- What Is An Auction?
An auction is a sale of personal or real property conducted by a sales and marketing professional called an auctioneer. Auctions are usually open to the general public and are generally characterized by the auctioneer asking for bids until he obtains an opening price. Once the bottom price has been established, the auctioneer will keep increasing the price until a final hammer price is obtained. Auction prices, due to the competitive bidding by potential buyers, are considered by many authorities to be the true measure of fair market value.
- What Happens At An Auction?
Most auctions throughout the country contain the same general agenda elements. The first and perhaps most important part of the auction is the preview period. This is a time period that is set aside for potential bidders to inspect the items that will be offered for sale. Since most auctions offer no guarantees or warranties on purchased items, it is imperative that auction attendees use this time wisely to determine what items they want to bid on and how much they are willing to spend.
The next major event of the auction sale is the actual start of the auction. At this time the auctioneer will introduce himself and his staff and provide several important announcements governing the sale process. The opening statements will most likely reiterate the fact that no items offered for sale have warranties or any guarantees. Other important statements may include but is not limited to discussing what forms of payment will be accepted, the order in which the merchandise will be sold, whether there are any sale day deviations that are in effect which contradict earlier printed matter, reminders that only registered bidders can participate in the sale, and sales taxes are in effect.
At this point the auction is now in full progress! All attendees will now be focused on the item(s) currently up for sale. Now the auctioneer will successively ask for bids until he obtains an opening price. Once the bottom price has been established, the auctioneer will keep increasing the price until a final hammer price is obtained. At that point in time, unless there are any reserve bids which are not met, the item is officially knocked down to the last bidder. The details of the transaction (bidder, amount, hammer price) are recorded by the clerk and this entire process is repeated until all lots in the auction are sold.
When the lots you are interested in are all sold, the settlement process begins. At this stage all buyers take their bidder cards to the cashier so that they can be presented with an itemized bill that records the details of all of their purchases. Only after a buyer's account has been paid can he then remove his purchased items from the sale site. In nearly all cases, unless prior arrangements have been made, all items must be removed from the premises within a specified amount of time.
- What Types Of Items Are Sold At Auction?
This list is virtually endless and includes but is not limited to the following items: automobiles, fine art and antiques, residential, commercial, and industrial real estate, livestock, stocks, bonds, and other financial instruments, mineral and drilling rights, FCC broadcast rights, song royalties, trademarks, and copyrights, and much more. In short, anything that is legal, whether tangible or intangible, can be successfully sold at auction.
- Why Attend An Auction?
Auctions are a lot of fun! Only at an auction sales event can you receive clean and wholesome family entertainment, such as witnessing the drama of an unfolding bidding war for a treasured item and acquiring an opportunistic chance to buy items and services at significant discounts.
Furthermore, the variety of items available for sale are unequaled by regular retail establishments. You just never know what interesting, rare, or unusual items will be sold. So if you are looking for wholesome fun, an opportunity to save money, or need to locate an unusual antique to complete the decor of your living room, plan on attending an auction today.
- How Much Does It Cost To Attend An Auction?
Auctions do not have admission fees. As such, whenever you come down with an acute case of auction fever, feel free to attend the closest auction (hopefully it'll be ours) and buy something! All you need is a valid driver's license to register at our Auctions.
- Why Would I Want To Have An Auction?
The reasons why someone would want to sell items at auction are as numerous and as varied as the circumstances why people want to buy at auction. Some may wish to employ the services of a professional auctioneer if there has been a loss of loved one and an estate to settle. Many others may do so because desire they desire to close their businesses and liquidate their holdings, while others call when they wish to reduce their inventories of items and create more space for other items. However, in every case of an item sold at auction, true market value will be obtained, the item is guaranteed of being sold, and you know exactly when it will be sold. So before you have a going-out-of-business sale or a garage/estate tag sale, call a qualified auctioneer ASAP!
- How Long Will It Take To Schedule An Auction?
The amount of time necessary to adequately prepare for a professional auction is different for each sale as specific
characteristics may radically differ. For example, a business liquidation auction will require a state-wide county by county Uniform Commercial Code search. Likewise, an auction of real property will require a title search, a Seller's Disclosure Statement, and most likely an open house before the sale is conducted. Other variables that may influence the time needed to prepare for a sale include the sale location, quantity of items being sold, time needed to comply with local laws and ordinances, time needed to document, itemize, clean, transport, and organize items, and our auction schedule availability. With all that being said, an auction of respectable size can usually be conducted within a 30-day time frame or less.
- How Much Does It Cost To Sell Items At Auction?
There is no quick and easy answer to this question. Generally speaking, auctioneers are sales and marketing professionals who are paid a specified commission of the sale's gross proceeds. In most cases, the cost to the seller depends on a variety of factors that are unique to every individual's circumstances. The most pertinent issue that should be considered is the quantity and expected sales price of items that are being consigned for a sale. All things being equal, the sellers should expect to pay higher commission rates for small quantities of items that bring relatively low sales prices.
Other factors that can affect and influence the selling commission rate include whether the sale is on-site or off-site, the amount of advertising needed to locate any needed specialized buyers, the number of personnel necessary to conduct a professional sales event, and the amount of research necessary to maximize optimum prices.
One thing to keep in mind when trying to determine the best method for disposing of and liquidating your property is that auctions in the long run are cheaper. This is due to the fact that if you conduct a sale yourself or hire a tag sale company, you will not receive the best prices your items are capable of bringing, you will have leftover items that must be dealt with, and your personal time investment and amount of time the premises will be tied up will be increased anywhere from 200% - 600%.
- How Long Will It Take To Receive The Proceeds From My Sale?
After your item has been successfully sold at auction, you should allow 10 business days to receive payment. In most cases, your proceeds will be processed and paid earlier.
- Can you conduct auctions at my location or do I have to bring the items to the auction facility?
We conduct many business liquidations and estate sales on location. To conduct an on-location auction, we generally need to inspect the auction items to determine if there is enough to warrant an on-location sale. We also need to check to see if the site is feasible for a sale in terms of parking availability, room for display of items, compliance with city ordinances, and if there is room to handle the amount of people we expect to attend.
- When can I bring my auction items and when will they sell?
Items received on an Appointment basis. Please call 719-275-1439 to arrange a time.
Your items will be placed on the next available auction (not necessarily the next auction, if that auction is already filled.) If you have a specialty item, such as an antique piece, coins, firearms, etc., we might suggest to you that you place them on one of our special auctions that we try to schedule each month.
Entire Estates can be sold at once for Estate Settlement purposes.
- What about "AS IS, WHERE IS" and the "all sales final" stuff?
This means selling the property without warranties as to the condition and/or the fitness of the property for a particular use. Buyers are solely responsible for examining and judging the property for their own protection. Otherwise known as "As Is, Where Is" .
- Why do you sell things "as is" anyway?
Because, we don't own the goods we sell. They are consigned by companies or individuals or from Estates. We can't afford to provide warranties for the small commission we charge our clients. We do try to call whatever problem there may be with an item, if we know ourselves.
- If I buy something, can I return it ... ?
No. You buy it, it's yours. The auction company freely discusses any known problems about an item, before it is sold.
If you feel terribly mistreated, talk to us. We want your continued business and will try to treat you fairly.
- What happens if I bid, and don't pay for my purchases?
There will be legal action. Buying at auction is a contractual obligation, and you should be aware of the terms and conditions before you buy.
- Who sets the prices at the sale?
You do. The auctioneer may start with an asking price, but ultimately its the bidders that determines the price.
- More Questions?
Of course, these aren't all of the Q&As. If you have a specific question that needs an answer that we haven't given here, please feel free to e-mail us with your question.