How a college project became a thriving scrap metal recycling business

When Keny Daniele drafted a feasibility study on metal recycling for a college business project, he never imagined it would evolve into Prestige Auto & Metal Recycling, a full-service scrapyard in Houston, Texas. 

Though many scrapyards are multi-generational, passed down as family businesses, Daniele started from scratch. He leveraged his education, passion for heavy equipment, and relentless drive to build an operation that has grown well beyond its scholarly beginnings.

Prestige Auto & Metal Recycling processes both ferrous and non-ferrous metals, including end-of-life vehicles, catalytic converters, and appliances. In addition to its traditional scrapyard operations, Prestige operates a self-service auto parts yard, offering an affordable way to source used car parts. Today, Daniele has an expanding business with multiple locations and ambitions to be an industry leader.

From classroom concept to industry player

Daniele's interest in metal recycling was established in childhood. As a teenager, he worked at his father's salvage yard where he developed a fascination with the massive shredders and heavy machinery used to process scrap. 

"I kind of got my feet wet in the industry with my dad's salvage yard when I was a kid. When I was 15, 16 years old, I would go sell his scrap to a scrapyard down the street," says Daniele. "And that scrapyard had a little shredder. For me it was super cool going in there in my little truck with two cars piled on top of the trailer and seeing the trains going, grabbing the cars, just throwing them in the shredder. Every time I went in there it was like Disneyland for me."

When tasked with completing a feasibility study in his Texas State University business course, Daniele naturally gravitated toward exploring the scrap metal industry. "After that [assignment], I started building a business plan, started talking to my parents about it," says Daniele. With their full support, he secured a plot of land from his family — the same site where his father's salvage yard once stood — and he began Prestige Auto & Metal Recycling while still finishing school.

"It was just me and two guys at first. I drove the truck for a while. I operated the equipment. I ran the scale. I pretty much did every job in the yard for a while," says Daniele. Over time, through networking, persistence, and a keen eye for business efficiency, Prestige grew into a formidable player in the recycling sector.

How Prestige stands out

Prestige Auto & Metal Recycling is more than a typical scrapyard; it is a comprehensive recycling facility that caters to private and commercial clients. The company's core operations revolve around purchasing scrap from a diverse supplier base (including mechanics, industrial fabrication shops, and demolition contractors) and everyday consumers looking to offload old vehicles or appliances.

One of the company's more unique features is its self-service auto parts yard. "Customers pay a three-dollar entry fee, bring their own tools, and pull the parts they need themselves. We rotate a row of about 20 cars every day, whether or not parts have been sold," says Daniele. Once a car has reached the end of its usefulness in the pick-a-part section, it is shredded, with ferrous and non-ferrous materials separated for resale.

Daniele prioritizes efficiency and customer service, ensuring that Prestige offers quick in-and-out times for sellers — typically under an hour, a significant advantage over the larger corporate-owned scrap yards in Houston. 

Daniele also strives for a closer engagement with clients: "In Houston, there are two other big shredders, and they're owned by huge, publicly traded companies. We're a little more personal. Customers that come in can talk to me directly."

Technology, equipment, and innovation in ferrous and non-ferrous metals

A critical turning point in Prestige's evolution came with the addition of a shredder — a major investment that significantly improved processing efficiency. 

"Before the shredder, we were just tied down to two or three buyers for our material. Now, we've got a steel mill in every direction, north, east, south, and west. And being in Houston, we've got a port so we can also market our scrap to the export market," says Daniele.

Daniele draws inspiration from European scrapyards, known for their highly efficient layouts and stricter environmental regulations. Prestige has adopted similar principles, improving yard organization, automation, and recycling rates to minimize waste. Investing in heavy shears, balers, and advanced sorting equipment has helped the company streamline operations and maximize the value of its materials.

Electric vehicles, artificial intelligence, and sustainability

As the recycling industry evolves, Daniele is keenly aware of the impact that electric vehicles (EVs) will have on scrapyards. 

"EVs [can be] a nightmare for recycling facilities. If an electric car catches fire, you're not putting it out — you just have to let it burn," says Daniele. The highly flammable nature of lithium-ion batteries presents new challenges, requiring scrapyards to adopt specialized handling and dismantling techniques. 

Given the complexity of hybrid and electric vehicles, Prestige has implemented additional safety measures and training protocols to ensure proper identification and handling of EV components, particularly high-voltage batteries. By taking a proactive approach, the company minimizes risks and ensures that EVs are processed safely and efficiently.

Beyond EVs, automation and artificial intelligence (AI) are shaping the future of metal recycling. Robotics and AI-powered identification systems are increasingly being used to separate valuable metals more efficiently while reducing labour-intensive processes. Recognizing the potential of AI-driven sorting systems to enhance efficiency, Daniele is actively exploring technology that can optimize the shredding and separation process.

"We're already looking into AI-powered sorting to replace manual pickers, which is one of the hardest jobs to keep filled," says Daniele.

Sustainability is another priority for Prestige. Reducing landfill waste has become a major focus, with Daniele looking into alternative ways to recycle byproducts from the shredding process. 

"Right now, about 25 percent of what we shred ends up in a landfill. In Europe, it's only about 5 percent. That's the kind of efficiency we want to get to." Daniele is also exploring tire recycling as an additional service, recognizing the environmental and financial benefits of repurposing materials that currently go to waste.

Dismantling a NASA G-III Gulfstream Jet

The metal recycling industry often presents unique and exciting opportunities, and Prestige Auto & Metal Recycling has had its share of remarkable projects. One of the most notable was the dismantling of a NASA G-III Gulfstream jet, a rare and complex job that demonstrated Prestige's ability to handle large-scale, high-profile recycling tasks.

"A guy called us and asked if we bought planes. We [had] bought some small ones before, but this was an old Gulfstream that NASA used to shuttle astronauts," explains Daniele. Taking on such a large-scale project required a well-coordinated approach. Prestige mobilized a team with an excavator-mounted heavy shear to dismantle the aircraft. "We had to take a big shear, cut the wings, and then slice the plane in half right there on site. Then we loaded it onto a truck and brought it back to our yard to finish processing."

Handling an aerospace project requires precision and efficient logistics to transport the disassembled aircraft parts. Considering the technical aspects, this project highlighted Prestige's ability to tackle complex, high-profile recycling jobs that extend beyond traditional scrap processing. 

Beyond the G-III project, Prestige has processed several other unique and fascinating items. The company has handled military tanks, locomotives, and even a 1980s Rolls-Royce limousine. These unconventional recycling jobs showcase the spectrum of materials Prestige is equipped to handle. While the G-III Gulfstream was one of the largest projects, the constant stream of unique items keeps the work dynamic and exciting. 

Expansion and the road ahead

Prestige Auto & Metal Recycling is not slowing down. Daniele recently acquired two additional scrapyards; one in Vidor, Texas, and another in Louisiana — further expanding Prestige's footprint. 

"We're in the process of buying two more yards. The yard in Vidor has a shredder, and we're also looking at opening up smaller feeder yards in Houston," explains Daniele.

These new acquisitions are part of a strategic plan to enhance Prestige's processing capacity and logistical efficiency. The Vidor yard will increase throughput and allow Prestige to process more materials in-house rather than relying on third-party facilities. This investment helps reduce transportation costs while improving control over the final product. 

Meanwhile, the Louisiana yard provides a foothold in a new regional market, broadening Prestige's reach and diversifying its supply chain. Expanding into multiple locations also allows the company to maintain greater flexibility in pricing and customer service, reinforcing its position in the competitive recycling industry.

Prestige is expanding its services for the industrial sector by offering roll-off box rentals, says Daniele. "We've purchased our own roll-off truck so now we can offer customers roll-off boxes for them to fill up with scrap, and then we'll pick them up." 

This service, introduced last year, allows commercial and industrial clients to streamline their metal disposal, making Prestige a more integrated recycling partner.

Feeding the business

In addition to these acquisitions, Prestige is exploring the possibility of establishing smaller feeder yards throughout Houston. These satellite locations would act as collection hubs, offering more convenient drop-off points for customers and ensuring a more efficient flow of materials to the primary processing yards. By increasing accessibility for both private sellers and commercial suppliers, Prestige aims to streamline its operations and further optimize its material intake.

By investing in new locations, upgraded processing capabilities, and expanded market presence, Prestige Auto & Metal Recycling continues to evolve in response to industry demands. With a commitment to efficiency, customer service, and sustainability, the company is focused on positioning itself for continued success and long-term growth in the scrap recycling sector.

Growth through partnership

Daniele has also recently partnered with Optimus Steel, a family-owned business with goals and values that align perfectly with Prestige. This is a strategic move that positions Prestige for significant growth. Initially, Daniele was looking to purchase a shredder independently, but Optimus — already a buyer of Prestige's scrap — approached him to collaborate. As a growing steel mill, they sought to secure a steady scrap supply, prioritizing the industry trend of vertical integration.

For Daniele, the partnership provided a path to scale Prestige beyond what he could achieve alone. "I looked at it as the bigger picture — do I want to be 100 percent owner of something smaller, or 60 percent owner of something huge?" With Optimus' backing, Prestige gains financial stability and greater expansion potential.

With the Houston shredder fully operational and two new yards being modernized, the focus is on optimizing these locations before pursuing further growth. The partnership has positioned Prestige as a key supplier for Optimus Steel, ensuring a steady scrap flow while expanding its own industry footprint.

Lessons from a young entrepreneur

As someone who built a successful business from the ground up, Daniele understands the challenges and opportunities that come with entrepreneurship. His first piece of advice? "Pay more attention in accounting [class]! That's the first piece of advice I give to anyone starting a business." Having navigated the financial complexities of growing Prestige, he recognizes the importance of strong financial management in building a sustainable company.

Beyond financial literacy, Daniele emphasizes the value of networking and relationships. 

"Meet as many people as you can. Relationships are everything. I built my business out of relationships," says Daniele. From his early days making industry connections at trade shows to forming long-term partnerships with suppliers and buyers, Daniele credits much of his success to maintaining strong business relationships.

His third piece of advice to aspiring entrepreneurs is to be innovative. "Try to be different from the other guys," says Daniele.

His commitment to fostering new talent extends beyond just the team at Prestige. Daniele actively collaborates with business students, helping them apply classroom knowledge to real-world industries. He has worked closely with Texas State University's business program, mentoring students as they develop feasibility studies similar to the one that launched Prestige. 

"Last year, I worked with the MBA program at Texas State, and the group I worked with developed a full feasibility study for a tire recycling company. It was great to see them go through the same process that I did," says Daniele. His continued involvement with aspiring entrepreneurs allows him to share firsthand knowledge while staying engaged with fresh ideas and perspectives.

Daniele's experience highlights the importance of innovation, adaptability, and hands-on learning. He encourages future business owners to take risks, explore new opportunities, and stay ahead of industry trends. His story — turning a college project into a multi-location operation — serves as proof that with the right mix of vision, persistence, and strategic relationships, success is achievable.