A scrap broker sources scrap from an original seller and resells it on ScrapTrade as the seller. You need no yard. You do need material to sell, authority to sell it and a clear arrangement with the person who owns it. This guide walks through a broker deal in order, using the workflow ScrapTrade publishes. It is practical about the risk: a broker keeps a margin and can lose money. It makes no promise of income and we have no earnings data. We have a commercial interest in the scrap trade.
What a broker is on ScrapTrade
To the platform you work like any other seller, with two additions: a broker classification on your account, and a reference to the original seller on each listing. The margin is arranged privately with the original seller. ScrapTrade does not calculate, deduct or distribute it. Standard platform fees apply to the sale. You are responsible, as the seller on the platform, for the listing and for seller obligations. Read the broker overview and How scrap brokering works first.
The workflow at a glance
| Step | You, the broker | Original seller | Buyer | ScrapTrade |
|---|---|---|---|---|
| 1. Set up | Register in the broker category | n/a | n/a | Marks the account as a broker |
| 2. Arrange terms | Agree price, margin and authority privately | Agrees terms with you | n/a | Not involved |
| 3. List | Create the listing and record the represented seller | Provides material details | n/a | Displays the listing |
| 4. Purchase | Receive the order | n/a | Buys through the normal process | Processes payment as for any seller |
| 5. Fulfil | Arrange collection or delivery as the seller | Releases the material as agreed | Receives the material | Handles the order |
| 6. Settle | Pay the original seller under your agreement | Receives payment from you | n/a | Not involved in your arrangement |
Step 1: register and verify
Create a free account, complete the one-time identity check, and register in the broker category. Start at Register on ScrapTrade.
Step 2: arrange terms with the original seller
This is the step that decides whether the deal is safe. ScrapTrade does not manage it, so write it down. The topics to settle are in How to Agree Terms With an Original Seller and the agreement checklist. Before you agree a price, work out your costs: transport, handling, storage, platform fees and tax.
Step 3: list with the required details
A broker lists like a seller, with extra information so each listing can be traced to the seller it represents: the account category, an original seller reference, the seller's name or business and a contact or reference ID where authorised. The original seller may be a registered ScrapTrade user or an external seller, subject to verification requirements. See broker listing requirements.
Then do what any good seller does. Sort and weigh the material, take clear photos, describe it honestly and choose how to sell it: a fixed price or an auction. See How to Price a Scrap Lot Before You List It. A listing that overstates grade, quantity or condition leads to disputes and refunds, and the broker is the seller who answers for it.
Step 4: the buyer purchases
Buyers use the normal process and do not need to take extra steps. The listing shows the broker classification and the represented seller. Payment is processed as for any seller. ScrapTrade says payment is held in escrow from confirmation until pickup or delivery is confirmed. See Trust and Safety.
Step 5: fulfil
You arrange collection or delivery as the seller, and the original seller releases the material as agreed. Keep photos, weights and documents on both sides.
Step 6: settle with the original seller
You pay the original seller under your own agreement. The biggest source of disagreement is timing. If you paid the seller before the sale and the buyer then cancels, you hold material you have paid for and not sold. A safer arrangement, if the seller will accept it, is to pay after the buyer's payment is confirmed. Put the timing in writing. We could not verify whether any given seller will agree.
What it costs
Registration is free. Your costs on a deal are the transport and handling you bear, the standard platform fees, and tax on your margin. We could not verify the fee percentages. The pricing page lists subscription plans with limits on active listings.
A worked example (invented)
You agree to buy a lot from an original seller for US$900, and list it at US$1,100. Gross margin US$200. Your costs are transport US$40 and handling US$20, so US$140 before platform fees and tax. If the buyer cancels after you have paid US$900 and you resell for US$850, you lose US$110 once costs are included (US$850 minus US$900 minus US$60). This is invented arithmetic, not a price guide. It shows why you work out costs and agree payment timing first.
Where to go next
- ScrapTrade home
- Marketplace
- Live scrap prices and calculator
- Broker margin explained
- Broker responsibilities
- Is scrap brokering right for you?
- Create a free account
Also read How to Make Money on ScrapTrade: 5 Routes. Australian readers can see a longer worked broker deal, with outcomes, in A Scrap Broker's First Deal: The Real Numbers. scrap.trade describes itself as a global marketplace, and we cannot confirm availability in every country or that your country's law allows a given deal.
What we could not verify
- What brokers earn in practice.
- Platform fee percentages.
- Whether your country treats a broker as a licensed dealer. Ask your regulator.
Frequently asked questions
Do I need my own stock to be a broker?
You list material you have sourced and have the right to sell. Whether you pay the seller first is part of your private agreement.
Who sets the margin?
You and the original seller, privately. ScrapTrade does not calculate or distribute it.
Who is responsible if the material is not as described?
The broker, as the seller on the platform.
Can the original seller be outside ScrapTrade?
Yes, subject to verification requirements.
Sources
- ScrapTrade, How scrap brokering works, Become a scrap broker, Scrap broker listing requirements and Scrap broker FAQ, as read in October 2026.
The worked example is invented. This describes ScrapTrade's published pages and is general information, not legal, tax or financial advice. ScrapTrade operates a scrap marketplace and has a commercial interest in the scrap trade.