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Now we have opened our doors we are starting to collect old parts off cars that do not go back as cores. As most customers don't want their parts back what's the best method of disposal? If we trash them the scrapers/dumpster divers take them. Is it worth the trouble to try to take them in for scrap?

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There's nothing worse than a bunch of old, bent, and discarded car parts laying around a shop. I think it just looks junkie and un-kept. I have one spot I put all my metal scrap (in a barrel if possible) and let the "junk lady" pick them up. She comes by every week and hauls it off. Yea, sure... she's making a buck on it, but that's OK with me. Everybody has to make a living and that's how she does it. Besides, once in a great while she'll have something on her truck that I might be able to use. Such as a piece of 1/4 steel plate one time, came in handy too. Stuff like that.

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I have a guy who comes to pick up our scrap. Very nice gentlemen whom if makes any sense is a lot more professional than the other knuckle heads picking up scrap. He even brought us his daughter's car for service, an X5 go figure :) He does give us some money for our scrap, it is highly competitive around here, there is a new junk scrap guy that comes around at least 1-2 times per week looking to pick up and buy scrap.

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  • 2 weeks later...

We have a scrap man that comes to our shop and pays cash for metal scrap. Found him on Craigslist.

Exactly. Scrap steel goes for $0.13/lb in Atlanta. Or you could post it in the craigslist free section, and you'll have 500 scrap guys at your door within ten minutes.

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I keep ours scrap in a few 55 gallon drums then sort it out and break it down every couple of months on a slow day. We break down radiators, water pumps and thermostat among other things so we can get top dollar. The guys seam to enjoy it I think because it's a good stress relief smashing things with hammers and cutting open crap with out worrying about damage unlike the normal day to day routine. Usually get around $300.

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  • 3 weeks later...

We have a spot out of the way where we save all metal junk parts. I sell the rotors for market value to the scrapers that come around. Same with the other junk except cats, sell them to a dedicated converter recycler for top dollar. Don't give it away rotors are worth. $2 each at the yard and $1-$1.50 on site. When prices are up we get 5 guys a week asking for metal . Some bigger places will put a metal bin on your site and pay you when it's full. It buys a nice dinner for your family or save up the junk for a year and go on vacation with it. It adds up.

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  • Have you checked out Joe's Latest Blog?

         13 comments
      Most shop owners would agree that the independent auto repair industry has been too cheap for too long regarding its pricing and labor rates. However, can we keep raising our labor rates and prices until we achieve the profit we desire and need? Is it that simple?
      The first step in achieving your required gross and net profit is understanding your numbers and establishing the correct labor and part margins. The next step is to find your business's inefficiencies that impact high production levels.
      Here are a few things to consider. First, do you have the workflow processes in place that is conducive to high production? What about your shop layout? Do you have all the right tools and equipment? Do you have a continuous training program in place? Are technicians waiting to use a particular scanner or waiting to access information from the shop's workstation computer?
      And lastly, are all the estimates written correctly? Is the labor correct for each job? Are you allowing extra time for rust, older vehicles, labor jobs with no parts included, and the fact that many published labor times are wrong? Let's not forget that perhaps the most significant labor loss is not charging enough labor time for testing, electrical work, and other complicated repairs.  
      Once you have determined the correct labor rate and pricing, review your entire operation. Then, tighten up on all those labor leaks and inefficiencies. Improving production and paying close attention to the labor on each job will add much-needed dollars to your bottom line.
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