Mohawk Machinery makes a cash offer to purchase your assets before the auction takes place. You typically agree to the use of your premises cost free for a reasonable period of time (approximately 60 to 90 days). We hold the auction, pay all expenses and keep all proceeds from sale. We are working for ourselves
Mohawk pays a guaranteed price before the auction sale. The auctioneer will receive his quoted expenses for the sale. All proceeds in excess of the guaranteed amount plus the sale expenses will be divided. For example, 30/70 split over the guaranteed price and expenses. Means we keep the 30% you keep the 80%. We work with you and share in the profits.
In a commission auction we charge a percentage of the overall net proceeds to you along with the pre agreed upon amount on expenses for advertising promotion, set up, sale and check out. We work for you.
Buyers Premium Auctions
This kind of auction differs from a commission in that a fee paid by the buyer is added to the selling price of each item. For example if a customer bids $5,000 for an item and the Buyers Premium for that auction is 15% (the $5,000 bid plus 15% means total price paid for that item is $5,750.00) Mohawk will negotiate a maximum amount we can spend on expenses and retain that and the buyer’s premium as in a commission auction. We work for you.