Liquidators can usually start a sale in a relatively short period of time and develop a plan tailored to fit your business.
But you shouldn’t choose the first one you find on the Internet.
If that does not cover the debt, they will recoup the balance from the company’s remaining liquid assets, if any. These include bondholders, the government (if it is owed taxes) and employees (if they are owed unpaid wages or other obligations).
Financing an account receivable takes place quickly, within a few days after confirming the creditworthiness of the account.
And yet it happens all the time, with very little information available to assist proprietors in the actual sale.
This simple fact is quite disconcerting when you consider that a significant portion of the owner’s lifetime savings may be tied up in the inventory, and that converting this inventory to cash can be critical to his or her financial future.
Here are five tips to help you successfully liquidate business assets so that you can ride off into the sunset and enjoy your next venture (or retire from the business world altogether)… Before you do this, talk to a tax attorney or accountant about your options.
If there are items that may not be worth much in the secondary retail market, then it could be in your best interest to donate them for tax benefits.