It’s an exciting time to be in the Plastics Recycling Equipment Business. For innovative equipment dealers and process developers, there’s more opportunity than ever…if you are willing to grow outside of the box.
Today’s plastics sustainability climate is ripe with innovation. Along with growing pressure from environmental organizations and within our plastics industry itself, there are mounting initiatives all across North America driving plastics recycling growth.
Eco supply chains are connecting Brands and Plastics Manufacturers with Waste Collectors, Plastic Recycling firms and Sustainable Raw Material suppliers, to create transparent connected Closed Loop supply chains. It isnt a passing fad. Circular Supply Chains are increasingly becoming the norm across our plastics industry and in many other industry sectors globally. Companies are working collaboratively across the supply chain to their own benefit but this collaboration is also driving growth, profitability, and innovation that benefits our entire plastics industry.
Eco supply chains are also creating significant opportunities for new and used equipment dealers that know where to find used equipment and have access and expertise in plastics recycling equipment, especially used recycling equipment. There is tremendous value having used plastic recycling equipment expetise!
Traditionally dealers buy and sell used plastic recycling equipment, and benefit on the profit margins they earn on (one time sales). The more one time sales they produce, the more annual revenue created.
Today dealers are also connecting in eco supply chains and leveraging their expertise and resources to create (ongoing long term revenue).
As example, an innovative growing plastic recycling firm developed proprietary technologies to recycle challenging “hard to recycle” plastic waste. They plan to scale their business to 100 million pounds annual plastic recycling. This innovation offers substantial growth opportunity! The innovative plastic recycling firm already owns and has the core equipment and technology in operation, however in order to scale to 100m, they need to add ancillary equipment over time such as grinders, shredders, metal separation, conveyors, wash tanks, silos, etc. This used equipment is out there and available in the market, often sitting idle or in inventory, and equipment dealers have the expertise to get it.
The challenge.. How does innovative plastic recycling firm add this ancillary equipment and at the same time manage their financial resources when they are starting out?
The answer.. Connecting in an eco supply chain whereby used equipment dealers provide the ancillary equipment “in partnership” with innovative plastic recycling firms and share the revenue of the business together.
This eco supply chain approach benefits everyone in the supply chain. Used equipment doesn’t sit idle waiting for a sale. Dealers leverage their expertise and resources for a piece of the action. Innovative plastics recycling firms gain access to much needed ancillary equipment without having to put up money. Equipment dealers earn ongoing revenue beyond the value of the used equipment. By connecting in an eco supply chain, equipment dealers and innovative plastic recycling firms (de-risk) together. Partners in an eco supply chain share revenue. Plastic recycling rates climb.
To learn more about how you can leverage your used equipment resources and expertise and develop long term revenue connecting in an eco supply chain, contact #GearedforGreen.
By Daniel Schrager, President at GearedforGreen 888-398 (GEAR) 4327 firstname.lastname@example.org, www.gearedforgreen.com
Eco supply chains