It’s a simple fact that companies go out of business all the time. While some of these closings can be blamed on the economy, other owners relinquish control of their companies by choice. Still others may change ownership, go bankrupt, or get bought out by the competition. No matter what the reason is for closing a business, an owner will often hold a business or retail liquidation and an auction in order to sell off the property and items contained within it.
Just what gets sold during business liquidation auctions? The property itself, such as a retail space, restaurant, office, warehouse, or other building gets sold; this, however, may involve a bank or real estate company, too. Then items within a business go toward the business liquidation auctions that take place. For example, a liquidation of a restaurant would result in the tables, chairs, cooking equipment, decorations, and other fixture being sold to interested bidders.
Who purchases items at business liquidation auctions? Typically, these items would go to other businesses. Some of these businesses might turn around and sell the items themselves to make money — say, for instance, with used office equipment. Others might use those items for themselves. A retail business that’s just starting up might rely on liquidated supplies (e.g. cash registers, computers, shelving, checkout counters) to get their business going. Private sellers can also sometimes participate if they are interested in buying leftover items.
Auction liquidation services ensure that all of these items get sold, and in some cases, geography (i.e. the business’s physical location) isn’t even a factor. Today’s online auctions bring businesses closer together by allowing for greater exposure of a liquidation and more bidding time with 24/7 viewings online. While some traditional auction procedures still apply for liquidations, such as furniture, machinery and equipment appraisals, there are more options for viewing and bidding for the public.
Going through a business liquidation can be a difficult time for any business owner, but it doesn’t have to be. Working with an auction house that offers the right kind of support can simplify the process. If you think you may soon experience a bankruptcy, closing, or other incident that will cause you to liquidate your assets, speak to a legal professional and other available resources to find out what your options are. Continue.