A restaurant equipment auction is a great place to get used equipment below market value. Whether starting a new restaurant or trying to scale your current one, these events are a great opportunity to save money. There are some interesting ins and outs of these auctions and going in with tips is helpful. Below I’ll discuss where to find one, how they work, strategy, and share my experience with the restaurant equipment auctions near me.
Map of Restaurant Equipment Auctions Near Me
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What Is A Restaurant Equipment Auction?
A restaurant equipment auction is an event where used restaurant equipment is sold to potential buyers who will compete to get the restaurant equipment they desire. These auctions are pretty standard as they offer an avenue for restaurant owners to get their hands on quality equipment at a more affordable price.
How It The Restaurant Equipment Auctions Near Me Work…
While there are different types of auctions, these are normally run as a standard English Auction. A typical restaurant equipment auction works in three phases. They are the preview phase, the bidding phase, and the payment phase. At each phase, there are procedures to follow. Here is how the auction process works.
The Preview Stage
When an auction is announced, potential bidders are allowed to have a look and inspect the equipment. This is to enable the potential buyers to make up their minds and register for the actual auction. The preview stage takes a couple of hours and is usually the evening before the auction or just a few hours before.
The Bidding Stage
Once you express your interest to purchase an item, you will register with the auctioneer, and you will be given a card that will be used to identify you during the bidding process. Once you have this card, you will be ushered to the auction hall, where the auctioneer will ring a bell to signify the bidding start.
Before each item is open for bidding, the auctioneer will announce it and describe it. The auctioneer will mention a starting price, and then bids will be received for the item. To win a bid, you must have the highest bid, and no one else is willing to match or better your offer.
The Payment Stage
After winning the bid, the equipment is now yours, but before you can take it away, you have to pay for it. You may have to pay either in cash or by check, but kindly note that your bid price may not be the same as the final price as the sales tax is added after the bid is won.
Where Does The Restaurant Equipment Come From?
The restaurant equipment that is put up for auction usually comes from other restaurants or hotels that can afford brand new equipment and create space for them by clearing out the old equipment. In other instances, it may be a result of the liquidation due to restaurant failure. There are also liquidation and surplus kitchen suppliers who will put their equipment in these events as well.
What Kind of Restaurant Equipment is Auctioned?
Here is a list of common restaurant equipment that I see at these events:
- Large Commercial Refrigerators and Freezers
- Cooking Ranges
- Slicers
- Sinks
- Cooking Utensils
- Racks and Shelves (both fixed and potable)
- Fire suppression Units
- Mixers
When evaluating used equipment you should evaluate it just like you would if you were purchasing new kitchen equipment.
Why Should You Be Part Of A Restaurant Equipment Auction?
Buying brand new restaurant equipment can cost a fortune because commercial kitchen equipment is expensive. If you are not in a financial position to spend a lot of money on new equipment, you can get quality equipment at a lower price at an auction.
Tips For Bidding at Used Restaurant Equipment Auctions Near Me
If you pay close attention to detail, you will have a fair idea of how much a piece of equipment was used and if it is a good investment. It is advisable to buy fairly new equipment from a restaurant that was not in business for long at a higher price than to purchase well-used equipment from a restaurant that has been in business for some time.
It would be best if you kept in mind that restaurant equipment is sold as they are, and that means neither the seller nor auctioneer will offer any help after you purchase it.
Bidding Tips
Having some knowledge on how auctions operate and the bidding process can help make some good deals on restaurant equipment. Here are just a few tips to guide you.
Research Up Front
Doing research up front can not be understated. Get a preview catalog of the kitchen equipment or view the available items online. Take notes and write down questions you have so you can ask them during the preview period. Research online to see what the same equipment goes for used on sites like Ebay. Write down a low and high bid range for yourself to establish what you think the item is worth.
If you are buying large pieces of equipment like freezers and refrigerators, measure your space in your kitchen upfront. Then bring a tape measure to the preview event and measure the equipment yourself.
Relax
When you get to the auction hall, take a deep breath and relax. There may be a lot of awesome stuff you want, and you do not want to be outbid. But if you do not relax, you may end up making mistakes that will lead to a bad deal. Always remember to thoroughly inspect the items you are interested in during the preview period. Rely on your research!
Set A Budget
After thoroughly inspecting the equipment and making your decision, you should set a sufficient budget aside that should cover what you want. Remember to adjust the budget properly to accommodate bids from other people.
Don’t Do Crowds
When it comes to auctions, you will only see large crowds when the deals are not so good. So, the lesser the crowd, the better the deals on offer. So do well to use that as an indicator when looking to bid.
Pay Attention To Details
Before heading to the auction, if you can, do some digging and find out the inventory sources of the restaurant equipment. This will enable you to know the possible condition of the item. Also, when the auctioneer is announcing and describing the item, please pay close attention as they often include the item’s condition in their description.
The three things that are most important that you need to think about when bidding:
- Quality: Is this used equipment of a high enough grade that I can start using it today. Don’t buy to fix anything.
- Space: Do i actually have the space to fit this in my kitchen. Be prepared by measuring your space before hand.
- Price: What does this sell for used on classified sites online. Don’t pay more then you can get it for somewhere else.
Where To Find Restaurant Equipment Auctions Near Me
Auction sites for restaurant equipment take place in a number of places such auction houses or even the restaurants that are replacing their equipment.
However, knowing where to find an auction can be a coup in itself. Recently though, you can find auctions online and they come with the added advantage of a catalogue that details all the restaurant equipment to be auctioned. You can also check in with auction houses to find out when such auctions will take place or you can check the newspapers for news on auctions.
Restaurant Equipment Auctions Near Me Conclusion
These events present a great opportunity to get kitchen equipment at well below market price. You need to do your research up front and understand what restaurant it is coming from and what the equipment would sell for used online. Having a plan and understanding the market are the keys to a winning strategy on kitchen equipment. This is what I have learned from the restaurant equipment auctions near me.