Small salvage and dismantling yard
Rent a small yard, buy damaged and written-off vehicles and sell parts or repairable cars to the trade.
- A$30k-150k
- Full-time
- Own premises
- Licence or permit needed
Estimates for a small start in Australia, not guarantees.
What it is
A small leased yard or industrial unit where you buy damaged, end-of-life and written-off vehicles, dismantle them, store the parts and sell them over the counter, online and to repairers. Some vehicles may be sold whole where allowed.
Your first three steps
- Check your state's licensing body for dealer or dismantler requirements and your council for zoning rules on yards
- Visit local yards and insurance auctions to learn pricing, then build a budget for yard rent, lifting gear and stock
- Set up an ABN, insurance and a simple parts inventory system, then start with a niche such as one or two vehicle brands
Who pays
Panel beaters, mechanics, fleet operators, car owners and online buyers looking for second-hand parts.
How it makes money
Parts and whole-vehicle sales, plus scrap metal from stripped shells. Margin depends on buying well at auction or from insurers and turning stock over quickly.
Skills that help
- Dismantling and mechanical skills
- Valuing vehicles and parts
- Inventory and record keeping
- Dealing with trade customers and suppliers
Watch out for
- Licensing and written-off vehicle rules vary by state, so check what applies to your stock
- Zoning, planning and environmental approvals for storing vehicles and handling fluids; check with council and your state EPA
- Waste oil, fuel, batteries, tyres and refrigerant gas need proper handling and disposal
- Public liability, property and stock insurance, plus workers compensation if you hire
- Heavy, risky work: lifting, crushing and fire hazards need safe systems
- Stock can sit unsold, tying up cash
Deep research report · Australia
Everything you need to start: small salvage and dismantling yard
Researched with live web search for Australia: real startup prices, the licences and rules, what others charge, a break-even example, how to find your first customers and a 30-day launch plan. With sources.
- Startup costs with real prices
- Licences, registration and rules
- Pricing: what others charge
- Break-even example
- Finding your first customers
- 30-day launch plan
- Risks and how to reduce them
Questions people ask
How much does it cost to start a car dismantling yard?
Startup costs are typically around $30,000 to $150,000, depending on the yard or unit you lease, your equipment, the vehicles you buy and your insurance. These are estimates, and unsold stock can tie up cash.
How much can a small dismantling yard earn?
Monthly revenue is typically estimated at around $8,000 to $40,000, depending on the vehicles you buy, the parts you sell and your mix of trade and online customers. These are estimates, not guaranteed results.
What licences and approvals should I check for a dismantling yard?
Check state licensing and written-off vehicle rules that apply to your stock, plus zoning, planning and environmental approvals with your council and state EPA. Also check handling and disposal of oil, fuel, batteries, tyres and refrigerant gas, and insurance including workers compensation if you hire.
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