Equipment Auctions

Companies may consider equipment auctions when they are asked to leave a rental property and can’t afford to move their equipment from the space, or if the business simply fails for any number of other reasons. The goal of an equipment auction is for the struggling or failing company to quickly sell off equipment with as high a profit as possible.

The first step a company considering an equipment auction should take is to have its equipment appraised by an equipment and machinery appraiser. An appraiser will give that company three different values of its equipment – the orderly liquidation value, the forced liquidation value, and the fair market value – so that the company will have an idea of how much money it could get for its equipment at auction. After the company knows these values, it can contact an auction house. The auction house will send an e-mail blast to interested buyers and make sure that they are aware of the equipment that is up for sale for 45 days prior to the scheduled auction. Then, the live auction takes place at the facility.

In recent years, online auctions have increased in popularity. Incorporating online auctions with live auctions provides significant benefits to both buyers and sellers. Buyers can find the equipment they need without being limited by geography, and sellers have a convenient way to access a larger pool of buyers.

If you are considering an equipment auction, contact Present Value. Present Value’s certified appraisers will represent you throughout the entire transaction. They will tell you the liquidation, forced liquidation, and fair market values of your equipment, and then put you in touch with one of the two auction houses with which the company works.  

By: Present Value

Tags: equipment appraisal, equipment appraiser, Equipment Auctions, Machine Appraisals, machine appraiser

This entry was posted on Thursday, May 21st, 2009 at 5:32 pm and is filed under Equipment Auctions, Machinery & Equipment. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.