If you have assets you need to liquidate, consider utilizing the services of an auction company like Wilson Auction & Realty. Typically, when companies need to recover assets, such as land, machinery or equipment, they have liquidation sales and/or auction sales.
The Purpose of Liquidation
Liquidation sales take place over a period of time with the hopes of achieving sale prices that are close to market value. These “going out of business” sales can take weeks, months or even years. Of course, if you liquidate your assets over several years, you’re likely to find buyers since time is on your side. However, keep this in mind: you have to store your stuff ‘til it sells. What’s more, the place where you keep your stuff typically costs quite a bit of money over the years, including mortgage payments, utilities, security and taxes.
Auction Liquidation Sales
Oftentimes liquidation sales turn into auction sales after the larger/largest items have been sold. This is a good way to sell off assets from a business quickly. In an auction sale, the highest bidder “wins” the item and takes it away– so this process is much faster than a typical liquidation sale. Businesses can get rid of their inventory in a couple weeks rather than a couple years. Auction companies generally do a great job of marketing their auctions such that interested bidders come out in droves to see what they can get — and thanks to online technology, bidders from around the world can join in the fun on auction day. Plus, when one bidder goes against another bidder, prices go up– this bidder competition is a great thing for the seller.
An Exit Strategy
Closing a business can be difficult. While many business owners try to find someone to take over for them, in the end succession plans don’t always work out… and then the owner has to figure out what to do with inventory and assets. As part of an exit strategy, an auction makes sense to liquidate items quickly, turning assets into cash in a short amount of time.
One of the nice things about auctions is that it’s an “as-is” sale. That means there aren’t any returns allowed. Furthermore, companies don’t have to deal with repairs… or refunds. Bidders take responsibility for what they buy, and the seller gets money when the bidder takes possession of whatever they’ve purchased.
Oftentimes companies use auctions to get a quick infusion of cash in order to pay off creditors whom they owe. The money left over goes directly to business owners. They can use that money as they see fit. Some choose to start new businesses while others retire.
Could a company run its own auction? Perhaps. But it’s best left to professionals who conduct auctions and know how to advertise them, schedule them, and get the maximum dollars for each and every item. Who would be interested in buying your business’ assets? What time of the year would be best for the auction? What about overhead expenses? These are some of the things business owners and auctioneers think about when planning auctions.
The Benefits of Using an Auction Service
Why enlist the services of a company like Wilson Auction & Realty for your liquidation auction? Wilson can market the auction, attracting interested buyers. Wilson can professionally appraise items, as well as inventory, assess, and price each item to be auctioned. And, best of all, Wilson can take care of the paperwork involved with transferring ownership of your assets to the new owners.
Do you have inventory that’s overstocked, old and/or sitting somewhere taking up space? Do you want to move that inventory and make some money on it with minimum effort? Then consider an auction. With online auctions, “the world” can find out what you’re selling– and that’s a pretty amazing thing when you think about it. For all you know, someone in another country wants to buy what you’re selling–or it could be someone just down the road. With low overhead costs and technically no time restrictions, online auctions help you sell stuff both day and night.
Ideally, you’ll make a decent profit from your sales. Whether it’s in-person or online auctions, Wilson Auction & Realty is a smart choice when your company wants to conduct a liquidation auction in Ohio, Indiana or Michigan to make money quickly. Please call 866-870-5500 for more information.