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Important Liquidators Terms
When a business liquidates its assets and merchandise, it often sells excess items at closeout prices. This gives consumers and business owners an opportunity to purchase overstock merchandise at the lowest possible prices. There are, however, several key terms that you might want to know before you try to liquidate assets owned by your business or you try to purchase overstock merchandise from a business that wants to liquidate its assets through a sale or auction.
Creditors' - When a company uses creditors' liquidation, it usually does so because a court has ordered it to sell surplus merchandise, office furniture, and other assets in order to pay its debts. In many cases, this occurs just before or after a company goes out of business.
Shareholders' - This is a voluntary form of liquidation that gives business the opportunity to sell inventory at clearance prices. The liquidation could happen during a closeout sell or an auction. Since businesses can choose this option freely, instead of being forced by a court, it is often referred to as voluntary liquidation.
Liquidation Auction - Liquidation auctions give buyers a chance to purchase furniture, computers, surplus inventory, and other products from a company that is going out of business or looking to sell a substantial portion of its business. It is important to note that new and used items are often sold at auctions. Also, you might not have an opportunity to inspect excess inventory closely before placing a bid. The rules, however, vary depending on the specific auction.
Voluntary - This occurs when a business decides to close and they take it upon themselves to sell or auction off all of their remaining product and items. They sell at clearance and wholesale prices to get rid of the items in a quick manner.
You don't have to face your sudden life changes alone, we are here to help you and your family liquidate your personal property. Call us for a consultation and find out how we can provide our services to you.
Liquidators often sell new and used merchandise at a wholesale cost. When you liquidate material goods and assets, it is generally for monetary gain. There are many department stores, flea markets, and online auctions that offer all kinds of overstock and closeout items. Some of these products are clothes, excess computer inventory, electronic products, and discount jewelry. Depending on what you are looking for, you are likely to find what you need online or at an auction. There are definitely different ways people can liquidate store items or personal assets. While some department store locations will have massive clearance sales to get rid of truckloads of merchandise, an estate owner may sell an array of new and used merchandise at a local auction or flea market. Most of these clothing and jewelry items cannot be returned. The purpose is for the seller to liquidate their assets, and for the buyer to get a great deal. You can sometimes even see liquidation sales at salvage yards. Virtually any kind of products you can imagine may be sold. Many retail and department stores simply need to get rid of the surplus of merchandise thy have in order to close a store. The web is a good way to get further details on any local overstock auctions, closeout sales, and surplus liquidators in your area. You may be able to home in on what you are looking for by searching for the specific product or item. Liquidation sales are a great way to get good bargains.