-recycling-group/about/?viewAsMember=true

Reviewed 5 September 2024

© EPA Victoria State Government of Victoria

  • Thursday, September 05, 2024

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The University of Chicago The Law School

Abrams environmental law clinic—significant achievements for 2023-24, protecting our great lakes, rivers, and shorelines.

The Abrams Clinic represents Friends of the Chicago River and the Sierra Club in their efforts to hold Trump Tower in downtown Chicago accountable for withdrawing water illegally from the Chicago River. To cool the building, Trump Tower draws water at high volumes, similar to industrial factories or power plants, but Trump Tower operated for more than a decade without ever conducting the legally required studies to determine the impact of those operations on aquatic life or without installing sufficient equipment to protect aquatic life consistent with federal regulations. After the Clinic sent a notice of intent to sue Trump Tower, the State of Illinois filed its own case in the summer of 2018, and the Clinic moved successfully to intervene in that case. In 2023-24, motions practice and discovery continued. Working with co-counsel at Northwestern University’s Pritzker Law School’s Environmental Advocacy Center, the Clinic moved to amend its complaint to include Trump Tower’s systematic underreporting each month of the volume of water that it intakes from and discharges to the Chicago River. The Clinic and co-counsel addressed Trump Tower’s motion to dismiss some of our clients’ claims, and we filed a motion for summary judgment on our claim that Trump Tower has committed a public nuisance. We also worked closely with our expert, Dr. Peter Henderson, on a supplemental disclosure and on defending an additional deposition of him. In summer 2024, the Clinic is defending its motion for summary judgment and challenging Trump Tower’s own motion for summary judgment. The Clinic is also preparing for trial, which could take place as early as fall 2024.

Since 2016, the Abrams Clinic has worked with the Chicago chapter of the Surfrider Foundation to protect water quality along the Lake Michigan shoreline in northwest Indiana, where its members surf. In April 2017, the U. S. Steel plant in Portage, Indiana, spilled approximately 300 pounds of hexavalent chromium into Lake Michigan. In January 2018, the Abrams Clinic filed a suit on behalf of Surfrider against U. S. Steel, alleging multiple violations of U. S. Steel’s discharge permits; the City of Chicago filed suit shortly after. When the US government and the State of Indiana filed their own, separate case, the Clinic filed extensive comments on the proposed consent decree. In August 2021, the court entered a revised consent decree which included provisions advocated for by Surfrider and the City of Chicago, namely a water sampling project that alerts beachgoers as to Lake Michigan’s water quality conditions, better notifications in case of future spills, and improvements to U. S. Steel’s operations and maintenance plans. In the 2023-24 academic year, the Clinic successfully litigated its claims for attorneys’ fees as a substantially prevailing party. Significantly, the court’s order adopted the “Fitzpatrick matrix,” used by the US Attorney’s Office for the District of Columbia to determine appropriate hourly rates for civil litigants, endorsed Chicago legal market rates as the appropriate rates for complex environmental litigation in Northwest Indiana, and allowed for partially reconstructed time records. The Clinic’s work, which has received significant media attention, helped to spawn other litigation to address pollution by other industrial facilities in Northwest Indiana and other enforcement against U. S. Steel by the State of Indiana.

In Winter Quarter 2024, Clinic students worked closely with Dr. John Ikerd, an agricultural economist and emeritus professor at the University of Missouri, to file an amicus brief in Food & Water Watch v. U.S. Environmental Protection Agency . In that case pending before the Ninth Circuit, Food & Water Watch argues that US EPA is illegally allowing Concentrated Animal Feeding Operations, more commonly known as factory farms, to pollute waterways significantly more than is allowable under the Clean Water Act. In the brief for Dr. Ikerd and co-amici Austin Frerick, Crawford Stewardship Project, Family Farm Defenders, Farm Aid, Missouri Rural Crisis Center, National Family Farm Coalition, National Sustainable Agriculture Coalition, and Western Organization of Resource Councils, we argued that EPA’s refusal to regulate CAFOs effectively is an unwarranted application of “agricultural exceptionalism” to industrial agriculture and that EPA effectively distorts the animal production market by allowing CAFOs to externalize their pollution costs and diminishing the ability of family farms to compete. Attorneys for the litigants will argue the case in September 2024.

Energy and Climate

Energy justice.

The Abrams Clinic supported grassroots organizations advocating for energy justice in low-income communities and Black, Indigenous, and People of Color (BIPOC) communities in Michigan. With the Clinic’s representation, these organizations intervened in cases before the Michigan Public Service Commission (MPSC), which regulates investor-owned utilities. Students conducted discovery, drafted written testimony, cross-examined utility executives, participated in settlement discussions, and filed briefs for these projects. The Clinic’s representation has elevated the concerns of these community organizations and forced both the utilities and regulators to consider issues of equity to an unprecedented degree. This year, on behalf of Soulardarity (Highland Park, MI), We Want Green, Too (Detroit, MI), and Urban Core Collective (Grand Rapids, MI), Clinic students engaged in eight contested cases before the MPSC against DTE Electric, DTE Gas, and Consumers Energy, as well as provided support for our clients’ advocacy in other non-contested MPSC proceedings.

The Clinic started this past fall with wins in three cases. First, the Clinic’s clients settled with DTE Electric in its Integrated Resource Plan case. The settlement included an agreement to close the second dirtiest coal power plant in Michigan three years early, $30 million from DTE’s shareholders to assist low-income customers in paying their bills, and $8 million from DTE’s shareholders toward a community fund that assists low-income customers with installing energy efficiency improvements, renewable energy, and battery technology. Second, in DTE Electric’s 2023 request for a rate hike (a “rate case”), the Commission required DTE Electric to develop a more robust environmental justice analysis and rejected the Company’s second attempt to waive consumer protections through a proposed electric utility prepayment program with a questionable history of success during its pilot run. The final Commission order and the administrative law judge’s proposal for final decision cited the Clinic’s testimony and briefs. Third, in Consumers Electric’s 2023 rate case, the Commission rejected the Company’s request for a higher ratepayer-funded return on its investments and required the Company to create a process that will enable intervenors to obtain accurate GIS data. The Clinic intends to use this data to map the disparate impact of infrastructure investment in low-income and BIPOC communities.

In the winter, the Clinic filed public comments regarding DTE Electric and Consumers Energy’s “distribution grid plans” (DGP) as well as supported interventions in two additional cases: Consumers Energy’s voluntary green pricing (VGP) case and the Clinic’s first case against the gas utility DTE Gas. Beginning with the DGP comments, the Clinic first addressed Consumers’s 2023 Electric Distribution Infrastructure Investment Plan (EDIIP), which detailed current distribution system health and the utility’s approximately $7 billion capital project planning ($2 billion of which went unaccounted for in the EDIIP) over 2023–2028. The Clinic then commented on DTE Electric’s 2023 DGP, which outlined the utility’s opaque project prioritization and planned more than $9 billion in capital investments and associated maintenance over 2024–2028. The comments targeted four areas of deficiencies in both the EDIIP and DGP: (1) inadequate consideration of distributed energy resources (DERs) as providing grid reliability, resiliency, and energy transition benefits; (2) flawed environmental justice analysis, particularly with respect to the collection of performance metrics and the narrow implementation of the Michigan Environmental Justice Screen Tool; (3) inequitable investment patterns across census tracts, with emphasis on DTE Electric’s skewed prioritization for retaining its old circuits rather than upgrading those circuits; and (4) failing to engage with community feedback.

For the VGP case against Consumers, the Clinic supported the filing of both an initial brief and reply brief requesting that the Commission reject the Company’s flawed proposal for a “community solar” program. In a prior case, the Clinic advocated for the development of a community solar program that would provide low-income, BIPOC communities with access to clean energy. As a result of our efforts, the Commission approved a settlement agreement requiring the Company “to evaluate and provide a strawman recommendation on community solar in its Voluntary Green Pricing Program.” However, the Company’s subsequent proposal in its VGP case violated the Commission’s order because it (1) was not consistent with the applicable law, MCL 460.1061; (2) was not a true community solar program; (3) lacked essential details; (4) failed to compensate subscribers sufficiently; (5) included overpriced and inflexible subscriptions; (6) excessively limited capacity; and (7) failed to provide a clear pathway for certain participants to transition into other VGP programs. For these reasons, the Clinic argued that the Commission should reject the Company’s proposal.

In DTE Gas’s current rate case, the Clinic worked with four witnesses to develop testimony that would rebut DTE Gas’s request for a rate hike on its customers. The testimony advocated for a pathway to a just energy transition that avoids dumping the costs of stranded gas assets on the low-income and BIPOC communities that are likely to be the last to electrify. Instead, the testimony proposed that the gas and electric utilities undertake integrated planning that would prioritize electric infrastructure over gas infrastructure investment to ensure that DTE Gas does not over-invest in gas infrastructure that will be rendered obsolete in the coming decades. The Clinic also worked with one expert witness to develop an analysis of DTE Gas’s unaffordable bills and inequitable shutoff, deposit, and collections practices. Lastly, the Clinic offered testimony on behalf of and from community members who would be directly impacted by the Company’s rate hike and lack of affordable and quality service. Clinic students have spent the summer drafting an approximately one-hundred-page brief making these arguments formally. We expect the Commission’s decision this fall.

Finally, both DTE Electric and Consumers Energy have filed additional requests for rate increases after the conclusion of their respective rate cases filed in 2023. On behalf of our Clients, the Clinic has intervened in these cases, and clinic students have already reviewed thousands of pages of documents and started to develop arguments and strategies to protect low-income and BIPOC communities from the utility’s ceaseless efforts to increase the cost of energy.

Corporate Climate Greenwashing

The Abrams Environmental Law Clinic worked with a leading international nonprofit dedicated to using the law to protect the environment to research corporate climate greenwashing, focusing on consumer protection, green financing, and securities liability. Clinic students spent the year examining an innovative state law, drafted a fifty-page guide to the statute and relevant cases, and examined how the law would apply to a variety of potential cases. Students then presented their findings in a case study and oral presentation to members of ClientEarth, including the organization’s North American head and members of its European team. The project helped identify the strengths and weaknesses of potential new strategies for increasing corporate accountability in the fight against climate change.

Land Contamination, Lead, and Hazardous Waste

The Abrams Clinic continues to represent East Chicago, Indiana, residents who live or lived on or adjacent to the USS Lead Superfund site. This year, the Clinic worked closely with the East Chicago/Calumet Coalition Community Advisory Group (CAG) to advance the CAG’s advocacy beyond the Superfund site and the adjacent Dupont RCRA site. Through multiple forms of advocacy, the clinics challenged the poor performance and permit modification and renewal attempts of Tradebe Treatment and Recycling, LLC (Tradebe), a hazardous waste storage and recycling facility in the community. Clinic students sent letters to US EPA and Indiana Department of Environmental Management officials about how IDEM has failed to assess meaningful penalties against Tradebe for repeated violations of the law and how IDEM has allowed Tradebe to continue to threaten public and worker health and safety by not improving its operations. Students also drafted substantial comments for the CAG on the US EPA’s Lead and Copper Rule improvements, the Suppliers’ Park proposed cleanup, and Sims Metal’s proposed air permit revisions. The Clinic has also continued working with the CAG, environmental experts, and regulators since US EPA awarded $200,000 to the CAG for community air monitoring. The Clinic and its clients also joined comments drafted by other environmental organizations about poor operations and loose regulatory oversight of several industrial facilities in the area.

Endangered Species

The Abrams Clinic represented the Center for Biological Diversity (CBD) and the Hoosier Environmental Council (HEC) in litigation regarding the US Fish and Wildlife Service’s (Service) failure to list the Kirtland’s snake as threatened or endangered under the Endangered Species Act. The Kirtland’s snake is a small, secretive, non-venomous snake historically located across the Midwest and the Ohio River Valley. Development and climate change have undermined large portions of the snake’s habitat, and populations are declining. Accordingly, the Clinic sued the Service in the US District Court for the District of Columbia last summer over the Service’s denial of CBD’s request to have the Kirtland’s snake protected. This spring, the Clinic was able to reach a settlement with the Service that requires the Service to reconsider its listing decision for the Kirtland’s snake and to pay attorney fees.

The Clinic also represented CBD in preparation for litigation regarding the Service’s failure to list another species as threatened or endangered. Threats from land development and climate change have devastated this species as well, and the species has already been extirpated from two of the sixteen US states in its range. As such, the Clinic worked this winter and spring to prepare a notice of intent (NOI) to sue the Service. The Team poured over hundreds of FOIA documents and dug into the Service’s supporting documentation to create strong arguments against the Service in the imminent litigation. The Clinic will send the NOI and file a complaint in the next few months.

Students and Faculty

Twenty-four law school students from the classes of 2024 and 2025 participated in the Clinic, performing complex legal research, reviewing documents obtained through discovery, drafting legal research memos and briefs, conferring with clients, conducting cross-examination, participating in settlement conferences, and arguing motions. Students secured nine clerkships, five were heading to private practice after graduation, and two are pursuing public interest work. Sam Heppell joined the Clinic from civil rights private practice, bringing the Clinic to its full complement of three attorneys.

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How To Start a Plastic Recycling Business In 9 Steps

If you’re looking for a way to help the environment and make some money, consider starting a plastic recycling business. It’s a great way to reduce waste and help keep our planet clean. 

Here are the 9 steps you can take to get started on building your very own plastic recycling business.

9 Steps to Launching a New Plastic Recycling Business

1. name your plastic recycling business.

Give your plastic recycling business an identity so people will think of it as a well-known and respected brand. You can take the name of your plastic recycling business from your industry, focus on a geographical location, or use your own name among other options.

The main goal for naming your plastic recycling business is to make it sound appealing and trustworthy so that potential customers will want to use your services.

2. Determine Your Plastic Recycling Business Model

There are several possible types of business models for a plastic recycling business including:

  • A startup that buys plastic waste from other companies and recycles it into new products.
  • A company that collects plastic waste from individuals and recycles it into new products.
  • A company that collects plastic waste from other companies and sells it to another recycling company. 

No matter which model you choose, make sure that it aligns with your business goals and the services you offer.

Read more about choosing the right business model for your plastic recycling business.

3. Choose a Legal Form for Your Business

By incorporating your plastic recycling business, you will limit your liability. You can incorporate as a Limited Liability Company (LLC), a C Corporation (C-Corp), or an S Corporation (S-Corp). Or you can operate as a sole proprietorship.

The business structure you choose for your plastic recycling business will determine the amount of taxes you pay and which state or federal tax forms you need to file.

Read our article comparing the most common plastic recycling business structures .

4. Write a Plastic Recycling Business Plan

All plastic recycling business owners should develop a business plan. 

A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business. The business plan should include information on the company’s products or services, market analysis, financial projections, and management team among other things.

When developing your plastic recycling business plan and strategy, you should think about the following questions your customers might have:

  • What services do you offer?
  • Do you accept plastic from businesses or individuals?
  • How much does it cost you to recycle plastic?
  • What types of products are made from recycled plastic?
  • Do you have any locations where customers can drop off their plastic?
  • What are your business hours?
  • Do you have a website or social media page where customers can learn more about your company?
  • What are the payment methods you accept?

Read our article about how to write a plastic recycling business plan .

5. Apply for the Necessary Permits and Licenses

There may be required licenses and permits you need to obtain before launching your plastic recycling business.

For example, you may need to obtain a general business license, a recycle license, a hazardous waste permit, and/or an air pollution permit. 

You must also register your plastic recycling business as a legal entity with the state where you plan to do business. You can simply file an online form through your Secretary of State website.

Registering with the federal government is also essential so you can properly pay taxes for your business. You will also need an Employer Identification Number (EIN), which you can apply for at the IRS website, if you plan to hire employees.

Read our article about obtaining the proper plastic recycling business licenses .

6. Determine Your Budget & Apply for Funding as Needed

In developing your plastic recycling business plan, you will figure out how much funding you need to start and grow your business.

If you have your own funds to invest in your plastic recycling business, you may consider taking advantage of that. In addition to your personal funds, other forms of potential funding for your plastic recycling business include traditional bank loans, SBA loans, credit cards, angel investors and family and friends.

Read our article about the costs associated with starting a plastic recycling business to help you determine if funding is needed. 

Read our article about how to fund your plastic recycling business . 

7. Get the Technology & Software Needed to Run Your Business Efficiently

When you start your plastic recycling business, it’s essential to have the right technology in place to maximize efficiency. You definitely need a computer with Internet access, and accounting software for tracking expenses and revenues. 

You may also want to invest in recycling software to help you manage your business. This type of software can help you keep track of customer information, inventory levels, and employee schedules.

8. Market Your Plastic Recycling Business to Potential Customers

Before you start selling your services , you have to let the world know you exist. The first step is to create a website so people can learn more about your services and how they benefit them.

After you launch your website, start promoting it through social media channels like Facebook, LinkedIn and Twitter. Also consider networking with other people in the plastic recycling industry through social media and blogs so they can help share your business. 

You also need to start gathering the materials needed to execute on your promotions strategy, which is your strategy for attracting new customers. Plastic recycling businesses should consider the following promotional strategies for which you should start getting prepared:

  • Advertising in Yellow Pages
  • Creating a Press Release
  • Creating Flyers & Business Cards
  • Sponsoring Local Events
  • Networking with Other Recycling Businesses

Read our article about how to market your plastic recycling business for more tips.

9. Get New Customers & Grow Your Business

When you promote your services , you’ll start to get interest from potential customers . 

Make sure you’re ready to serve these customers . Also, be sure to establish systems to ensure consistency and reduce costs. And be sure to find and train the right people to help you grow your plastic recycling business.

Read our article about how to effectively grow your plastic recycling business to learn more.

Starting a Plastic Recycling Business FAQs

Why start a plastic recycling business.

The plastic recycling industry has seen significant growth in recent years, due to the increasing awareness of the importance of environmental sustainability. More and more people are looking for ways to reduce their plastic waste, and recycling is one of the most effective ways to do this.

As a result, there is a growing demand for recycled plastic products and services. Starting a plastic recycling business is a great way to help the environment while also generating income.

What is Needed to Start a Successful Plastic Recycling Business?

In order to start a successful plastic recycling business, you will need a few key things:

A dedicated workspace: You will need a place to sort, clean and store the recycled plastic.

The right technology and software : You will need computers and accounting software to run your business efficiently.

Funding : You may need to raise money to cover the costs of renting space, buying equipment, and hiring employees.

Promotional materials : You will need a website and marketing materials to promote your business to potential customers.

How Can I Start a Plastic Recycling Business From Home?

If you want to start a plastic recycling business from home, there are a few things you need to keep in mind. First, you will need a dedicated workspace where you can sort, clean and store the recycled plastic. Second, you will need the right technology and software to run your business efficiently. And third, you will need to promote your business to potential customers.

How Can I Start a Plastic Recycling Business Online?

If you want to start a plastic recycling business online, there are a few things you need to keep in mind. First, you will need a website where you can promote your services and attract customers. Second, you will need the right technology and software to run your business efficiently. Third, you will need to market your business to potential customers. Lastly, you will need a physical location where you can sort and store recycled plastic.

What are Some Tips for Starting a Plastic Recycling Business?

Here are some tips for starting a plastic recycling business:

Research the market : Make sure you understand the plastic recycling process and the market for recycled plastic products before you start your business.

Create a business plan : A business plan will help you map out the steps you need to take to start and grow your business.

Raise money : You may need to raise money to cover the costs of renting space, buying equipment, and hiring employees.

Promote your business : Use a website and marketing materials to promote your business to potential customers.

Where Can I Find a Simple Checklist for Starting a Plastic Recycling Business?

A simple checklist to use when starting a plastic recycling business is as follows:

  • Choose Your Type of Plastic Recycling Firm : This should be based on what you are best at and how much experience you have. Remember to keep your interests, skills, and experience in mind at all times.
  • Name Your Plastic Recycling Business : This should be done with care, as your brand is important for attracting the right customers. A simple, memorable name will go a long way.
  • Choose a Legal Form for Your Business : Whether you choose to become a sole proprietorship, partnership, LLC, corporation or another option will depend on your business. Ensure that you are aware of all the implications of each type.
  • Determine Your Plastic Recycling Business Model : Determine how your business will make money. Will you sell products, services, or a combination of both?
  • Write a Plastic Recycling Business Plan : Your business plan will also help you determine what your start-up costs will be and will provide a roadmap with which you can launch and grow .
  • Apply for the Necessary Permits and Licenses : In most locations you will be required to apply for a business license and/or permits before you can begin operations.
  • Determine Your Budget & Apply for Funding as Needed : You will need to know how much money you have to spend on all of your business-related expenses before opening any doors. If needed, apply for a small business loan or other funding options.
  • Get the Technology & Software Needed to Run Your Business Efficiently : You need to have the right tools in place to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
  • Market Your Plastic Recycling Business to Potential Customers : A solid marketing plan will be crucial to your success. It should focus on attracting the right customers so that you can provide them with the services they truly need. 
  • Get Customers & Grow Your Business : Once you have a solid marketing plan, it's time to actively pursue and secure those who could benefit the most from your services . 

Starting a plastic recycling business can be a great way to make a difference in your community and help the environment. It’s important to research the market and plan carefully before starting out, but with the right tools and resources you can be on your way to success. Follow these tips to get started and market your business.

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    A Sample Waste Recycling Business Plan Template 1. Industry Overview. The recycling industry has become an integral part of modern society not only due to its social and economic impact but also because it plays a vital role for the future of our planet. In the world today, it is estimated that over 1 trillion tons of waste at the household ...

  2. How To Write A Waste Management & Recycling Business Plan + Template

    Writing an Effective Waste Management and Recycling Business Plan. The following are the key components of a successful waste management and recycling business plan:. Executive Summary. The executive summary of a waste management and recycling business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the ...

  3. Recycling Waste Materials Business Plan Example

    Mid-Atlantic Recycling, LLC's area of business will be to collect, recycle/compost, and market waste from municipality waste processing plants for use use as a consumer good. This recycled product will meet two critical needs: It will help meet the growing demand for organic soil enhancers and fertilizers. The material that will be recycled ...

  4. Recycling Business Plan Template (2024)

    Download Template. Create a Business Plan. Environmental benefits, high demand, and a recurring profit model make starting a recycling business a lucrative and rewarding profession. Anyone can start a new business, but you need a detailed business plan when it comes to raising funding, applying for loans, and scaling it like a pro.

  5. Plastics Recycling Business Plan Example

    Explore a real-world plastics recycling business plan example and download a free template with this information to start writing your own business plan. ... In 1998, Sam sold his interests in a medical waste treatment and plastics recycling business to a public company (Company A) based in Chicago. Since that time he has served as Vice ...

  6. How to Start a Recycling Business in 14 Steps (In-Depth Guide)

    1. Conduct Recycling Market Research. Market research is important to any new recycling program. Whether you sell recyclable materials or run a processing facility, market research offers insight into your target market, prime locations, local market saturation, local government license requirements, and more. Source.

  7. How to Create a Recycling Business Plan: Tips and Strategies

    3. Making your financial projections. A recycling business plan includes financial projections for at least the first year of operation. This projection gives you an idea about the funding you need for your business to take off. In short, it assists you to develop your financial plan as well.

  8. How to Start a Recycling Business: Your Guide to a Greener Profit

    Take a look at the logistics and costs for different business models like drop-off centers and curbside pickup. Look into the recyclable items in your area. Common ones include glass and plastics, cardboard, metal, and electronics. Take a look at the market size and the potential for recycling growth. Look at the trends in waste and analyze ...

  9. Recycling Business Plans

    Recycling Waste Materials Business Plan. Mid-Atlantic Recycling, LLC's area of business will be to collect, recycle/compost, and market waste from municipality waste processing plants for use use as a consumer good. A wide variety of materials from homes and businesses can be recycled and reprocessed. Scrap metal, building materials ...

  10. How to Start a Profitable Plastic Recycling Business [11 Steps]

    2. Draft a plastic recycling business plan. 3. Develop a plastic recycling brand. 4. Formalize your business registration. 5. Acquire necessary licenses and permits for plastic recycling. 6. Open a business bank account and secure funding as needed. 7. Set pricing for plastic recycling services. 8. Acquire plastic recycling equipment and ...

  11. How to Start a Recycling Business: 13 Steps (with Pictures)

    If you are processing recyclables, you will need employees to operate your machinery. In addition, you may also want to consider hiring employees to help with things like book keeping and marketing. 3. Get the word out. In order to succeed in this business, you will need a steady stream of recyclable materials.

  12. Greening the Future: 13 Steps to Start a Recycling Business

    The three primary recycling business niches are also steps in the overall process: Collectors - Gather, sort, store, and deliver recyclables such as plastic bottles. Processors - Recycle used materials before passing on to manufacturers. Producers - Take raw material from processors and create products.

  13. How to start a waste recycling business

    arrange for someone else to buy, sell, or dispose of waste (a broker). Registration costs £154, but operating without registration could lead to a fine of up to $5,000. When you register, you'll need all of the following: Names and dates of birth of the organisation's executives, owners, directors or partners.

  14. Waste Paper Recycling Business Plan [Sample Template]

    A Sample Waste Paper Recycling Plant Business Plan Template 1. Industry Overview. Waste paper recycling business falls under the waste collection and recycling services industry and companies that operate in the industry consists of Residential waste collection, recyclable material collection, transfer and storage facility, nonresidential waste collection, hazardous waste collection and c&d ...

  15. Plastics Recycling Sample Business Plan

    Plastics Recycling Business Plan Executive Summary The growing utilization of plastics in industrial and consumer applications, combined with increased consumer awareness surrounding solid waste recycling, has led to an increased demand for recycled plastic resins and products.

  16. PDF Start Your Waste Recycling Business Business Manual Final. 031207

    Step 2: Forecast your total costs for each month of the first year. Now forecast the costs of your business for each month of the first year. Forecast separately the direct material costs, direct labour costs and indirect costs of your business. The various types of costs are explained in Chapter 6 of this manual.

  17. PDF Start Your Waste Recycling Business Business Plan Final. 031207

    BUSINESS IDEA. Name of Business. The business is going to (write on the applicable line) provide the following product or products. provide the following service or services. run the following type of shop. The customers will be. The business will sell in the following way. The business will satisfy the following needs of the customers.

  18. The Future-Proof Business Model for Waste Management

    Boasting a circulation of more than 95,000 100% qualified subscribers, Waste Advantage Magazine is an independent publisher with staff that has more than 100 years of experience in publishing. Printed 12X annually, Waste Advantage Magazine is solely dedicated to covering the solid waste and recycling industry with one publication and one price. Our circulation delivers a blanket coverage of ...

  19. Landfills and Recycling: Inside US Waste Management

    US waste collection involves picking up and transporting waste and recyclable materials from where it was generated to a transfer station, material recovery facility, or disposal site. It comprises 63% of the $80B US waste industry with public companies comprising 34%, private companies at 16%, and municipalities at 12%.

  20. Houston's Plastic Waste, Waiting More Than a Year for 'Advanced

    That application to the TCEQ revealed a plan to store as much as 2.2 million pounds of plastic waste and a request for permission to exceed time limits for plastic waste storage.

  21. How To Start a Waste Recycling Business In 10 Steps

    5. Write a Waste Recycling Business Plan. All waste recycling business owners should develop a business plan. A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business.

  22. Solving SA's e-waste crisis requires collaboration, awareness

    AS far as electronic waste in South Africa goes, the work has only just begun. Fortunately, key players like E-Waste Recycling Authority (ERA) are making strides in this area, as shown by their recently released 2023 Annual Report. Responsible for processing 22% of the Department of Forestry, Fisheries and the Environment (DFFE) national target of […]

  23. Japan is recycling food waste back into food with fermentation

    Business. Innovation. Culture. Travel. Earth. Video. Live. Audio. Weather. Newsletters. Japan is recycling food waste back into food with fermentation. Rachel Nuwer. Food waste, including leftover ...

  24. Inner West dust and air quality has a better plan

    A spokesperson for the Brooklyn Recycling Group, Christian Buxton said the initiative represents a significant step forward for the recycling industry and environmental management across the state. "This Better Environment Plan is an ambitious project aimed at transforming waste management practices and enhancing the circular economy.

  25. Kent: Sevenoaks council drafts business park plan for former tip

    A former recycling centre in Kent that is currently used to store bins could be turned into a business park. The site, in Otford Road, Sevenoaks, was previously used by Kent County Council for ...

  26. Lagos launches reward scheme for waste recycling to boost circular

    The Lagos State government has launched a sensitization initiative aimed at promoting the circular economy as a solution to diversifying the state's resources by transforming waste into valuable assets. The awareness campaign theme: 'Eco Circulate' started in Badagry on Saturday at the St Thomas primary school, Agbalata Road.

  27. Abrams Environmental Law Clinic—Significant Achievements for 2023-24

    Protecting Our Great Lakes, Rivers, and Shorelines The Abrams Clinic represents Friends of the Chicago River and the Sierra Club in their efforts to hold Trump Tower in downtown Chicago accountable for withdrawing water illegally from the Chicago River. To cool the building, Trump Tower draws water at high volumes, similar to industrial factories or power plants, but Trump Tower operated for ...

  28. Restaurants in Yuzhno-Sakhalinsk

    Dining in Yuzhno-Sakhalinsk, Sakhalin: See 4,502 Tripadvisor traveller reviews of 297 Yuzhno-Sakhalinsk restaurants and search by cuisine, price, location, and more.

  29. How To Write a Recycling Company Business Plan + Template

    Writing an Effective Recycling Business Plan. The following are the key components of a successful recycling business plan:. Executive Summary. The executive summary of a recycling business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

  30. How To Start a Plastic Recycling Business In 9 Steps

    4. Write a Plastic Recycling Business Plan. All plastic recycling business owners should develop a business plan. A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business.