Our History: From a Small Yard to a Regional Leader
The story of Pallets Reuse is one of relentless growth, resourceful thinking, and an unwavering commitment to keeping good wood out of bad places.
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Every great company starts with a simple observation.
In 2009, Marcus Dalton noticed something that bothered him. Every day, perfectly usable pallets were being thrown into dumpsters behind warehouses, loaded into landfill-bound trucks, or simply left to rot in parking lots. At the same time, businesses across Portland were paying premium prices for brand-new pallets they would use once and discard.
The math was obvious. The environmental impact was staggering. And the opportunity was enormous. Marcus called his wife Elena, quit his warehouse management job, and the two of them started Pallets Reuse the very next week. What follows is the story of how a $5,000 investment and an old Ford F-150 became one of the Pacific Northwest's most trusted names in sustainable pallet solutions.
Four Chapters of Growth
Our sixteen-year journey can be understood through four distinct periods, each defined by the challenges we faced and the milestones we achieved.
The Startup Years: Grit and Gravel
The first three years of Pallets Reuse were defined by raw determination and bootstrapped resourcefulness. Marcus and Elena worked 14-hour days, seven days a week, handling every aspect of the business themselves. Marcus drove the truck, loaded pallets by hand, negotiated with warehouse managers, and came home each night smelling of sawdust and diesel. Elena managed the books from the kitchen table, fielding phone calls between caring for their two young children, processing invoices, and tracking every dollar with meticulous precision.
The breakthrough came in 2012 when a regional grocery distributor named Pacific Fresh Foods needed a reliable source of recycled pallets for their produce shipping operations. The contract was worth more than the entire previous year's revenue. To fulfill it, the Daltons had to move fast. They signed a lease on a 2-acre industrial lot, bought their first flatbed truck, and hired four new employees in the span of six weeks. The move from the cramped quarter-acre yard to a real facility with covered sorting areas and a dedicated repair bay felt like a quantum leap. For the first time, Pallets Reuse looked and felt like a real company, not just a side hustle that had gotten out of hand.
Building the Foundation: Systems and Scale
With stable contracts and a growing team, the company shifted its focus from survival to optimization. Elena designed the three-tier grading system that standardized quality across every pallet they sold. Jorge Reyes, by now promoted to lead technician, trained every new hire on repair techniques that balanced speed with structural integrity. The company invested in its first wood grinder in 2015, achieving zero-landfill status, and then made its boldest bet yet in 2016: a $200,000 heat treatment kiln that would open the door to international markets.
This period also saw the company embrace technology in ways that surprised many in the traditional pallet industry. Marcus, who had spent his warehouse career frustrated by outdated inventory systems, championed the development of a custom tracking platform that followed every pallet from the moment it arrived at the yard to the moment it left on a delivery truck. GPS tracking on the fleet, digital grading records, and automated customer notifications transformed Pallets Reuse from a hands-on operation into a data-driven business. By 2017, on-time delivery had reached 97%, and customers could track their orders in real time for the first time in the company's history.
Regional Expansion: From Portland to the Pacific Northwest
The Tacoma depot, opened in 2018, marked the beginning of Pallets Reuse's transformation from a Portland company into a true Pacific Northwest operation. The expansion was not without risk. Running a satellite location 150 miles from headquarters required new management structures, additional fleet investment, and the trust to delegate operational decisions to a team that was not under Marcus and Elena's direct supervision every day.
The COVID-19 pandemic in 2020 tested the company's resilience in ways no one could have predicted. Lumber prices tripled, new pallet supply chains broke down, and suddenly businesses that had never considered used pallets were calling five times a day asking for inventory. The team adapted with contactless pickup procedures, staggered shifts, and extended operating hours. Revenue grew 35% that year, but more importantly, the company proved that its model was not just sustainable in the environmental sense, but commercially resilient in ways that traditional pallet manufacturers were not. The launch of the Custom Solutions division in 2021 added another dimension to the business, serving manufacturers who needed non-standard pallets designed for specific applications.
Innovation and Impact: Writing the Next Chapter
The most recent chapter of the Pallets Reuse story is defined by two themes: environmental leadership and technological innovation. The fleet modernization program in 2022 replaced aging trucks with low-emission vehicles and introduced the first electric yard trucks, setting the stage for a broader electrification strategy. The Eugene depot, opened in 2023, extended the company's reach into the Willamette Valley's agricultural heartland, serving wineries, farms, and food processors who had long been underserved by pallet recyclers.
The AI-powered sorting pilot, launched in partnership with a Portland-based computer vision startup, demonstrated that technology could dramatically speed up the intake process without sacrificing accuracy. The system uses cameras mounted above the sorting line to assess pallet condition, automatically classifying each unit by grade, identifying specific damage types, and routing pallets to the appropriate repair station or recycling line. Early results showed a 40% improvement in intake speed and a 15% reduction in misgrading. The company's first annual sustainability report, published in 2024, brought all of these environmental achievements together in a single, independently verified document that customers could use for their own ESG reporting obligations.
Our Journey, Year by Year
A Pickup Truck and a Vision
Marcus and Elena Dalton founded Pallets Reuse out of a rented quarter-acre yard in Southeast Portland. With one battered pickup truck, a pallet jack, and an unshakable belief that used pallets had value, they began collecting surplus pallets from local warehouses and reselling them to small businesses. That first year, they processed just 8,000 pallets — doing every repair, every delivery, and every sales call themselves.
A Pickup Truck and a Vision
Marcus and Elena Dalton founded Pallets Reuse out of a rented quarter-acre yard in Southeast Portland. With one battered pickup truck, a pallet jack, and an unshakable belief that used pallets had value, they began collecting surplus pallets from local warehouses and reselling them to small businesses. That first year, they processed just 8,000 pallets — doing every repair, every delivery, and every sales call themselves.
The First Hire
Demand grew faster than Marcus and Elena could handle alone. They brought on their first employee, Jorge Reyes, a skilled carpenter who could repair damaged pallets twice as fast as anyone they had seen. Jorge introduced systematic repair grading that would become the foundation of Pallets Reuse's quality standards. By year's end, the team of three was processing 22,000 pallets annually.
The First Hire
Demand grew faster than Marcus and Elena could handle alone. They brought on their first employee, Jorge Reyes, a skilled carpenter who could repair damaged pallets twice as fast as anyone they had seen. Jorge introduced systematic repair grading that would become the foundation of Pallets Reuse's quality standards. By year's end, the team of three was processing 22,000 pallets annually.
Moving to Industrial Scale
The small yard could no longer keep up. The company moved to a 2-acre facility in the Portland industrial district, complete with covered sorting areas, a dedicated repair bay, and room for inventory. This was also the year they purchased their first flatbed truck, ending their dependence on rental vehicles. The larger operation allowed them to take on their first major contract: supplying recycled pallets to a regional grocery distributor.
Moving to Industrial Scale
The small yard could no longer keep up. The company moved to a 2-acre facility in the Portland industrial district, complete with covered sorting areas, a dedicated repair bay, and room for inventory. This was also the year they purchased their first flatbed truck, ending their dependence on rental vehicles. The larger operation allowed them to take on their first major contract: supplying recycled pallets to a regional grocery distributor.
Building the Team
With the grocery contract providing stable revenue, Pallets Reuse expanded its team to twelve employees. They formalized their grading system into three tiers — Grade A (like new), Grade B (good condition), and Grade C (economy) — giving customers clear expectations and consistent quality. The company also began offering pickup services, paying businesses for their used pallets rather than just sourcing from one-off collections.
Building the Team
With the grocery contract providing stable revenue, Pallets Reuse expanded its team to twelve employees. They formalized their grading system into three tiers — Grade A (like new), Grade B (good condition), and Grade C (economy) — giving customers clear expectations and consistent quality. The company also began offering pickup services, paying businesses for their used pallets rather than just sourcing from one-off collections.
The Recycling Revolution
Not every pallet can be repaired. Recognizing this, Pallets Reuse invested in its first wood grinding equipment, transforming irreparable pallets into landscape mulch, animal bedding, and biomass fuel. This closed the loop: now every single pallet that came through the yard had a destination other than a landfill. The recycling program also created a new revenue stream and attracted environmentally conscious customers who valued the zero-waste approach.
The Recycling Revolution
Not every pallet can be repaired. Recognizing this, Pallets Reuse invested in its first wood grinding equipment, transforming irreparable pallets into landscape mulch, animal bedding, and biomass fuel. This closed the loop: now every single pallet that came through the yard had a destination other than a landfill. The recycling program also created a new revenue stream and attracted environmentally conscious customers who valued the zero-waste approach.
Heat Treatment and International Markets
International shipping regulations require ISPM-15 certified heat treatment for wood packaging materials. Pallets Reuse invested over $200,000 in a state-of-the-art heat treatment kiln, becoming one of only a handful of certified facilities in Oregon. This opened up a whole new market: exporters who needed compliant pallets for overseas shipments. Companies shipping electronics to Asia, wine to Europe, and machinery to South America became loyal customers.
Heat Treatment and International Markets
International shipping regulations require ISPM-15 certified heat treatment for wood packaging materials. Pallets Reuse invested over $200,000 in a state-of-the-art heat treatment kiln, becoming one of only a handful of certified facilities in Oregon. This opened up a whole new market: exporters who needed compliant pallets for overseas shipments. Companies shipping electronics to Asia, wine to Europe, and machinery to South America became loyal customers.
Technology Meets Timber
While the pallet industry is often seen as low-tech, Pallets Reuse embraced technology early. They rolled out a custom inventory management system that tracked every pallet from intake to sale, giving customers real-time visibility into their orders. GPS-equipped trucks enabled optimized delivery routes and accurate ETAs. The technology investment reduced delivery costs by 18% and improved on-time delivery to 97%.
Technology Meets Timber
While the pallet industry is often seen as low-tech, Pallets Reuse embraced technology early. They rolled out a custom inventory management system that tracked every pallet from intake to sale, giving customers real-time visibility into their orders. GPS-equipped trucks enabled optimized delivery routes and accurate ETAs. The technology investment reduced delivery costs by 18% and improved on-time delivery to 97%.
Expanding North: The Seattle Push
Requests from businesses north of Portland had been growing for years. In 2018, Pallets Reuse established a satellite depot in Tacoma, Washington, giving them efficient access to the entire Seattle-Tacoma metro area. Two dedicated trucks ran the I-5 corridor daily, and the company's service area effectively doubled overnight. Annual processing volume crossed the 250,000 pallet mark for the first time.
Expanding North: The Seattle Push
Requests from businesses north of Portland had been growing for years. In 2018, Pallets Reuse established a satellite depot in Tacoma, Washington, giving them efficient access to the entire Seattle-Tacoma metro area. Two dedicated trucks ran the I-5 corridor daily, and the company's service area effectively doubled overnight. Annual processing volume crossed the 250,000 pallet mark for the first time.
Ten Years and Growing
Pallets Reuse celebrated its tenth anniversary with 45 employees, three facilities, and a reputation as one of the most reliable pallet companies in the Pacific Northwest. The company marked the occasion by launching its community recycling program, offering free pallet drop-off for small businesses and individuals. They also received the Oregon Sustainability Award for their zero-landfill operations and commitment to the circular economy.
Ten Years and Growing
Pallets Reuse celebrated its tenth anniversary with 45 employees, three facilities, and a reputation as one of the most reliable pallet companies in the Pacific Northwest. The company marked the occasion by launching its community recycling program, offering free pallet drop-off for small businesses and individuals. They also received the Oregon Sustainability Award for their zero-landfill operations and commitment to the circular economy.
Resilience Through Challenge
The COVID-19 pandemic disrupted supply chains worldwide, and the pallet industry was no exception. While new pallet prices skyrocketed due to lumber shortages, Pallets Reuse's model became more valuable than ever. Companies that had never considered used pallets suddenly needed them. The team adapted quickly with contactless pickups, enhanced safety protocols, and extended hours. Despite the uncertainty, revenue grew 35% as recycled pallets became essential infrastructure.
Resilience Through Challenge
The COVID-19 pandemic disrupted supply chains worldwide, and the pallet industry was no exception. While new pallet prices skyrocketed due to lumber shortages, Pallets Reuse's model became more valuable than ever. Companies that had never considered used pallets suddenly needed them. The team adapted quickly with contactless pickups, enhanced safety protocols, and extended hours. Despite the uncertainty, revenue grew 35% as recycled pallets became essential infrastructure.
The Custom Solutions Division
Recognizing that many customers needed more than standard pallets, the company launched its Custom Solutions division. This team works with manufacturers, agricultural operations, and specialty shippers to design and build pallets to exact specifications. From oversized pallets for aerospace components to food-grade plastic pallets for pharmaceutical distribution, the division quickly became one of the company's fastest-growing segments.
The Custom Solutions Division
Recognizing that many customers needed more than standard pallets, the company launched its Custom Solutions division. This team works with manufacturers, agricultural operations, and specialty shippers to design and build pallets to exact specifications. From oversized pallets for aerospace components to food-grade plastic pallets for pharmaceutical distribution, the division quickly became one of the company's fastest-growing segments.
A Fleet to Match the Mission
Pallets Reuse upgraded its entire fleet to low-emission vehicles, investing in newer diesel trucks with advanced emissions controls and adding two electric yard trucks. The fleet expansion also included specialized trailers that could carry up to 800 pallets per load, dramatically improving transportation efficiency. The company set a goal to transition 50% of its over-the-road fleet to alternative fuels by 2027.
A Fleet to Match the Mission
Pallets Reuse upgraded its entire fleet to low-emission vehicles, investing in newer diesel trucks with advanced emissions controls and adding two electric yard trucks. The fleet expansion also included specialized trailers that could carry up to 800 pallets per load, dramatically improving transportation efficiency. The company set a goal to transition 50% of its over-the-road fleet to alternative fuels by 2027.
Southern Expansion and Innovation
With Portland and Seattle well served, Pallets Reuse turned south, opening a collection and distribution point near Eugene, Oregon. This brought the Willamette Valley's agricultural businesses — wineries, farms, and food processors — into easy reach. The same year, the company piloted an AI-powered sorting system that could assess pallet condition using computer vision, speeding up the intake process by 40%.
Southern Expansion and Innovation
With Portland and Seattle well served, Pallets Reuse turned south, opening a collection and distribution point near Eugene, Oregon. This brought the Willamette Valley's agricultural businesses — wineries, farms, and food processors — into easy reach. The same year, the company piloted an AI-powered sorting system that could assess pallet condition using computer vision, speeding up the intake process by 40%.
The Half-Million Milestone
In March 2024, Pallets Reuse processed its 500,000th pallet for the year, months ahead of schedule. The milestone underscored the company's growth trajectory and its role as a critical part of the Pacific Northwest's supply chain ecosystem. The company also published its first annual sustainability report, documenting the 3.2 million board feet of lumber saved, 850 tons of waste diverted from landfills, and the 40% lower carbon footprint of reused pallets versus new ones.
The Half-Million Milestone
In March 2024, Pallets Reuse processed its 500,000th pallet for the year, months ahead of schedule. The milestone underscored the company's growth trajectory and its role as a critical part of the Pacific Northwest's supply chain ecosystem. The company also published its first annual sustainability report, documenting the 3.2 million board feet of lumber saved, 850 tons of waste diverted from landfills, and the 40% lower carbon footprint of reused pallets versus new ones.
Looking Ahead
Pallets Reuse entered 2025 with 75+ employees, plans for additional satellite locations in Boise and Spokane, and a bold vision: to become the most sustainable pallet company on the West Coast. Investments in solar panels for the Portland facility, expanded heat treatment capacity, and a new customer portal are all in the works. The same values that guided Marcus and Elena in 2009 — sustainability, integrity, and service — continue to drive every decision.
Looking Ahead
Pallets Reuse entered 2025 with 75+ employees, plans for additional satellite locations in Boise and Spokane, and a bold vision: to become the most sustainable pallet company on the West Coast. Investments in solar panels for the Portland facility, expanded heat treatment capacity, and a new customer portal are all in the works. The same values that guided Marcus and Elena in 2009 — sustainability, integrity, and service — continue to drive every decision.
By The Numbers Over The Years
Growth is not just about revenue. Here is how our key metrics have evolved across every dimension of our business.
| Metric | 2009 | 2012 | 2015 | 2018 | 2021 | 2024 |
|---|---|---|---|---|---|---|
| Employees | 2 | 8 | 20 | 35 | 55 | 75+ |
| Pallets Processed (Annual) | 8K | 100K | 175K | 250K | 380K | 500K+ |
| Facilities | 1 | 1 | 1 | 2 | 2 | 3 |
| Trucks in Fleet | 1 | 2 | 5 | 10 | 14 | 18 |
| Service Area (Miles) | 25 | 50 | 75 | 200 | 250 | 350+ |
| Customer Accounts | 12 | 85 | 180 | 320 | 480 | 620+ |
| Landfill Diversion Rate | 60% | 75% | 100% | 100% | 100% | 100% |
Revenue Growth (2009-2024)
From $42K to $1.8M+
Cumulative Pallets Processed
Since founding in 2009
Total Lumber Saved
Board feet since 2009
Customer Retention (2024)
Year-over-year repeat
Our Growth Story
Years in Business
Founded 2009
Pallets Per Year
And growing
Team Members
From 2 founders
Facilities
Portland, Tacoma, Eugene
Looking Forward: 2025 and Beyond
Our history gives us confidence, but our ambitions keep us moving. Here is where we are headed next.
West Coast Expansion
We have our sights set on Boise, Idaho and Spokane, Washington as the next two satellite depot locations. Both cities are growing logistics hubs with strong demand for recycled pallet supply. Our feasibility studies are complete, lease negotiations are underway, and we expect to have both locations operational by mid-2026. Longer term, we are evaluating opportunities in Northern California's Sacramento Valley, which would extend our reach to five states and make Pallets Reuse the largest independent pallet recycler on the West Coast.
Solar-Powered Operations
Our Portland headquarters will receive a 200-kilowatt rooftop solar array in 2025, expected to generate approximately 240,000 kWh annually and offset roughly 65% of the facility's electricity consumption. Combined with LED lighting upgrades already completed and planned battery storage installation, we project our Portland facility will reach net-zero electricity by 2027. The Tacoma and Eugene depots will follow with their own solar installations in 2027 and 2028 respectively.
Fleet Electrification
Building on our two electric yard trucks, we plan to add four electric delivery vans for local Portland deliveries by late 2025. These vehicles, with a range of approximately 150 miles per charge, are ideal for the short-haul urban deliveries that make up 40% of our Portland route miles. By 2027, we aim to have 50% of our total fleet running on alternative fuels, including electric, biodiesel, and compressed natural gas. We are also partnering with GreenFleet Northwest on charging infrastructure at all three of our facilities.
AI and Automation
The success of our AI sorting pilot in 2023 has convinced us to move forward with a full-scale deployment. The computer vision system will be expanded to cover all intake lanes at the Portland facility by Q3 2025, and we are developing a companion system that will assist with quality control on the repair line. We are also exploring robotic pallet stacking for high-volume orders, which could reduce physical strain on our production team while improving stack consistency and warehouse density. Our goal is not to replace human judgment, but to augment it with data and automation where it makes the biggest difference.
The Most Sustainable Pallet Company on the West Coast
By 2030, we envision Pallets Reuse operating in five states with eight or more facilities, processing over one million pallets annually, and running an entirely carbon-neutral operation from facility to delivery. We want to be the company that proves, at scale, that the circular economy is not a niche concept but a mainstream business model.
Marcus and Elena started this company because they saw waste where others saw garbage. That same perspective drives us today. Every pallet is an opportunity. Every business relationship is a chance to show that sustainability and profitability go hand in hand. And every year, we get a little closer to the world we want to help build: one where nothing useful is ever thrown away.
The Story Continues
Looking back at where we started, it is hard to believe how far we have come. But looking forward, we see even more opportunity. The demand for sustainable pallet solutions is growing every year as businesses recognize that reuse is not just good for the environment — it is good for the bottom line.
We are grateful to every customer, employee, and partner who has been part of this journey. The next chapter of Pallets Reuse will be written together.