Home Thinking Aloud How Startups Can Benefit From Government Auctions

How Startups Can Benefit From Government Auctions

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by Greg Berry, CEO and founder of Municibid

As a new startup founder, you may find that you need to purchase company vehicles or equipment for your business’s operations. Yes, you can turn to the many seller applications and websites out there, but there’s a much safer way to buy the vehicles or equipment that your enterprise needs: in a government auction! These auctions are fast becoming a major hotspot for entrepreneurs to find essentials for their business.

In government auctions, municipalities, public schools, fire departments, agricultural departments, and other agencies sell their surplus vehicles, used equipment, and more directly to the public. Police departments also use government auctions to auction off their forfeitures (or seized items). Here are just a few of the many ways that startup owners can benefit from buying items in government auctions.

They Have Incredible Deals on Items for Businesses

When you’re first building a company, you have a limited budget to get your company off the ground. Government auctions are an excellent source for you to find fantastic deals on essentials for your business operations. You’ll find huge deals on pre-owned trucks, buses, computers, power tools and other machinery, tractors and more farming equipment, office essentials, and other products that would be marked up at least 50-100% from used dealerships and stores.

There Are Products for All Kinds of Companies

Whatever your industry, you can find something your business can use at a government auction. Tech startups can bid on used computers and electronics in bulk, as well as furniture to outfit their offices. If you own a landscaping business, you can find awesome deals on used mowers, tractors, tools, and heavy equipment. If you have a side hustle where you buy and flip items, you can find products to buy, fix up, and flip, as well as a pickup truck and a trailer to haul your finds and deliver the flipped items to buyers. You can even buy real estate at a government auction, which can be used for your business. Oftentimes, it’s parcels of land, but sometimes there are buildings up for auction.

Online Government Auction Marketplaces = Hassle-Free Experience

When you use an online government auction marketplace like Municibid, you can bid on items 24/7— there’s no need to have to make the trek to a local government auction being held at a set time and location! It’s also a simple and hassle-free process from placing a bid and winning to picking up the item. You will also appreciate that there is no salesman trying to upsell you on other services or items you don’t need for your business. On the other hand, if you were looking to purchase a pre-owned vehicle at a dealership or equipment at a store, you could potentially deal with a pushy salesman.

No Need to Worry About Scammers

Some people try to purchase vehicles, agricultural equipment, and more via seller apps and websites and end up dealing with sneaky con artists who try to scam them out of their hard-earned money. Luckily, you will never need to worry about dealing with awful scammers in government auctions, because you are purchasing items from municipalities with credibility (not an unknown individual with no accountability). You can have peace of mind in knowing that every seller is trust-worthy.

Items in Government Auctions Are Well Maintained

Governments tend to take very good care of their equipment and vehicles — oftentimes, governmental bodies have regularly scheduled maintenance for their items or rotate items out of service at regular intervals. Some governments even have routine replacement schedules, so the equipment has useful life remaining. Therefore, purchasing a vehicle in a government auction will provide great value. In contrast, you can potentially buy a vehicle or equipment on a seller app and later discover that it is grossly unmaintained and ridden with issues that need to be fixed.

In other situations, governments might buy an excess of equipment they end up not needing, or projects change and items to do the job are no longer needed. For example, a town bought a new food truck to use as a temporary concession stand at the community park while a permanent stand was being built. Then COVID-19 hit, and they ended up never using the food truck. So government auctions can potentially offer items that have never been used. However, you should still do your due diligence and make sure the vehicle or piece of equipment is the one for you. All sales at government auctions are final, so it’s not like a store where you can return an item if it doesn’t fit.

They Help the Environment & Local Communities

Nowadays, startups often place a high focus on their social and environmental mission. When you win a government auction, you’re reusing a vehicle or equipment that often still has a lot of good life in it — this means you’re keeping it out of landfills! In addition, the proceeds that municipalities receive for items sold in auctions go back into the community. So you’re helping local communities build a new park, buy a new truck to maintain their roads, and more. It’s a win-win for everyone… you get a great deal and help the environment, and governments have more funds for enriching communities.”

To Wrap It All Up

Your startup can greatly benefit from government auctions. For starters, government auctions offer incredible deals on vehicles and gear your business might need. These auctions also offer products for all kinds of businesses, from used tractors for agricultural companies to computers for IT firms. You also won’t need to worry about dealing with con artists, as the sellers in government auctions are all credible and trustworthy. Items available in government auctions are also usually well maintained, and you will be helping the environment and local communities with your purchase. So what are you waiting for… go check out government auctions for your startup today!

 

Greg Berry is the CEO and founder of Municibid, the go-to online marketplace for government auctions. Municibid is the top platform for municipalities, public schools, fire departments, police departments, agricultural departments, and other government agencies all over the US and Canada. As a business leader, Greg educates entrepreneurs on why government auctions benefit enterprises, tips for launching a successful online company, and more.