It’s hard to know if the average person can really appreciate the value of scrap wire. As a society, we waste so much, and dump so much, it seems unlikely that the average person sees any value in that trash. But for the scrap metal collector, the value is measurable, especially when business depends on it. And scrap wire can potentially be a gold mine. The going price for scrap wire is not much different than other commodities, and the price that a scrap dealer will pay depends on a number of factors. In addition, depending on the kind of wire, prices fluctuate based on the supply and demand influences that regulate the metal markets. Understanding this, and keeping a close eye on the daily pricing will have bearing on the collector’s bottom line, because clearly it’s more profitable to be selling to the dealer when prices are high.
Scrap wire usually needs sorting and separating prior to delivering to the scrap yard. Just dumping a measured ton of mixed wires at the dealer is sure to result in the lowest price possible. However, stripping and isolating the different kinds of metals will expose the core of your scrap – copper and aluminum, for example, are two types of metal that can generate more cash when well prepared and well separated. And yes, it takes time to strip wiring, but the benefits are worthwhile. With the right tools and equipment, stripping the scrap wire makes a big difference for the dealer, and can make a big difference on the price.
It’s also important to remember that separating and stripping scrap wire is not just about physically preparing the materials for the dealer. For the serious collector, it’s also about having a good understanding of the scrap material itself – in other words, what is worth the most money. For example, depending on the current daily price of copper, putting the extra work into separating and preparing #1 copper and #2 copper may deliver a better payoff than organizing aluminum cans (or vice versa). The thing is, scrap wire pricing depends heavily on the market, so it’s critical for the collector to be knowledgeable about short-term pricing trends and long-term trends. The good news is that today, with the Internet, its quite simple to keep on top of the most current prices, and being well informed makes for better decisions.
Creating a successful enterprise in scrap wire collection and scrap metal collection is very much about creating a solid relationship with a local, well-regarded scrap dealer. The serious collector will want to connect with a dealer who provides good customer service, can offer the best prices in the market, and has a willingness to work together for mutual success. A good scrap dealer will explain and clarify the nuances of the scrap market, and that’s something that can prove valuable when determining what to look for and what to collect. Finally, a good dealer relationship will also offer more of a partnership connection for the long term, where everyone can capitalize.