Reduced Price And Reselling For Beginners
Retail liquidation involves purchasing excess inventory, returned items, or assets from companies at a reduced price and reselling them for a profit. This business model thrives on the discounted prices of liquidated goods, allowing for substantial profit margins. The first stage of liquidation is arguably the most critical – appointing a liquidator. As a director, you are able to take your company into voluntary liquidation by calling a meeting of shareholders to pass the necessary resolutions.
STEPS ON GETTING STARTED IN THIS BUSINESS
- Location is KEY….
- Your Reputation is CRITICAL to your success
- Read the Fine Print. ..
- ALL LIQUIDATION SALES ARE FINAL….
- Potential Profit and Potential Loss are two sides of the same coin
PROFESIONAL GUIDLINES WHILE LIQUIDATIONG
- Identify the Business Assets to Liquidate.
- Find Buyers for Your Business Assets.
- Deal Separately With Secured and Leased Assets.
- Get Prepaid Insurance Premiums Refunded.
- Seek Help Liquidating Business Assets


BEST STRATEGY OF TOP LIQUIDATION
n the past, entering into liquidation most likely meant that your company is going into bankruptcy, selling off assets in order to pay off outstanding debts and other financial obligations to creditors.
Nowadays, this isn’t entirely the case.
While it is definitely still a viable exit strategy undertaken by insolvent companies, more and more up-and-running businesses liquidate most especially their inventory, for a number of reasons.
For one, liquidation is a great strategy to recover value from assets that may be sitting around, collecting dust. Think of excess office equipment, old electronics, unsold merchandise and more. Liquidating these items recovers some, if not all, of the capital invested in them resulting in more room for financial growth and re-investment elsewhere. Not to mention, liquidation also frees up space in offices and warehouses and smoothes a company’s operations by ridding them of their excess and/or aged inventory.
If your business has decided to enter into liquidation, more specifically the liquidation of inventory, then chances are that you are one of the many businesses that have found themselves with an excess of merchandise.
The next step now is to figure out which among the many liquidation methods is best for your company.
In this article, we’ll share the different liquidation strategies companies may pursue to recover value from their inventory and unused assets.
Let’s go!
Picking a strategy
As a reminder, the following liquidation strategies are simply a few of the many creative solutions that businesses have at their disposal. This list is by no means exhaustive!
However, before deciding on any course of action, it is always important to assess not only the needs of your company but its capacity to enter and sustain any specific liquidation strategy. Liquidation is a process that involves many moving parts from your inventory, warehouse, operations, finance, marketing, business development, and so much more. Thus, a thorough survey of your business’ current state is a must.

pallet strategy
Beginning with the decision to liquidate, it is important to have a clear goal in sight. Is it to recover value from unsold items? Clear up warehouse space? Pay off creditors and shareholders? Make way for new products? All of the above? Knowing which goals you want to achieve through liquidation is essential in determining your liquidation strategy and the duration that you and your business will be allocating for this process.
Afterwards, we recommend appointing a person-in-charge for each department involved. This reduces road blocks ensuring that your team is running like a well-oiled machine and all facets of the liquidation process are accounted for.
The next step would be to assess your inventory. What kind of items are you looking to liquidate? Are they excess inventory, aging items, returns, or showroom stock? What is their condition? Brand-new, secondhand, or damaged? Keep in mind that certain approaches are better suited to specific item conditions in comparison to others.
Having a good understanding of what it is you’re trying to sell will smoothen the liquidation process. Afterwards, you’re all set to select a liquidation path to take.