Tire Recovery Systems is a business model that collects used tires and turns them into products people already buy. Tires must be handled locally and under strict rules, and properly permitted processors are limited, which reduces competition.
​
The model works in three simple steps.
​
First, tires are collected from tire shops, fleets, and municipalities, typically with a pickup fee or a per-tire disposal charge. This creates steady inbound revenue and a predictable supply of material.
​
Second, tires are sorted and processed: reusable tires are pulled out for secondary sale, while the rest are shredded and separated into rubber and steel. The rubber is sold into end markets like crumb rubber and molded rubber goods, and the steel is sold as scrap.
​
Third, the business builds repeat volume through long-term relationships with large tire generators and stable offtake for rubber and steel, which smooths demand and improves pricing over time.
​
The key drivers of value are permit access, throughput capacity, and product mix. Growth comes from increasing utilization (more tires processed through the same site), improving yield and pricing (more high-value rubber outputs, less waste), and locking in reliable inbound supply and buyer relationships.
This model matters because tires are difficult to dispose of safely and require controlled processing to prevent environmental and public health risks.
Business Models
Used tires are collected → customers pay to remove them
-
Customers pay per tire or per load for removal.
-
Inbound fees supply material and cash flow.
-
Disposal requirements drive consistent volume.
Tires are processed → rubber and steel are sold
-
Tires are processed into rubber and steel.
-
Rubber is sold into end-product markets.
-
Steel is sold as scrap.
Why These Sites Win
Used tires are visible everywhere and existing recycling infrastructure struggles to keep up with volume.
Disposal risk is real
Improper tire handling creates fire, contamination, and liability exposure, pushing generators toward compliant operators.
Compliance creates stickiness
Once a processor is approved and trusted, customers rarely switch due to regulatory and audit risk.
End products already sell
Recovered rubber and steel feed established markets with existing demand, not speculative uses.
The Levers:
How Tire Recovery
Systems Scale
Tire recovery systems scale by improving decisions and recovery at each step of the process rather than simply pushing more volume.
Lever 1 - Improve Sorting Accuracy
Every tire is either reusable or recyclable, and profit depends on making the right call quickly.
-
What changes: More high-value tires are correctly identified.
-
Why it matters: Reuse generates significantly higher revenue than shredding.
-
Metric: % of tires diverted to reuse vs recycling.
{This lever does not exist in organics.}
Currently No Active Deals
Florida processing footprint: 5 plants
​
Used tires requiring recycling: ~2M per year​ in FL
​
~150,000–300,000 tires per year