How to Start a Recycling Business in Arizona: Business Plan, Requirements, Setup Cost, Profit, and License/Permit

Recycling can be a great business opportunity in Arizona. A large population is interested in recycling, and there is a growing market for recycled products. Beginning a recycling business can be an effective way to reduce waste and save money.

How to Start a Recycling Business in Arizona

How to start a recycling business in Arizona

Know your local recycling programs

The first thing is to contact your local municipality or recycling center to get information on recycling policies in your area. Find out which types of materials are accepted and how to prepare them for recycling. Also, ask which materials are not accepted for recycling and must be sent to the landfill.

What do you need to get started on a recycling business in Arizona?

Please find a local government agency that collects recyclable materials and contact them to find their collection schedule. You can then set up regular pickups with your designated contractor. Next, invest in the right equipment. Recycling requires specialized equipment, such as sorting machines and bales, for storage, so it’s important to ensure you have enough money to cover the costs of setting up a shop. Finally, educate yourself on the proper procedures for recycling and be prepared to answer any questions your customers may have. 

Deciding how to collect the waste material 

There are many ways to start a recycling business in Arizona. There are municipal collection programs, private businesses that collect waste from homes and businesses, and self-collection efforts that allow the public to bring their recyclable materials to designated drop-off points. Whatever route you decide to take, it is important to have solid business plans, quality equipment, and enough volunteers for pick up and sorting. When it comes to starting a recycling business, following these tips will help ensure success:

Understand the Laws: To participate in any municipal or private recycling program in Arizona, you will likely need a permit from the municipality or company collecting the waste. Make sure you understand the laws governing the program before starting your operation so that you do not incur penalties.

In case you missed it: How to Open a Gas Station in Arizona: Business Plan, Setup Cost, Profit, Requirements, and License/Permit

Outdoor Recycling

Formulate a Business Plan: A well-thought-out business plan is essential for any new business. This document should include information on your target market, estimated business operating costs, financial projections, and more. If you don’t have access to a professional planner, try online resources like The Small Business Administration (SBA) or Entrepreneur magazine.

Develop Quality Equipment: Invest in quality equipment that can handle the demands of your recycling operation.

Can you get money from recycling in Arizona?

The most common way is to contact your local municipality and ask if they offer recycling services. Another way to recycle is to set up your own recycling business. You will need a recycling truck, collection bins, labels, and a shredder or compactor. You can also find out about grants available to help you start your business.

How profitable is a recycling business in Arizona?

You can learn more about each program by visiting the website or contacting the local agency. Starting a recycling business in Arizona can be rewarding, but doing your research first is important. Ensure you have all the necessary permits and licenses and know the rules related to safety and environmental regulations. 

Figure out what materials your business will be collecting. This will help you choose the right recycling program. Next, ensure you have the necessary equipment and knowledge to run your business successfully. To determine how profitable a recycling business may be, you’ll first need to understand what materials are typically recycled. 

Common items recycled in Arizona

The most common items recycled in Arizona are plastic and aluminum cans, cardboard boxes, paper products, and electronic equipment. Another factor affecting a recycling business’s profitability is shipping and handling fees. These fees vary depending on the weight and size of the item being recycled, so it’s important to get quotes from different companies before starting your business. Overall, it’s likely that a recycling business will be profitable if it focuses on high-value items like plastic and aluminum cans rather than low-value items like paper products or electronic equipment. 

In case you missed it: How to Start a Landscaping or Lawn Care Business in Arizona: Business Plan, Cost, Profit, Requirements, and License/Permit

Recycle Bins

Understand the recycling industry in Arizona

One way to start a recycling business is to collect recyclable materials from businesses and homeowners and process them into new products or materials. Another way to start a recycling business is to collect recyclable materials from households and businesses and sell new products or materials made from these recycled materials. To get started, it is important to understand the industry. Recycling is an important part of the environmental landscape in Arizona, as it helps reduce waste and creates new products and materials from recycled materials. 

Conduct market research and feasibility studies to start a recycling business in Arizona

The Arizona Department of Environmental Quality (ADEQ) oversees environmental protection and enforces environmental laws. ADEQ has created a resource center that can help businesses comply with these regulations To conduct market research, it is important to understand what type of recycling customers are interested in.

You can also contact local recyclers and ask them about their processing rates and what items they are willing to accept. To determine feasibility studies, you will need to know how much financial investment you will put into your business and the required equipment and manpower. ADEQ also provides information on permits and fees related to recycling businesses.

Steps to create a recycling business plan in Arizona

  1. Determine how much-recycled material you can collect from your community. This will help you find the size and type of vehicle you need to collect recyclable materials.
  2. The licenses and insurance required to vary by state, so consult with your local government or licensing bureau to learn more about what’s needed to get started.
  3. Create a marketing plan that targets your area’s potential customers and highlights the benefits of recycling.
  4. Install recycling collection facilities or develop partnerships with other businesses in your community that participate in recycling programs to increase the amount of recyclable material that goes into landfills each year.
  5. Decide what kind of recycling business you want to start. Various options are available, from small home businesses to large companies with multiple locations.

In case you missed it: How to Start a Car Wash Business in Arizona: Business Plan, Setup Cost, Profit, Requirements, and License/Permit

Recyclable collectors
  1. Start by creating a business plan and researching industry trends so you can anticipate what customers want and how best to serve them.
  2. Any successful recycling business is getting organized and operating as smoothly as possible from day one. This includes setting up systems and procedures for receiving materials, tracking inventory, maintaining records, and more.
  3. Depending on your business size and location, you may need permits and licenses from state agencies like the Department of Environmental Quality (DEQ) or Local Authorities Planning Boards (LAPBs).
  4. Before starting a recycling business in AZ, it is important to understand what materials are currently being recycled and how much demand there is for that type of material. Then, you can conduct market research through surveys or customer interviews.
  5. Once you understand the market and the necessary equipment, you will need a feasibility study to determine if recycling is feasible for your business. This step includes assessing your current location, equipment requirements, and financial costs associated with starting a recycling business.
  6. Financing a recycling business can be difficult, so it is important to start planning early. You should identify potential lenders and finance options before you begin any major upfront investment into your business.

Get licenses and permits required to start a recycling business in Arizona

The recycling sector requires several licenses. You must apply for several permits before starting your smoothly-operating recycling business. The following are some instances of common licenses and permits needed:

  • Employer Identification Number (EIN)
  • Business license for operations
  • Environmental department’s permission
  • Business license to collect material

In case you missed it: How to Start a Babysitting Business in Arizona: Business Plan, Cost, Profit, Requirements, License/Permit

Glass Recycle Bin

You’ll need to get licensed and registered with the state of Arizona. This will require completing an online application, providing proof of insurance, and submitting an inspection report from a professional organization accredited by the State of Arizona Recycling Services Division (SARD). Finally, you’ll need to create a business plan and marketing strategy.

To start a recycling business in Arizona, you must get permits from the Arizona Department of Environmental Quality (ADEQ) and find reliable pickup and delivery services. You should also research the cost of different recycled materials and ensure competitive prices.

Get insurance for your recycling business in Arizona

Business insurance is an area that is frequently overlooked, even though it can be critical to your success as an entrepreneur. Here are some insurance options you can consider;

  • General liability
  • Equipment breakdown insurance
  • Business property
  • Professional liability

Tips for running a recycling business successfully in Arizona

  1. Start by researching your local regulations.
  2. Register with the State of Arizona Recycling Program and attend a recycling workshop to learn business basics.
  3. Create a business plan and track your progress.
  4. Get organized and set up systems for storing materials.
  5. Market your business locally and statewide using print, online, or social media marketing tools.
  6. Keep records of sales and expenses to monitor performance over time.

Recycling business marketing strategy in Arizona

Once you have determined your target market and developed a strategy, create a plan detailing what will be done marketing-wise each month/ week/day. This should include creating flyers or brochures, setting up websites, and conducting targeted online searches. After developing and implementing a plan, monitor results regularly; make changes based on customer feedback and consultants who may be hired to help with advertising, etc.

Recycling business set up cost in Arizona

The cost of setting up your business can vary depending on what type of recycling service you offer and where you operate. However, the average cost of starting a recycling business is around $25,000. 

In case you missed it: How to Start an Elderly Care Business in Arizona: Business Plan, Setup Cost, Requirements, Profit, and License/Permit


Most profitable recycling business ideas in Arizona

Arizona is great for starting a recycling business because of its ample land and population. The state has over 10 million people, so there are plenty of potential customers for recycling services. In addition, the weather in Arizona is generally mild, making it an ideal place to recycle materials.

Some of Arizona’s most profitable recycling businesses include electronic waste recycling, aluminum waste recycling, food-waste recycling, and scrap gold recycling. Each of these businesses has different benefits that make them appealing to consumers and business owners alike. Some recycling business ideas are;

  • Electronic waste recycling is one of the most popular businesses in Arizona because it is growing rapidly. This type of recycling focuses on recovering materials from consumer electronics such as televisions, monitors, laptops, and smartphones. Electronic waste recycling can be challenging but offers high profits if done correctly.
  • Aluminum waste recycling is another lucrative business in Arizona because the state has many Aluminum factories. Recycling aluminum into new products can be difficult and expensive, but this business offers high profits if done correctly. 
  • Food-waste recycling is another popular business in Arizona because the state’s population consumes a lot of food that could be recycled. This includes restaurants and grocery stores that throw away food instead of donating it to charity or composting it. In addition, waste collection centers specializing in food-waste recycling can provide high profits by recovering food scraps from local households and businesses.

Top commercial recycling companies in Arizona

Generated Materials Recovery 

It has been a creative problem solver for manufacturing and industrial operations for over 20 years. Generated understands that the long-term goal is to maximize revenue and minimize costs. They ultimately care about what happens within your organization and your overall success. Some of the services that specialize in generated materials recovery are: 

  • Commercial Plastic Recycling Services 
  • Commercial Metal Recycling Services 
  • Commercial Cardboard Recycling Services 
Northwest Polymers 

At Northwest Polymers, they handle plastic waste from the industrial and commercial sectors. Provide a complete ‘green’ solution to disposal needs. Northwest Polymers provides a plastic waste disposal solution that is both environmentally responsible and reliable, cost-effective, and convenient for both ends of the recycling spectrum. 

Consolidated Resources 

Consolidated Resources Incorporated is a leader in commercial and industrial recycling. They provide their customers with unparalleled customer service, and they believe that is allowed them to get to where they are today. Consolidated understands that every manufacturing environment is unique and tailors your recycling program to the specific needs of your business. 

Jepco Commercial Recycling Resources 

The mission is to offer the highest ethical standards in the industry by ensuring transparency in all business transactions, encouraging recycling by increasing by-product revenue payments, and providing education on values ​​about waste. At Jepco, they will customize a recycling program designed to meet unique service needs while maintaining your environmental goals. 

In case you missed it: How to Start a Cleaning Business in Arizona: Business Plan, Setup Cost, Profit, Requirements, and License/Permit

Recycling Unit
Recycle 1 

Recycle 1 is the company businesses trust to turn today’s waste into tomorrow’s products. They recycle plastic and paper as well as non-standard materials and by-products. 


The recycling industry is booming across the country, and there are several opportunities for entrepreneurs to get involved. First, recycling can be a great way to reduce waste and create permanent jobs. As a result, recycling is becoming more and more popular every year. Not only does it help keep our environment clean, but it’s also a great way to generate income.


Please enter your comment!
Please enter your name here