Japan’s ITOCHU Corporation has concluded an agreement with TerraCycle, Inc. (headquartered in New Jersey, US), with which ITOCHU will make a full-scale entry into the recycling business, Trend reports citing the company.   ITOCHU regards ESG (Environmental, Social and Governance) issues as critical to its business operations. By cooperating with TerraCycle® globally through this agreement, ITOCHU will work to promote the development of recycling businesses worldwide, particularly in Japan and elsewhere in Asia.   Moreover, through the combination of TerraCycle’s network of brand owners, recycling technologies, recycling program operational expertise with the ITOCHU Group’s global and domestic network, ITOCHU will seek to create new business models in the recycling field, and drive the creation of a recycling-based society with a view to sustainable global development.   Recently, developments concerning the problem of disposable plastic are drawing attention both in Japan and overseas, and calls have been made for measures to combat the issue.   In Japan, around 14 percent of plastic garbage output as waste is processed by simple incineration, landfill and other methods without being recycled. For an additional 63 percent of plastic waste, Japan relies on other incineration-type solutions referred to as “thermal recycling” or “waste-to-energy.” For this reason, there are calls to promote the recycling of plastic resources by material recycling, in which used products are recovered not as garbage, but as valuable resources, and recycled and reused as new materials. TerraCycle® is a pioneering recycling company that collects items of garbage that are difficult to recycle, and recycles them into various products, based on its mission of “Eliminating the Idea of Waste®” by recycling the “non-recyclable.” The company currently operates business operations in 21 countries, working in cooperation with major consumer products manufacturers, retailers, cities and facilities to collect and recycle items of garbage—such as used diapers, cigarette butts and empty product containers and packaging—which conventionally could only be discarded and incinerated, or disposed of as landfill.

Exterior of TerraCycle’s office. (TERRACYCLE)   For nearly two decades, Trenton-based TerraCycle has built its business on waste. The company, which posted about $32 million in sales during 2018, started in 2001 as small provider of fertilizer made from worm droppings. Then it gradually expanded to become “a world leader in the collection and recycling of waste streams that are traditionally considered not recycled,” like toothbrushes and other oral care products, according to a regulatory filing TerraCycle submitted to the Securities and Exchange Commission in connection with its $25 million Regulation A stock offering last year. Courtyard at TerraCycle’s office. (TERRACYCLE) For founder and CEO Tom Szaky, 37, the journey hasn’t just been about reinventing the company. Instead, he said, “Our mission has always been to eliminate waste. We started by making products out of waste, so the product was the hero. Then we realized that if our product was the hero, we would always be chasing after the easiest waste streams. So we made output the hero, and underwent a fundamental shift to a service focus.” Under this incarnation, TerraCycle rolled out turnkey platforms, called Brand Sponsored Collection Programs, which are designed and administered for manufacturers that want to recycle their products or packaging. “For example, Colgate contracted with us to set up a national recycling program to collect and recycle its oral care products and packaging,” according to the SEC filing.

Leveraged business model

In effect, TerraCycle leverages the activities of its brand partners and others. In the Colgate partnership, schools collect empty toothpaste tubes, toothbrushes, floss containers and other used oral care waste and packaging, and then recycle them through other companies that contract with TerraCycle. The schools have an incentive, since the ones that collect the most waste can win a playground made from the recycled materials. Arrangements like these ease TerraCycle’s financial burden, since “[w]e don’t own processing facilities as it produces CAPEX risk and lowers nimbleness,” according to the SEC filing, referring to money-draining capital expenditures. “Also many processors are willing to either use their existing equipment to process our unique waste streams or install new equipment as needed. To our knowledge, no other company collects the waste streams we do for recycling, nor holds the knowledge of how to recycle these materials.” The company isn’t done evolving, added Szaky. “We always ask ourselves if we’re accomplishing our mission — eliminating waste — with our current business model. We recently asked that again and realized recycling is important, but it only solves waste at one level.” Enter Loop, a new TerraCycle enterprise that will let consumers order goods from a Loop website or from sites of partners like P&G which will be delivered to their doorstep in a reusable shipping tote. The customer pays a refundable deposit to cover the tote and, when they need to reorder the product, they place the empty package into a “Loop Tote,” for pickup directly from their home. If there’s recoverable used product left over — like diapers, pads or razors — they’re picked up to be reused or recycled. If a product refill isn’t needed, the consumer’s tote bag deposit is returned or credited to their account. Today, with a global footprint, TerraCycle has about 600 employees; about half of them are in the Trenton headquarters. Szaky said the company has a culture that’s “fun and informal while serious and rigorous in its work ethic,” and noted that’s a big part of TerraCycle’s success. He plans to keep it casual even as the company continues to expand. “The informal atmosphere spurs creativity and innovation,” he noted. “We don’t focus on how you dress; this promotes the flow of information. But as we continue to grow, we’ll have to work at keeping that fun culture, and not forget it. It’s like a plant: if you water a plant, it’s easy to keep it alive. If you neglect it, it’s very difficult to bring it back.”

Podcast interview featuring Tom Szaky discussing TerraCycle, the history of the business – where we started, where we are today and the future, as well as our regulation A offering.

Garbage is certainly the hero at the Terracycle headquarters, says Diccon Hyatt, who tells of Tom Szaky’s latest iteration, a new business model for his throwaway manufacturing business. It’s Diccon Hyatt’s cover story in the issue dated July 4 but being distributed a day early, click here, 

In the age of the internet, new technologies have provided us access to more information and more ways to connect than ever before. With the rise of social media and internet literacy emerged a new funding option for individuals and groups looking to raise money for the things they care about: crowdfunding.

You might recognize today’s guest because he was on Mixergy back in the early days of Mixergy Interviews. I learned so much from that interview. One of the best lessons was when he said, “Everybody says to work your way up to the big guys. Screw that. I want to go after Walmart, because once you get the big guy, everyone else wants to work with you.” I’m looking forward to learning even more from him. Tom Szaky is the founder of TerraCycle, a company whose a mission is to eliminate even the idea of waste by recycling the non-recyclable.

Small businesses are the foundation for a national economy. They are the backbone of communities, providing jobs, generating revenue and comprising a significant part of the state and local culture. Agile and positioned for innovation due to their size and flexibility, small business is a powerful symbol for modern capitalism, as even the world’s largest corporations today once started out as companies working to provide for the needs of everyday people.

Today TerraCycle, the company known for recycling-the-unrecyclable, announced record expansion and unprecedented revenue growth, making the last 15 months the most successful in the company's history.

Today TerraCycle, the company known for recycling-the-unrecyclable, announced record expansion and unprecedented revenue growth, making the last 15 months the most successful in the company's history.

TRENTON, N.J., March 27, 2018 /PRNewswire/ -- Today TerraCycle, the company known for recycling-the-unrecyclable, announced record expansion and unprecedented revenue growth, making the last 15 months the most successful in the company's history.