I'd agree with you on the hot food there,
Aldaniti.
What most people probably aren't aware of is the relatively low margins on Ferrous material -especially when purchasing from Producers, either in the UK or abroad- unless one is able to get it for pennies on the pound, such as from the inexperienced public selling as a source i.e. to scrap merchants, and
in big quantities. This is a form of Arbitrage, whereby one Party may obtain a benefit by the Differential between paying for your supplies and what you may obtain from becoming the supplier to a 3rd Party in a second transaction for the same items.
It's a bit like buying a gold Sovereign in Swiss Francs because it's only thought of as a lump of metal & subsequently cheap over there, and then selling that same gold Sovereign in Pounds Sterling because it's more collectable and thus expensive in the UK. If you time it so that the currencies also have a differential in your favour, that is.
Arbitrage. Fun for all the family.
So, let's assume the best margins on the part of the purported Steel Magnate/Tycoon. Scrap metals.
For example, let's take Stainless Steel from amongst the Ferrous group and look at some prices offered to the public, acting as a seller.
I'm not going to go overboard, I'm just going to take 316 standard SS from two sources, one random and one known :
Scrap Metal Prices 2018 Manchester - Scrap Yard Manchester
Looking for Scrap Metal Prices?
The first gives £1,100/tonne [as of 22/02/2018] and the second gives £750/tonne [11/11/2016]
NB everyone's heard of Greengate, which proves Aldaniti's point - they're my go-to when I check these things!
Anyone can see that if you're doing the kinds of sums Mr Tamplin talks about, that's going to generate a serious level of turnover.
That's going to involve a lot of tonnage of Ferrous material being shifted.
All of which assumes just scrap material, because it offers the best margins for profit if you can play the Arbitrage game.
Of course, Glenn's been doing more than that, he's been fabricating, profiling, fitting
&c.
Each of which involves sourcing material, labour, overheads so on and so forth.
Oh, tax - I forgot all about tax!
And NIC, PAYE, VAT and all of that...how could I possibly forget about that?
Eh, Glenn? How could I possibly have forgotten about that? Eh, Glenn?
Eh?
Now, if it were in big quantities, either the Consumer [as buyer from & seller to] or the Competition is going to have heard of your brand - either because you want their trade [i.e. from the public] or because Competitors are watching your prices. This applies whether it's simple scrap merchanting or the more fuller range of services.
I'd have thought that with the sums purportedly involved, one would have heard of the brands involved.
If not as a Consumer, then certainly as a Competitor.
These are those various brands :
Wakefield
Complete
Trade Price
SAL
Joy
CM / CE
Surrey
24Hr
AGP
Now, has anyone heard of those at all? As Consumers?
Has anyone heard of those at all in the trade? As Competitors?
For the sake of completeness, these are the more recent ones, which may or may not be involved in the Metals Trade:
TLC
Chase
BGT
Flag in the Sand
None of those four are in the trade, with these sub-groups mainly involved in goods & services, retail and the like.
BGT just stands for 'Bliss & Glenn Tamplin'.
I'm going to put up alongside them, in due course, the levels of turnover for each of Tamplin's 'brands' where that figure is known. Of course, some have been Sydney Harboured [this is where you make correct use the word, '
allegedly'], so there aren't any figures of which to speak.
Before I go away and do that I'd just like to say that none of them has been anywhere near £7m per year, per the Dyer Danny clip at the top of Post
#1700.
I can say that right now, without even checking for completeness and putting the figures above in the interests of fairness.