2018 Winner Dynamic Recycling’s Expansion, Move to Onalaska Fueled by SBA 504 Loan

Situation

Dynamic Recycling is a one-stop shop for IT asset disposition, quality IT components for service and repair, data security, electronics recycling, scrap purchasing, and for-hire logistics. The Harter family—Miles, with his father and sister—along with company President, Curt Greeno, started Dynamic Recycling in 2007 in a 4,000-square-foot facility in La Crosse.  They launched on a small scale, manually disassembling household electronics and recycling them as their first business line. That inaugural year in business generated $40,000 in revenue.  In their second year, Miles joined Curt full time in the business, and by their third year, Dynamic Recycling was making a profit.  

As new needs and opportunities presented themselves, Harter and Greeno developed more lines of business.  Next came electronics reuse, in which they tested and remarketed items. Eventually this grew into their IT asset disposition (ITAD) division.  From there they moved into scrap purchasing from small and mid-sized clients.  Most recently they have moved into logistics, acquiring 13 trucks.  

As the business developed, its facilities needs also grew.  The company expanded from 4,000 square feet to 40,000 in five years, adding another 20,000 square feet in La Crosse.  In 2015, the company had the opportunity to relocate and expand by acquiring a 24-acre parcel and a 250,000-square-foot vacant building space in nearby Onalaska, Wisconsin.  Dynamic Recycling also opened its first satellite facility in Nashville, Tennessee, and in 2017, revenues grew to over $8 million. 

Solution

Dynamic Recycling and River Bank used SBA’s 504 program, working with lender WBD, Inc. to finance the nearly $7MM project in Onalaska with a $2.7 million 504 loan.  As CEO Miles Harter explains, “The SBA 504 loan was key because it let us keep double the cash in our business to reinvest into further growth.”  Not long after the relocation and expansion were complete, the company also began building a facility for more automated processing directly across the street, financed with industrial revenue bonds. “The Dynamic Recycling project is a great example of a bank and a borrower researching financing options to come up with the right fit for the business’ needs,” says Mike Dieckman of WBD.

Impact

Since moving to Onalaska and expanding, Dynamic Recycling has doubled its employment from 98 to 209 jobs and has seen both sales and profits continue to grow robustly each year.  The company now partners with original equipment manufacturers for its e-recycling and with Fortune 500 companies and other large organizations for its ITAD arm.  It also operates globally through its scrap processing operations.  Powered in part by its new brokerage and logistics arms, started in 2017, the company anticipates growth of 40 percent in 2018.  “SBA 504 financing has certainly played a role in facilitating our growth,” says Miles. In recognition of their business acumen, use of SBA resources, and extensive community service, SBA has selected Miles Harter and Curt Greeno as the 2018 Wisconsin Small Business Persons of the Year.

Company Name: 
Dynamic Recycling
Location: 
Onalaska, Wisconsin