Waste processing plant as a business

Business ideas by directions

Along with the growth of cities and the percentage of the urban population, the problem of garbage becomes a real problem for human civilization. Any city becomes a real generator of a huge amount of waste that needs to be disposed of somehow, otherwise mountains of garbage will bury the streets of cities. At the same time, the growth in consumption only exacerbates the problem that city authorities are often unable to cope with. Huge areas of landfills, which are reduced to urban waste, do not save the population of cities from problems, as they worsen the overall ecology of the region and affect the health of future generations.
The creation of waste processing facilities is already at the present stage one of the very promising business areas for the coming years.
Unfortunately, the existing technologies do not yet allow to quickly, fully and efficiently sort and process industrial and household waste from various materials. In addition, the creation of a waste processing plant can hardly be attributed to investment projects that small businesses can do without attracting third-party resources.
However, the interest of city authorities in the creation of such production can help attract investment and even, to a large extent, finance it at the expense of budgetary funds.
Naturally, this requires professional study of the project and the preparation of feasibility studies with a reliable and high-quality business plan. Nevertheless, a waste processing plant, once put into operation, can become a very efficient and profitable enterprise. The profitability of such an enterprise, as calculations show, reaches 68%, which is incredible figures for other lines of business. Such high profitability is due to the fact that not just free raw materials are used for processing, but practically finished materials that are capable of producing a high yield of finished products.

So, for example, from 10 kilograms of plastic waste, 8 kg of excellent raw materials for the production of plastic products are obtained.
The main problem remains the sorting of garbage into its constituent components.
Unfortunately, experiments on the separation of household waste at the collection stage, by arranging separate containers for different types of waste, were not successful. The problem is that the population needs to have several separate containers at home to collect different types of waste, which is almost impossible due to the small size of most kitchens in residential buildings. Sorting waste directly at the waste processing plant increases costs and increases the cost of raw materials.

To solve this problem, you need to go in two ways:

  • Firstly, create conditions for the collection of certain types of waste, for example, glass or plastic bottles, cans of drinks, waste paper, etc. price for the population);
  • Secondly, it is necessary to increase the automation of waste sorting directly at the waste processing plant by installing specialized conveyors and sorting lines.

Both ways lead to some increase in the cost of the raw materials obtained. However, high profitability makes it possible to cover these costs by increasing production efficiency. To prepare a business plan, it is necessary to conduct a preliminary marketing research, assess the volume and structure of waste, make economic calculations and select the necessary equipment for a waste processing plant.

The initial cost of setting up a waste recycling plant for a small town can be in the order of $20,000. It is necessary to take into account in this amount not only the necessary funds for the equipment of the premises, the technical equipment of the waste processing plant, but also for the preparation of the project and technical documentation by professional specialists.
When preparing the project, it is necessary to pay special attention to environmental requirements and provide for the costs of environmental impact assessments.
The current costs of a waste processing business consist of waste sorting costs, staff salaries, electricity and utility bills, the purchase of chemicals for waste disinfection, transportation costs, and so on.

The high profitability of the waste processing plant after reaching full capacity allows you to recoup the initial costs within one to two years, despite the high level of investment.

On our website, you can order a high-quality and professional business plan for creating a waste processing plant, which takes into account the numerous difficulties in creating this highly profitable business.