The key to looking for a new source of inventory is to keep costs low. You’ve probably looked into different suppliers, wholesale solutions, or going straight to the manufacturer. However, this can come with a high minimum order requirement – not to mention brand new inventory is often costly to acquire. An alternative way to secure the inventory you need is to buy liquidation pallets for sale near you! Liquidated inventory can come from recognizable brand names, in various conditions, and in manageable quantities.
If you’re in the market for liquidation pallets for sale, you will need to know where to look and how to buy them. Additionally, how you plan to sell your liquidation inventory and turn a profit. Let’s dive in.
What are liquidation pallets?
To recap, retailers sell liquidation pallets at steep discounts in order to make way for new inventory, free up warehouse space, and recoup some of the losses from their original investment when items don’t sell or get sent back. Liquidation pallets are comprised of customer returns and excess (or unsold) stock, this may also include damaged inventory.
Where to buy liquidation pallets for sale near me
Liquidation inventory can be purchased in person or through online liquidation sites. However, when you purchase from other liquidation buyers, you don’t have a chance to place competitive bids and see lot manifests. Let’s go over a few other ways you can buy liquidation pallets for sale and other pallets of merchandise near you.
One quick Google search and you’re sure to find a wholesaler or bulk supplier in the area. If you’re analyzing your local market, it doesn’t hurt to check out the inventory they offer and ask where they are sourcing from. But usually, this is not information businesses will readily advertise. Generally speaking, these wholesalers and jobbers acquire truckloads of liquidation pallets for sale from retailers via closed-door deals and at fixed prices. These businesses will then break down the inventory and sell off smaller lots (with a mark up) to other business buyers. However, this often leads to cherrypicking the best products, leaving the less valuable inventory for the next buyer.
Next, you have Facebook Marketplace. Facebook Marketplace is an easy-to-use platform for buying and selling liquidation merchandise locally, with a built-in audience of over 1 billion active users. Many resellers get started by finding online communities where they can build relationships with vendors who advertise their inventory to local buyers. Always be sure you’re buying from a trusted source in order to avoid scams!
Finally, there are liquidation sites. If you’re ready to branch out, liquidation sites are a good way to get inventory that might not be in your direct vicinity. These can often be delivered right to your door, warehouse, or storefront. Merchandise is sold by the pallet or truckload, but again, these can be big liquidators or jobbers selling to you.
How to buy pallets of returned merchandise from Walmart, Amazon, and other retailers
Returned merchandise is readily available from big box retailers like Walmart, Amazon, Target, The Home Depot, and others. The rate of returns — both in-person and online — isn’t slowing down either. From 2019 to 2020, eCommerce returns jumped 10.6% to 16.6%, respectively. That’s approximately $761 billion of merchandise bought online that was returned. This is why retailers are turning to the cost-effective solution of liquidating. Which is music to resellers’ ears as they can often obtain pallets of returns for pennies on the dollar!
Online auctions, like the ones found on B-Stock, are where retailers list their pallets of returned merchandise. Inventory ships directly from distribution centers, so buyers never have to deal with middlemen. In order to buy liquidation pallets on these private marketplaces, you will need a resale certificate. This allows you to purchase merchandise tax-free, passing those savings on to your customer. It’s then your responsibility to collect the tax from your customer when you sell the item. Once you’ve obtained this certificate, or sales tax number, you can start buying in bulk from a retailer’s official sales channel. Walmart, Amazon, Target, and Best Buy, among others, are liquidating their returns through B-Stock.
Where are the best places to sell liquidation inventory?
Flea markets are full of vendors who routinely sell liquidation inventory. You can give it a shot too! There is the manual labor aspect to consider, as you have to do early setups and monitor your booth while dealing with negotiations on the spot.
If you’d like to sell online, there are plenty of reselling sites to choose from. From Poshmark and Mercari to eBay and Amazon. There are pros and cons to each of these, but most importantly, you should estimate how long it will take to sort, photograph, and list items. This can take quite a bit if you don’t have additional help with photography and shipping. It may also require some level of marketing experience if you want your listings to gain traction.
Another option is selling to other businesses – a very common with mobile buyers. This also eliminates the need to list individual items for sale, and instead, sell in bulk to other business buyers. However, unlike selling directly to consumers, business-to-business transactions will likely mean you need to find your own contacts.
Buy liquidation pallets for sale on B-Stock
If searching for liquidation pallets in your area is not cutting it, then consider B-Stock. You can source inventory from different retailers and regions while placing competitive bids. Not to mention you have access to lot manifests, shipping estimates, payment partners, and other useful information. With auctions opening and closing daily, and clear and transparent manifests, you can eliminate the guesswork in securing the inventory you need. Start browsing auctions and register today!