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A chain of Ace Hardware stores bought another store that was in their trade area. The store had a good location but was in an old, run down building. They needed to liquidate the inventory and sell the old fixtures so they could tear down the old building to build a new larger building and reopen as a new store under their name. Starting inventory ran $275,000. The opening day of our Pre-Showing sales ran over $28,000. Midway through the sale they brought in another $50,000 from a store they had previously purchased. The total cost of goods sold was $325,000 and gross sales ran $365,000 plus the sale of the old fixtures and equipment. I don’t know what they paid for the inventory but I would suspect they paid less than cost. If so, our sale paid for the inventory and the profits could go to help cover some of the remodeling expenses.
Note: If you are purchasing a hardware store and need to liquidate some or all of the inventory and fixtures to remodel and re-brand give us a call 888-480-7253. We can help you sell the inventory and fixtures and convert them to more cash than you paid for them!
We are facing highly unusual times. Stores in many states, cities and counties have been forced to close, and the consumer has been encouraged to stay at home and only shop for necessary items. It now appears that things are beginning to break open, the consumer is starting to get out and retailers are going to have to aggressively go after every dollar they can get to cover lost sales.
The retail industry has lost their good spring selling season. Retailers are stuck with two seasons of merchandise. Now they must reopen with a strong sale and heavy advertising to generate customer traffic and raise a huge amount of cash. Out of season and over stocks need to be converted to cash while in season merchandise needs to be sold to make as much profit as possible. AND IT NEEDS TO BE DONE AS SOON AS POSSIBLE!