liquidation refers to the process by which a company (or part of a company) is brought to an end, and the assets and property of the company redistributed. Liquidation can also be referred to as winding-up or dissolution, although dissolution technically refers to the last stage of liquidation.
Liquidation may either be compulsory (sometimes referred to as a creditors' liquidation) or voluntary (sometimes referred to as a shareholders' liquidation, although some voluntary liquidations are controlled by the creditors).
In a nutshell...Liquidation is getting rid of the stock from a store or business and selling it at whatever cost the seller can get to try and re-coup some of their money....Liquidators buy these goods and then normally sell them in pallet loads or truck loads..Most of the time you can get these good for litterly pennies on the dollar...To you this means that you could probably buy a truck of goods from a dept store for about 5-7 grand and resell it for about 20-25 grand depending on the type of goods and what dept store the goods came from....
Liquidated goods are sold at way below wholesale prices, which means that you can enjoy high profit margins on 'per item' sales...
This is why you see alot if the ebay powersellers selling items as such very low prices. They are getting their goods from liquidation sales...A truck load will have thousands of individual items on it and you pay a flat rate for that load reguardless of what the items are..For instance if you purchased a truckload of clothing goods and they came from a major dept store that sells designer goods, then you would only be paying one or two dollars per item...You would have probably paid $1.00 for a $80. designer shirt...Then you could sell that shirt on ebay for $20 and make a heck of a profit.
Same thing with a pallet load..A pallet might have a hundred items or better on it depending on where it came from..That pallet would probably cost you 4-5 hundred dollars and would have a re-sell value of 1000. to 2000 dollars depending on what is actually on the pallet...
Truckloads and pallet loads come with differnet types of goods, such as clothing lots, household goods. general merchandise, electrontic goods, sporting goods...It just depends on what types of lots you are buying and on who you buy the loads from....
But liquidations, close-outs and surplus good are the best way to purchase as they are way under any type of wholesale price you will find and that being the case will undercut your competition in a big way.....
The best place to start would be to go and look at the deal that is being offered to salehoo members and is located at the top of all of the forum pages:
'salehoo-members-box-pallet-truckload-deals'
These are great lots by pallet and they have some sample boxes available right now for people who want to have a look at the goods without investing very much money...
