Mini Storage Owners Why And How To Hold An Auction

Mini Storage Owners: Why and​ How to​ Hold an​ Auction
Are you a​ mini storage or​ a​ self-storage owner? if​ so, do you have a​ number of​ nonpaying clients? if​ so, you may be wondering what your options are .​
After all, the​ longer a​ storage bay is​ unpaid for, but still in​ use, the​ more money you lose.
Although you are urged to​ first check your state’s laws, you should be able to​ host a​ mini storage auction .​
Most states do allow these auctions, but you may face some rules and​ restrictions .​
You may have to​ wait a​ set period of​ time before hosting an​ unpaid storage auction .​
Or, you may have to​ make multiple attempts to​ contact the​ default renters.
It is​ also recommended that you closely examine your rental contracts .​
Do you state what happens if​ payment is​ not made? if​ not, you can still hold an​ auction, but only after making multiple attempts to​ contact the​ renter .​
After a​ certain period of​ time, it​ is​ considered that they abandoned their property.
In keeping with contracts, if​ you do not have public storage auctions listed as​ a​ consequence for​ unpaid bills, redo your contracts .​
Add this important fact .​
Sometimes it​ will be enough to​ get your customers to​ pay their bills on time .​
Plus, there are always those who are upset and​ try to​ protest these auctions, especially if​ they weren’t written in​ their contract.
If your state does not have specific laws on the​ abandonment of​ property, 90 days is​ a​ good date to​ decide on .​
This is​ about three months that your renters had to​ pay their bill, but opted not to .​
Starting at​ the​ second month, make multiple attempts to​ contact the​ current renters .​
Start sending out warning letters and​ try to​ place multiple phone calls .​
Leave messages when possible .​
When doing so, be friendly .​
Spin it​ as​ if​ you are trying to​ help your clients save their belongings.
If you do opt to​ host a​ mini storage auction, decide how you want to​ sell .​
Should you auction off individual sealed bins or​ whole storage units? Since many units may have large furniture inside, it​ may be best to​ host an​ auction where bidders buy all the​ contents inside a​ bay .​
They are more popular and​ may draw a​ larger crowd, as​ bidders see this approach as​ getting a​ better deal.
Next, decide how you want the​ auction run .​
Will you handle the​ bidding yourself or​ hire a​ third-party auction house? Will you take live or​ sealed bids? It is​ recommended that you only accept cash, as​ it​ is​ quick, easy, and​ convenient .​

It is​ also important to​ set a​ deadline for​ buyers .​
Give them a​ specific amount of​ time to​ remove their newly purchased merchandise from your property .​
Remember the​ quicker your unpaid storage units are emptied, the​ sooner you can start renting them to​ paying customers .​
On average, most storage companies give their bidders 24 hours.
Although optional, you may want to​ rent a​ dumpster .​
This is​ a​ good idea if​ you have multiple storage bays to​ auction off .​
There will always be junk that people do not want to​ take home or​ try to​ resell .​
Advertising that you have a​ dumpster onsite will generate interest .​
Many will see it​ as​ a​ quick and​ easy way to​ get rid of​ junk .​
Just make sure that you charge a​ small fee for​ use to​ help recoup the​ costs.
Make it​ known before the​ start of​ the​ auction that all personal documents need to​ be turned into you or​ discarded immediately .​
This is​ important, as​ some people store their personal and​ financial documents in​ mini storage units .​
Do not take the​ risk of​ being held liable if​ someone becomes the​ victim of​ identity theft.
Finally, market your auctions to​ the​ general public .​
Put signage in​ front of​ your business, use the​ internet, post fliers on community message boards, or​ take out a​ newspaper classified ad .​
Once your public storage auction is​ announced to​ the​ general public, you just have to​ sit back and​ wait .​
When the​ auction arrives and​ if​ everything goes as​ plans, you should not only recoup your losses, but make a​ profit too.

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