The Risks of NOT Selling No Reserve:

Many sellers immediately thinks of the risk of a downside in a no-reserve auction, but there are also risks that don't exist in a no-reserve auction that exist in a fixed price sale.

Two Risks to point out are Holding Costs & Fixed Pricing.

Owning an asset costs money. Parts can deteriorate, batteries can fail and tires can lose air. Insurance is expensive, as is the interest and opportunity cost of having capital tied up in an unused asset.

All of these things equate to 25-35% a year — gone. If the seller has it overpriced for six months, then 15% is gone, and the new net recovery is 15% less.

When an item is assigned an arbitrary sales price, it's very likely that value is too high or too low for the market.

If something is worth $100,000 and you don’t know that, but you priced it for $85,000 and sold it the next day, you’ll never get $100,000. You’re trying to hit that price, and if you’re too high, it sits there and depreciates, and all these things go on, and you continue to have to catch a falling knife. If you’re too low it sells tomorrow, and you’ll never get the upside. With an auction, whenever we get $85,000, we’re going to ask for $86,000.?

Our model is different, and it removes the two risks - costs of holding and fixed pricing. The safeties we have in place lower that risk. We have a large buying community that understands we are no-reserve, the marketing that we do on an event and asset basis, and the direct sales efforts we put in place on anything we identify that we don’t think is getting enough attention.