Many major businesses have closed in the past few years for many reasons. Businesses that were once a rock solid part of our economy and considered to remain no matter what the circumstance. Yet many have fallen and closed their doors, What happened?
9/11 marked a turning point in the economy and it went through a serious change in several ways. It effected the way we do business in the sense that more major businesses looked to sell online. Not just online sales though, many looked for a new way to sell more volume online as they no longer needed to rely on walk in traffic at their store.
Amazon and eBay exploded after 9/11. whether it was that people felt safer shopping from their home or just sheer convenience or both. The internet at this point in history had made it's mark. Major businesses such as Neiman Marcus, Macy's, JC Penney, Payless shoes and many more have been closing hundreds of stores this year and shifted focus to online sales. Yet others such as Radio Shack have simply closed entirely.
This is where the online auction platform enters the scene. eBay the king of online auctions is such a success because people have come to enjoy the competition of bidding at auction and they get great deals on unique items. Local online auctions such as AuctionSpear.com
are starting to make their mark as well.
While eBay is great for selling and buying, it certainly is not the platform to liquidate an entire business. Local online auction
platforms make liquidation a perfect platform for the following reasons; total transparency in the process, buyers and sellers see everything online. More safe and secure, no crowds wondering the building. Approximately 20%-30% less costs associated with online auctions. A true FMV or Fair Market Value
is achieved. Many more reasons exist that benefit a closing business. These are many of the reasons that bankruptcy courts order auctions in the first place and some courts have even specifically ordered "online auctions" when a business liquidates.
Some businesses however can't whether the storm and simply close and liquidate it all. This is where local online auction
companies help out. Many of these closing businesses are seeking a secure, transparent way to liquidate that delivers a fair market value
for their assets. Local online auction companies such as FR Liquidation & Auctions
and their team of Independent Associates
have liquidated many businesses with positive results.
I am sure at this point you are thinking, "OK, where is the irony you
mentioned in the title of this article?". Well, here is the irony;
Businesses are closing because they can't compete with online auctions
and online sales. Yet many of them close their retail locations only to
open new online auction and discount retail sites. The very thing that
nearly killed them, has also given some of them new life!! Contact us today for more information on business liquidations via online auctions