Types of Auction Contracts
PMI offers several contract options for sellers, with various degrees of risk and reward. It’s important to understand the differences and weigh the pros and cons to decide what’s right for your particular situation. Here are our most popular contract options:
Commission: A traditional arrangement where we charge a commission and deduct the sale expenses from the auction settlement.
Minimum guarantee: A shared-risk format. We guarantee a minimum amount you’ll receive from your auction, and then split the proceeds that are achieved greater than the guaranteed amount after the deduction of our agreed sale expenses.
Cash purchase: PMI is an aggressive buyer of complete or partial industrial facilities. PMI assumes all risks of the sale. We evaluate your assets up front and pay you a negotiated amount at closing, prepare a sale for our own account, and leave your facility in an orderly fashion at the conclusion of our agreed period of occupancy.
Private negotiated sale: We can conduct a privately negotiated sale either with or without time-specific deadlines. The sale is personally managed by a PMI account executive who acts as the agent between the buyer and the seller, allowing both parties to mutually agree on a price. The executive also arranges preview, inspection, and post-sale dismantling and removal of equipment.
Real Estate: PMI can offer your real estate at auction through a licensed state auctioneer/broker. We sell the real estate subject to owner’s confirmation, or absolute. We will charge and retain a buyer’s premium (usually 7 to 10%) to the buyer. No additional expenses or commissions would be charged to the owner.
Product lines and intangible assets: We can sell your entire manufacturing and/or service business at public auction, or sealed bid including any and all intangible assets, such as:
Dies / Molds / Designs
The business or business assets can be sold in any configuration deemed most desirable by the owner and auctioneer.