An eBay For Steel

In early 2003, Scott Shapiro, an independent steel broker, was trolling for leads online when he came across an auction site called SteelSalvor. The site provided a way for steel importers or insurance companies to find buyers for their damaged or surplus steel, potentially putting middlemen such as Shapiro out of business. "As a steel broker, I hated -- in capital letters -- what this guy was doing," says Shapiro. "But as a businessperson, I thought it was a brilliant idea."

Shapiro, who works from Narberth, Pa., promptly flew to Houston to meet the site's owner, Scott Dawson. Dawson had worked inspecting and selling rejected steel for a marine insurance adjuster before he came up with the idea of putting the surplus steel on a virtual auction block instead.