How to Open a Waste Transfer Station
November 21, 2023Tired of tipping waste in someone else’s transfer station? Want to reduce costs? Want to invest in your own business? Follow M&K's guide on how to open a Waste Transfer Station.
How to open a Waste Transfer Station.
Basic Research
- Get an understanding of how the industry works. If you are currently tipping at a competitor’s waste transfer station, take the time to study what is going on.
- Speak with someone in the industry who is far enough away from you to not be a competitor.
- Accurately research the costs, legal requirements, compliance with environmental legislation. Knowing what paperwork is required is important, as many sites fail on this relatively simple issue.
Get an understanding of how the industry works.
Prepare a business plan.
It doesn’t have to be complex.
Break everything down into total cost per week (fixed & variable costs), and calculate how many skips you need to hire to break even. Assume you will not make a profit from the recyclates recovered – which is a worst case scenario.
Summary of the items to consider in your plan:
Fixed costs
- Yard rental
- Business rates
- Public and employer’s liability insurance
- Plant and vehicle lease costs
- Offices
- Office equipment and computers.
Variable Costs
- Utilities
- Phones
- Support services
- Marketing
- wages and national insurance
- Office costs
- fuel/electricity for plant and vehicles
- third party tipping costs
- maintenance costs for plant and vehicles and equipment
- disposal and recycling costs.
Prepare a business plan.
Location
Waste sites almost always need planning consent to operate. Contact your local council to check how a planning application would be received. Most councils have a pre-application form to enable you to do this (a fee will usually be payable).
Environmental Plan
Contact your environmental regulator (EA, NRW, SEPA or NIEA) to discuss a permit for the site, unless you can benefit from waste exemptions. The exemptions are limited, and normally geared around waste that has already been separated, such as cardboard or plastics. The regulator may wish to see a business plan when assessing your permit application. You will also need to have a technically competent manager to be able to operate the site.