Five Tips for Selling at Live Auctions

Ah, the old-fashioned country auction! The idea of a country auction conjures up certain images for people. The image of a fast-talking auctioneer offering up an antique table or chair is a popular example.

People who are buying household goods or collectibles are looking to get their items at the lowest price possible. However, the people who are selling their items at auction are hoping for the highest price!

Unless a person is in the business of buying and selling antiques or other items, not a lot of thought goes into how goods are prepared for sale via the auction process. However, if you are one of the growing number of people using auction venues to sell your collectibles or other inventory, there are a few things to learn first about how to sell at auction before you bring a truckload of stuff over to the next event.

Tip 1: Make sure the things you want to sell are a good “fit” for the auction house you’ll be using.

Never bring a load to an auction house without actually having been to one of the previous auctions. It’s important to get a feel for the type of goods that the house sells. For example, at one very rural country auction it was common for the owners to sell live chickens, pots and pans, car parts, and farm equipment.

After close investigation, this would not be the right venue for selling your daughter’s “Hello Kitty” collection. On the other hand, the spare John Deere parts that you bought at last week’s yard sale might be just the right thing for the buying crowd at this auction.

Tip 2: Be sure you clearly understand the terms and policies of the auction house.

Visit with the auctioneer ahead of time. Call to find out what the best days and times are to visit. One of the worst possible times to drop in for an informational visit with an auctioneer is the day of the auction. Call ahead and ask. While you’re at it, find out what are the best days and times to drop your stuff off.

Once you have a little time with the auctioneer, you’ll be able to find out what type of commission he or she takes from consigners (which is you), and what type of paperwork might be needed. Some auction houses send out Form 1099 tax forms at the end of the year. An auctioneer may need to see your identification and have you fill out a W-9. Be prepared.

Find out what happens to your items if they don’t sell. For example, some auctioneers may have a minimum starting bid. If, for some reason, one of your items does not sell, it may be grouped with another one of your pieces. Know the auctioneer’s strategy beforehand so that you aren’t surprised on pay day.

Tip 3: Make sure the auctioneer knows what you’re selling.

It might be perfectly obvious to you that the signed print you are consigning is a rare and valuable piece of art. However, the auctioneer may not know this particular artist. Make a note of anything particularly special about your items, and leave the note with the piece. Be sure to tell the auctioneer about it as well. He or she might determine that this is something to highlight on the company website or in the newspaper listing.

Tip 4: Present your items neatly.

No one likes to have to dig through a box full of grimy and greasy car parts to see what treasures might be in there. Separate the parts and lay them out on a flat, or use more than one box to de-clutter the lot.

There is no need to buy fancy display boxes. It’s easy enough to go to the local convenience store or supermarket and ask if you can have the emptied boxes or flats that they are discarding.

While it’s good to present clean items, take care not to ruin the value of anything by over cleaning. For example, if you find some old cast iron cookware, clean the obvious dirt and grime, but don’t scrub it to its original finish. For many people, this ruins the value of the item. So, clean and tidy and organized is the key here.

Tip 5: Don’t complain to the auctioneer if your stuff doesn’t sell for as much as you’d like.

The phrase to remember here is, “You win some; you lose some.” That’s just the way it is. There are some days where an auction house is loaded with people who all seem to want what you’re selling. There will be other days where the crowd is sparse, and the bidding is simply not competitive.

Remember that it’s in the auctioneer’s best interest to sell your things for the highest possible hammer price. But sometimes, it’s just not going to be a stellar sale. The auctioneer is only human, and is also disappointed if a sale doesn’t go as well as planned.

If you notice that every time you bring a bunch of goods to sell that you’re not realizing as much as you think you honestly should, try another auction venue and compare apples to apples. That is, bring the same types of items to the new auctioneer and compare the results.

Unless the auctioneer is particularly disagreeable or inconsiderate to you or buyers, there is no reason to confront him or her about a sale. If you find you just don’t care for an auctioneer’s style or methods, find another one. Believe me, there are plenty of them out there!

The primary thing to remember as you learn how to sell at auction is that the business is unpredictable at best. You will have good days, some not-so-good days, some great days. The more you sell, the more experience you will gain, and the more enjoyable the business will be.

10 Useful Books for Small Business Owners

Reading good management books enables small business owners think and act wisely. It helps them improve their ability to carry out business in the right way, by successfully resolving issues that a business is likely to face.There are thousands of books available in the market. It can be very confusing for a small business owner on what to pick and read. We have listed 10 books that every small business owner should read to succeed in business.1. The Seven Habits of Highly Effective People by Stephen R. Covey:This is a book useful to everyone in general and small business owners in particular. It explains seven habits that are essential to be able to influence others. The seven habits discussed in this book are ‘be proactive’, ‘begin with the end in mind’, ‘put first things first’, ‘think win-win’, ‘seek first to understand, then to be understood’, ‘synergize’ and ‘sharpen the saw’.These principles will help you in shaping and strengthening your personality to tackle the issues at stake. They would help you develop a positive and pragmatic attitude without making you go over board under a given situation.2. Made to Stick by Chip and Dan Heath:Using case studies, the authors claim that for any business, certain ideas are universal. The ideas may look simple, but are critical to make your business survive in the face of distress to business.3. How to Win Friends and Influence People by Dale Carnegie:No business can run without the cooperation of customers. To survive competition, you have to win people. For this, you should have the skills to influence people. These people can be your customers, clientele, vendors, retailers or creditors.You can nurture skills to influence them all by reading this book, How to Win Friends and Influence People. Lucid, and self explanatory, the book expounds the points with empirical examples and sound practical common sense.4. Think and Grow Rich by Napoleon Hill:This book is an inspiration and is the result of more than two decades of research by the author Napoleon Hill. Hill gives thirteen principles, which can help you to reach your goal. This book is an excellent source of information for beginners.5. Getting Things Done by David Alien:This book helps you to improve the productivity of your business. It points to various hindrances and dangers to your business. Further, it enables you to delegate responsibilities efficiently.6. Good to Great by Jim Collins:Jim Collins and team have examined the proposition whether a good company can become great. Collins says that the transition is possible if certain conditions are fulfilled, for instance, by removing redundant labor and fostering an ideal corporate culture. He also says that the personnel at the top management should be honest.The book would help you to realize and discover new knowledge, techniques of managing people and business, dealing with different groups such as clientele, vendors and the like.7. The E-Myth Revisited by Micheal Gerber:This book explains reasons for failure of a business within a few years of inception. The author provides supportive examples with empirical data. He finds that most small businesses become defunct because of lack of certain attributes on part of the owners. He says the business owner needs to be a technician, a manager as well as an entrepreneur; only then the business will survive.8. The $100 Startup by Chris Guillebeau:Chris Guillebeau focuses on the affairs of a tiny enterprise with one, two persons in the operation. Beginners and those who are planning a new start-up should read this book.9. Rework by Jason Fried:This book contains common sense ideas. If applied practically, they help you build qualities that are indispensable for a business owner.10. Built to Sell by John Warrillow and Bo Burlingham:This book will help those who want to sell their business. Others will also, find it useful. The authors have explained in detail the points to observe initially, and how to get profits from the business, sustain growth momentum of the business and finally sell the business.As a small business owner, reading these books will benefit you largely. You will improve knowledge on how to do things in business, and thus will be able to do your business better.

Differences in the Types of Auctions That Take Place Around the World

Auctions are those events where properties or goods are sold to the highest bidder. Auctions are mostly public events, where bidders make a series of bids and purchase a particular item for a high price. During auctions, bidders decide the price of an item rather than the seller. It depends on bidders to decide the amount they would want to pay for a specific item. During an auction, a bid is a proof of a legal binding. Bidders agree to pay the amount that they have bid. In a high profile auction, bidders may have to pay a deposit in escrow accounts or give a proof that they can pay for those items.

Types of Auctions:

Different types of auctions take place around the world. Below mentioned are some types of auctions:

1. English auction:
This is a basic type of auction. In this type, people can see the item and then start bidding. Bidders slowly raise the value of their bid until everyone gives up. The highest bidder is the winner. An auctioneer manages an auction, keeps records of the on going bid and decides the winner. Sometimes, the seller will quote a minimum amount for an item to the auctioneer, below which the auctioneer cannot sell that item.

2. Dutch auction:
In this type, the auctioneer sets a particular price and then gradually lowers the price. People in public will start bidding and later decide which prices are suitable for the item. A seller may use this type of auction to sell large quantities of same products to the public. For instance, a seller may want to sell a large amount of hay and will thus, decide to sell this hay to people for the same amount, once a reasonable price is decided.

3. Silent auction:
In this type, the bidders in public will present their bids in a sealed format. These sealed bids open at the same time and bidder with the highest bid wins. There could be a modification in this type of auction. The bidders are allotted a specific period to bid. They can roam in a room displaying the items, and write their bids on an associated sheet of paper. The bidders are allowed to see bids of other bidders and can choose a higher price for an item. At the end of the allotted time, bidder with the highest bid is the winner.

Examples of Auctions:

Auctions can be of two types either public or private. Sellers may trade any kind of items in both types of auctions. Some areas where auctions take place are:

1. Antique auction: An antique auction consists of a trade opportunity as well as provides entertainment.

2. Collectable auction: In a collectable auction, the seller may put up collectables like coins, vintage cars, luxury, stamps, real estate, and luxury for sale.

3. Wine auction: In wine auction, bidders can bid for rare wine, which may not be available in retail wine shops.

4. Horse auction: Bidders can bid for young horses of the best breed.

5. Livestock auction: In livestock auction, bidders can buy pigs, sheep, cattle, and other livestock.

The other examples of auctions may not be public. These auctions are for bidders from corporate levels. Some examples of private auctions are:

1. Timber auction
2. Spectrum auction
3. Electricity auction
4. Debit auction
5. Environmental auction
6. Auto auction
7. Electronic market auction
8. Sales of business auction

Bidders in an auction need to examine the items displayed and decide an appropriate price for an item. Thus, auctions help buyers in getting the best deals and in gaining better profits for sellers.