You can start in scrap without a yard, a shredder or a warehouse. ScrapTrade offers two roles for it: scrap broker and scrap agent. They sound alike and work very differently, so the first job is choosing the right one. This guide explains each, how you earn, what you still need to pay for and the rules to check. It is based on ScrapTrade's published broker and agent pages, and we say where those pages do not answer a question.
One point first, because it comes up often: starting this way does not mean starting for nothing. You do not need a yard, but you will still use your own time, phone and transport, a broker may need money to buy material, and standard platform fees apply to sales. We explain below what is and is not stated on the ScrapTrade pages.
The two roles in one table
| Scrap broker | Scrap agent | |
|---|---|---|
| What you do | Source scrap from an original seller, then list and sell it to buyers as the seller | Work for a seller or buyer who hires you to create listings or run deals for them |
| Who you work for | Yourself, as a seller | The seller or buyer who hires you |
| How you earn | The difference between your buy price and your sell price, a margin you agree privately with the original seller | A commission set when you are hired, 5% by default |
| Who sets the rate | You and the original seller, privately | The hirer sets it at hiring, and it locks once the agreement is confirmed |
| Does ScrapTrade calculate it? | No | Yes, and it shows the calculation and payment status |
| Do you hold stock risk? | Possibly, if you buy the material | No, you are working for the owner |
| Page | Become a scrap broker | Become a scrap agent |
Source: ScrapTrade's broker and agent pages [1][2]. The roles are described in more detail in Scrap Agent vs Scrap Broker.
Becoming a scrap broker
A broker is an intermediary who sources scrap and resells it through ScrapTrade. To the platform you work like any other seller, with a broker classification on your account and a reference to the original seller on each listing [1].
The steps, as ScrapTrade describes them:
- Register in the broker category.
- Agree terms with the original seller: price, margin or commission, and your authority to sell. This is done privately.
- Create the listing with the material described and the reference to the seller you represent.
- A buyer purchases through the normal ScrapTrade process.
- The platform processes the payment as a standard seller transaction.
- You settle with the original seller under your own agreement. ScrapTrade does not manage this step [1].
How the money works. You buy or take the material on terms you agree with the original seller, then list it at your own price. The difference, before your expenses, is your potential margin. ScrapTrade does not calculate your margin, take a share of it or pay any of it to the original seller. Standard platform fees apply to the sale [1]. See Broker margin explained.
What you are responsible for. The platform treats you as the seller. You are responsible for the authenticity of the listing, for delivering what you described, for having the authority to sell and for paying the original seller [1]. Read Broker responsibilities, Listing requirements and Agreement with the original seller before you list.
Who it suits. People with contacts who have scrap, such as workshops, builders, demolition crews or factories, and who can describe and price material well. If you want to test the idea, Is scrap brokering right for you? is a good starting point.
Becoming a scrap agent
An agent works for clients. A seller or buyer hires you to create listings, respond to buyers, negotiate on their behalf and help coordinate collection, and you report to them and keep records [2].
How you are paid. The hirer sets your commission percentage when they hire you, starting from a 5% default that they can change before they confirm. Once the hiring agreement is confirmed, the rate is locked. When the deal settles, you receive the agreed commission through ScrapTrade and can see the calculation and payment status [2]. Neither page says what happens if a deal does not settle, so check the hiring agreement checklist and agent fees and commission, and ask the team.
An illustration, not a quote. If a seller hires you at 5% and the deal settles at US$10,000, the commission is US$500. According to ScrapTrade's fees page, a seller-hired commission is deducted from the seller's proceeds and a buyer-hired commission is added on top of the purchase price, so the other party's price is unchanged. This ignores platform charges, taxes and your own costs.
What helps. Material knowledge, accurate descriptions, clear communication with clients, honesty about who else you work for and good records [2]. If you need a first client, start with people you already know. See How to choose a scrap agent to understand what clients will look for in you.
The rules. You may only list material your client owns or may sell. You must describe material accurately and avoid promising a price or a buyer. Keep deals and payment on ScrapTrade. Check which licences, registrations or tax rules apply where you work, and stop and ask before handling hazardous or regulated material [2].
What it costs, and what we cannot tell you
Here is what is stated and what is not.
Stated on the ScrapTrade pages:
- No yard or warehouse is needed for either role.
- Standard platform fees apply to broker transactions.
- Agent commission is set by the hirer, 5% by default, and locked on confirmation.
- Income is not guaranteed, and results depend on finding clients or sellers and doing good work.
Not stated, so we do not claim it:
- Whether registering is free, and the exact platform fee percentages.
- How long payment takes after delivery.
- Whether a broker needs to register as a business or hold a licence in your country.
Because registration cost and fee rates are not on the pages we reviewed, do not assume "free". Check the current fees on ScrapTrade before you commit. And remember your own costs: phone, internet, transport, time and, for brokers who buy material, working capital. See How Much Money to Start a Scrap Business? for how much cash a lot of scrap ties up.
Do you need a licence or documents?
Possibly. Whether acting as a broker or agent needs a licence or registration depends on where you are and what you do. In some places, anyone buying and selling scrap, even through a platform, may count as a dealer with licensing and record-keeping duties, while in others an agent working for a commission may not. ScrapTrade's own pages say to ask your regulator or a qualified adviser [1][2]. For what the rules look like in the UK, Australia, the US, India and the UAE, and the documents you should have ready, read Scrap Business Rules and Documents by Country.
Which should you choose?
- Choose agent if you want to work for clients without owning material, you like negotiating and organising, and you want a set commission with no stock risk.
- Choose broker if you have a source of scrap, can agree a margin with the seller and are comfortable being responsible as the seller.
- Choose neither yet if you do not know your grades or your local rules. Read how to grade scrap metal and the seven things you need to start a scrap business first.
Other routes in the same family include Starting a Scrap Business With Little Capital and Scrap Business Without a Warehouse. If you need someone to handle your own scrap, see Hire a scrap agent. In Australia, see the local pages for the broker and agent roles.
How to start this week
- Read the broker page or the agent page in full.
- Ask your regulator whether your activity needs a licence or registration.
- Check ScrapTrade's current fees.
- If you are a broker, agree terms in writing with one original seller. If you are an agent, tell people you know that you can handle listings for them.
- Register on ScrapTrade when you are ready to list or take a client.
Frequently asked questions
What is the difference between a scrap broker and a scrap agent?
A broker sources scrap and resells it as the seller, earning a privately agreed margin. An agent works for a seller or buyer who hires them and earns a commission set at hiring [1][2].
Can I start without a yard or money?
You do not need a yard. You still need your own time, phone and transport, and a broker may need money to buy material. We could not confirm from the pages whether registration is free, so check current fees.
How much do scrap agents earn?
The commission set when you are hired, 5% by default. Income is not guaranteed [2].
Does ScrapTrade take part of a broker's margin?
No. It does not calculate the margin or take a share, but standard platform fees apply to the sale [1].
Do I need a licence?
It depends on where you are and what you do. Ask your regulator or a qualified adviser [1][2].
Sources
- ScrapTrade, Scrap broker, How scrap brokering works and related broker pages, as published in October 2026.
- ScrapTrade, Become a scrap agent and Hire a scrap agent, as published in October 2026.
This article describes ScrapTrade's published broker and agent pages and is general information, not legal, tax or financial advice. Fees and terms may change, so check the current pages. Income is not guaranteed. ScrapTrade operates a scrap marketplace and has a commercial interest in the scrap trade.