A Bargain Hunter’s Guide to Buying Liquidation Pallets
Whether you’re a small business owner or a savvy investor, buying liquidation pallets can be a great way to get high-quality merchandise at a fraction of the price. Many investors make a living buying liquidation pallets, and so can you as long as you’re investing the right way.
How to Find and Buy Quality Liquidation Pallets
You’re a bargain hunter looking for some deals, but how can you cash in big when it comes to pallets?
Here’s a guide to help you purchase the perfect liquidation pallet for your needs.
Do Your Research
The first step to buying a liquidation pallet is to do your research. Get familiar with the types of liquidation pallets that are available and decide which type of items you want to purchase.
When researching, read customer reviews to get an idea of what buyers have experienced with a particular wholesaler. Take the time to read reviews from multiple sites to get an unbiased assessment. If you’re only interested in a one-time purchase, research second-hand stores.
Did you know that store closeouts and grand openings can be the perfect place to find quality pallets? Check out Openings24 to find the latest updates on grand openings in the US.
Find An Established Supplier
Next up, you’ll need to find an established supplier of liquidation pallets. There are several different liquidation suppliers that you can choose from, and their offerings vary depending on the area. If you’re lucky, you may find a liquidation auction in or near your city or town.
Make sure to find a supplier that’s been in business for a while, as they may have a better selection and competitive prices. We recommend asking for referrals from people you trust or from other investors that buy pallets often. Many of these investors are found on Amazon.
Evaluate The Cost
When selecting a liquidation pallet, always compare the cost versus the potential value of the items. Liquidation pallets can be a great way to get a great deal on merchandise, but only if the price reflects the condition of the item. After all, most used items won’t be in great condition.
If a deal looks too good to be true, then it probably is, but it’s important to note that liquidation palette prices range depending on the supplier. For example, Amazon return pallets could be as low as $100 or as high as $10,000. Higher-quality items are likely inside the higher-cost pallets.
Stick To A Budget
It’s essential to set a budget for your liquidation pallet purchase and stick to it. Doing this will help you avoid over-buying, which can be common with high-cost liquidation pallets.
To determine how much you should be spending, consider your estimated profit after reselling or using the items in the liquidation pallet. A healthy profit margin is between 7% to 10%, which is possible if you stumble upon a great liquidation pallet or a low-cost pallet with great items.
Keep in mind that you’ll sometimes lose money on a pallet, and it’s not necessarily because the supplier ripped you off. The reseller’s market can be fickle, so be prepared to take a loss.
Inspect The Merchandise
Once you’ve bought your liquidation pallet, you’ll need to inspect it to ensure that the items are in good condition and that you received what was advertised. Depending on the size of the pallet, you can inspect each item visually for damages and reject the pallet if something’s off.
Don’t be afraid to ask the supplier any questions that you have about the particular liquidation pallet. If you’re satisfied with the merchandise and the price, it’s safe to go ahead and finalize the purchase. If all goes well, you’ll have a great liquidation pallet with items ready to sell.