SellerForce® presents a dynamic service business that has carved out a significant niche in the asset liquidation auction industry. Operating for over a decade, this business has honed its expertise in conducting onsite auctions, primarily for closed restaurants, making it a trusted partner for restaurant owners across Florida. This brand’s robust revenue model, which includes a seller commission and buyer premium, allows it to achieve a gross commission of 50% per auction, with an average auction value of approximately $30,000

The company’s customer base is predominantly composed of restaurant owners, with a significant portion of repeat customers, highlighting its exceptional service and customer satisfaction. With its sights set on growth, the business is exploring opportunities to expand into additional auction categories, such as collectibles, estates, and vehicles. It is also considering hiring auction agents in various cities to boost auction volume. The company’s digital marketing strategy is another cornerstone of its operations, leveraging a database of 7,000 contacts and social media platforms to maximize reach and engagement.

Business Broker Takeaways:

• Optimized Operations. The company operates with minimal working capital requirements, with advertising and labor costs averaging only $1,000 per auction. This financial efficiency, coupled with its streamlined operations, ensures sustainable and profitable growth.

• Strategic Market Position. The business holds exclusive liquidation rights contracts with clients, providing a competitive edge in the market. Additionally, it has outcompeted central Florida competitors, with its nearest rivals located in Miami, further solidifying its stronghold in the region.

• Low Operational Workload. The business is efficiently managed with less than 40 hours of work required per auction, supported by a small team focusing on customer relations and auction management. This operational efficiency presents a unique opportunity for a potential buyer to either maintain the current workload or expand the business further without significant additional effort.

This business is an Auction service that turns closed kitchens into quick cash returns. The seller has operated this business for the last 10 years, but has actually been in the business for 15 years. The nearest competition, which rarely travels to the central part of the state, is located in Southeast Florida. The company has run an on-site restaurant equipment auction, earning a combined 50% commission 35%, from the seller, and a 15% buyer premium. With a streamlined operation that emphasizes efficiency, the company is poised to explore several growth avenues, such as diversifying auction categories into collectibles, estates, and vehicles. The addition of appraisal or consulting services offers further expansion potential, catering to a broader client base and enhancing service offerings. The company’s ability to adapt to market trends, such as restaurant closures and remodels, positions it well for continued success in the evolving auction landscape.

A key strength of this business is its lean operational structure. A dedicated team of 2 employees currently manages customer relations and auction processes, with the support of advanced auction software. This setup ensures efficient service delivery while maintaining a high level of customer satisfaction. Their in-house email list has 7,000 organic contacts. Each auction draws roughly 50 paying buyers and 2 to 3 times that number of active participants, with an average auction valued at $30,000, and each auction averages $1,000. Most buyers are independent restaurant owners who return whenever a kitchen closes in their area, providing the business with a steady pipeline without requiring heavy promotion. Notably, 70% of its clientele are repeat customers, underscoring the brand’s reliability and effectiveness in the asset liquidation domain.

SF510