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Wednesday, June 17, 2020 8:40:29 AM
Again, National Storm Recovery, LLC was established as a company to provide tree maintenance, disaster recovery, debris hauling, removal and disposal services – services that provide it with access to a large amount of wood or tree debris. Thought of from a different perspective, the Company has access to a large amount of “feedstock” that is required to manufacture wood based mulch products. But, unlike traditional wood based mulch manufacturers who purchase their feedstock, the Company is paid to cut it, paid to haul it and paid to dispose of it. Its cost, in that limited equation, was its own disposal cost. However, by processing the tree material into mulch and selling it, the company:
i) eliminates its disposal costs,
ii) receives the feedstock it would need as a mulch manufacturer, for free,
iii) does not have to police its suppliers to ensure responsible tree harvesting, because the trees and material the company handles are either from trees and branches downed in storms or from cut as part of the care and maintenance of the trees it is paid to care for, and iv) has a “cost structure” for its feedstock that is even better that a competitor that secures feedstock using unscrupulous or irresponsible harvesting methods and/or sources.
So, by grinding, screening and packaging the tree material that it is already receiving (and is paid to receive), the Company is able to leverage is existing activities, create additional value, and position itself to substantially increase its overall revenue and earnings prospects; and d
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