Top tips for going to an auction

Read our report examining the benefits of buying at auction here

With the global credit crunch in full swing questions of saving cash are at the top of everyone's thoughts. Auctions are a good place for construction firms to bag a bargain. Here are our top tips for successful buying.

10 steps to help you bid at an auction

1. Review equipment online/in catalogue/first-hand

2. Prior to bidding, register at the auction office on the day or online.

3. Documents to be provided include a signed agreement specifying the buyer’s name, company, contact details and banking information, photographic identification and either a cash deposit or a guarantee letter from a bank or other credit agency.

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4. Registered bidders will be issued with a personal bidding number, bidding catalogue and list of the equipment in order of sale.

5. Once issued with a bidding catalogue a buyer may bid on any item in the auction and will be held responsible for any purchases applied to their bidding number. Note: buyers can place bids in real-time over the internet as well as in person at the auction house.

6. Each item of mobile equipment for sale will be driven across a selling ramp in front of the auction house theatre; bids should be placed during this period.

7. The auctioneer will announce the lot number and a starting price; if no bids are placed the price will be dropped until someone bids, then rise according to interest from buyers until no higher bids are offered, at which point it will be announced as sold. Bids can be made by the buyer raising their bidding catalogue.

8. Every item in an auction will be sold to the highest bidder on the sale date.

9. Once bidding is complete the bidder will receive an invoice listing all their purchases. Payment must  generally be made within seven days of the auction.

10. On completion of payment, bidders can collect their items; the auction house generally offers transportation options.

Top tips for equipment checks at auction

- Prior to bidding for equipment, it is advised that bidders hire a mechanic to check the equipment for safety and functionality if this facility has not been provided by the auction firm.

- Try to determine the value of the equipment prior to the bidding process beginning.