How to Maximise Returns from Asset Sales: Auction, Private Treaty, or Tender?

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Selling business assets can be a complex process, but choosing the right sales method can make a huge difference in your returns. In this blog, we explore the three main asset sales methods — auctions, private treaty sales, and sales by tender — and help you decide which is right for you.

Understanding the Three Main Methods of Asset Sales

When it comes to selling assets, you have several options depending on your goals and circumstances. Here are the three primary methods:

1. Auctions

An auction is a fast and efficient way to sell assets by attracting multiple buyers to bid on them. Auctions can be held online or in person and offer maximum visibility to potential buyers.

When to Choose an Auction:

• When you need a quick sale

• When you want to reach a wide audience

• When you want competitive bidding to drive up prices

Pros: Fast process, wide buyer pool, potential for higher returns.

Cons: Final sale price can be unpredictable.

2. Private Treaty Sales

A private treaty sale involves selling assets directly to a pre-qualified buyer. This method is often used for specialist or high-value assets where a targeted approach is more effective.

When to Choose a Private Treaty Sale:

• When you want more control over the sale

• When you prefer a discreet process

• When the asset has a niche market

Pros: More control, discretion, and the ability to negotiate terms.

Cons: Can take longer to find the right buyer.

3. Sales by Tender

A sale by tender is a process where buyers submit sealed bids for an asset. The seller then reviews the bids and chooses the most attractive offer.

When to Choose a Sale by Tender:

• When you want competitive bids but need a structured process

• When discretion is important

• When selling a portfolio of assets

Pros: Encourages competitive bidding, allows the seller to choose the best offer.

Cons: Requires a clear bidding process and may take longer.

Which Sale Method Is Best for Your Assets?

Choosing the right method depends on your goals, timelines, and the type of assets you’re selling. Value IQ can help you assess your situation and recommend the best approach to maximise returns.

How Value IQ Can Help Maximise Your Returns

At Value IQ, we specialise in managing asset sales through auctions, private treaties, and tenders. Our team ensures that every sale is handled professionally and efficiently, giving you the best chance to achieve strong returns on your assets.

Contact Value IQ today to discuss your asset sales needs and explore our auction platform.

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