Scrap recycling are profitable ventures

Every generation needs a revolution - an entrepreneurial revolution

HIgh tech SV stuff are not necessarily the best businesses and within the mental capacity of most people.  Low tech stuff can create wealth and are very profitable

Like scrap and recycling.  You are profitable on day one.

Many Indian billionaires initially made their fortune on ships for scrapping   

One of the videos I like are Pakistani craftsmen:

     1.   Repairing truck chassis, differential, transmission, using welding, hammers, hydraulic press

           lathe

     2.  Turning scrap bearings and other metals into:

           1.  Cooking utensils

           2.  Gears.

           3.  Sprockets

Its not a simple matter of buying and selling scrap metal but turning scrap into something useful

We were comparing two investment options: one in a City in an island province, the other in Rizal equal number of population

Every generation needs a revolution - an entrepreneurial revolution

We were confronted with making a choice between possible investment

                      island province                              Rizal province

Area                 3.2 hectare                                   3.5 hectare

Docs                 titled                                            tax dec (untitled)

Populations      303K                                            313 K

Competition     3 other MPs but distant               none (will be the sole MP

deal                   purchase at  P8K/sm                   JV

Cash out          P200M                                         Max 20M

Degree of        high for cash flow                        high for titling

difficulty    

What is your choice?  Which do you prefer?

When and how do you exit from your business investment

Every generation needs a revolution - an entrepreneurial revolution

For the sake of discussion and learning, we talked about a colleague and friend who made about P3-4 million into what has become a famous organic farm.  Initially somebody offered  P35 -40 million for her 3.5 hectare property located some 50+ km from our town.

Now she wants P100M+ as the only possible deal  We said that it is not possible.  That price of about P3+ per square meter would seem to be a price of someone who is not selling   Maybe a P1,500 to P2,000 /sm would be a more feasible price.   Since she/we are all ready old.

If it is going to be a residential or farm lot project, 30% of the land has still to be set aside and the investor would need cost of money or ROI

What do you think:   1.  Sell at P1=2,000/sm           2.  Sell at P3K/sm?