Who doesn’t have a nearby store with windows covered with posters announcing a sale? Some stores appear to be spending years and years on the brink of renovation or closure. But that moment never comes, and now the claim is attracting consumers. Liquidation sales are a practice that retail law calls “close sales.” But it should not be used as a common trading strategy, but rather as a reaction to special situations.
So much so that the regulations clearly spell out the assumptions and conditions under which a liquidation sale may be conducted. Failure to comply could result in severe penalties.
No matter how many predictions are made, there are always circumstances beyond our control. When a hot winter comes, all forecasts explode and even if you make a significant reduction, it is possible that you will find an unexpected accumulation. Then what to do? There are several formulas:
liquidation sale. As indicated in the box, the liquidation sale can only and exclusively be carried out in the cases specified by law. Outside of them, other alternatives must be sought. The price is free and it is possible to sell at a loss.
Selling Credit. The fashionable shops of outlet either Factory in many cases they are supplied from obsolete or discontinued collections. They are the property of the discounter, since the law does not contain the term outlet. The sale through points of salethat are technically close-out or close-out sales, are made on products that have been in store for more than six months, or are damaged, stating the nature of the defect and its location.
Shopping centers. A small or medium-sized grocery, sporting goods, hardware, or home goods store isn’t interested in stocking up. Although this is not their main function, the headquarters can act as buyers of goods that have no outlet. If a retailer is standing in front of 1,000 shoes in sizes 31 to 39, he has a problem that is difficult to solve. But they can purchase these goods and distribute them to various stores.
mediator. There are middlemen who buy large quantities of goods share to place them in specific alternative channels, markets or lanes.
A liquidation sale is also subject to obligations towards the consumer. This is a very special transaction that is exempt from many of the rules that affect discounts. However, there are some aspects you should consider:
The reasons for the liquidation. The consumer has the right to clearly indicate that liquidation is involved and the reasons why this liquidation is being carried out.
When it comes to Products with a guarantee, you are required to seal the warranty or offer it on the same terms as a normal sale unless you state that it is an irregular sale. In the event that we are about to close, it is advisable to inform the customer that the guarantee is covered by the manufacturer and who to contact in the event of a breakdown.
If there is among the products that we liquidate faulty or deteriorated It is imperative to inform the buyer of the conditions in which the item is located. It is not the same to acquire a damaged item as an unusable one. In this case it is possible to assert claims.