If you’ve ever been to an appliance store or spent time browsing the web, then you know how expensive restaurant items are. Between stocking a kitchen and setting up the front of the house in an inviting and welcoming way, the costs add up.
That’s why many people turn to restaurant equipment auctions to buy quality items at a fraction of the price. For those of you who are new to restaurant auctions, we compiled a guide of common items you can bid on.
Opening a restaurant isn’t cheap. In fact, the average startup cost ranges from $175,500 to $750,500. Depending on your situation, it could push well into the millions.
For some, these costs inevitably lead to failed businesses. About 17% of restaurants fail in the first year, according to a 2014 study by the U.S. Bureau of Labor Statistics.
Overspending on equipment is an easy way to get your business into financial hardship. Equipment is expensive, especially when buying new. However, buying used restaurant items can insulate your business from spending too much on depreciating assets — our longtime auctioneer Bill Rackley estimates equipment depreciates by as much as 1% per month.
Even if you’re not opening a new restaurant, equipment inevitably runs its course or needs replacing. Many existing restaurants look to the used marketplace for this very reason to save money.
These days, kitchen equipment and accessories can be found at auctions for reasonable prices — much less than what you would pay for new items at a restaurant supply or home goods store. For example, a commercial stove top range could cost anywhere from several thousand dollars to well north of $10,000. Bidding on a used range at an auction can offer serious savings — a Vulcan 10-range burner sold for $675 at one of our recent auctions.
Don’t let the term “used” scare you off, either. High-priced items such as cooktops, prep tables, storage units, and sinks are built to last and can withstand many years of wear and tear.
Restaurant supply auctions typically feature commercial items, but the casual home cook can also find deals in the way of pots, pans, utensils, and other kitchen accessories. Here is an overview of what you can buy at a restaurant auction.
These big-ticket items are mostly for restaurant and business owners who have a need to start building or replacing a kitchen — it’s hard to run a kitchen without a cooktop or refrigerator!
Quality furniture can last years and years in your home, but the constant use in a restaurant setting can call for more frequent upgrades. That’s why chairs, tables, booths, and bar stools are popular items at restaurant auctions. Here’s a tip: Buy used chairs and reupholster the seat for an updated look.
This category can serve both restaurant owners and and home cooks who need to restock their cabinets. Restaurants tend to acquire hundreds of forks, knives, spoons, plates, glasses, cups, and other kitchen accessories. These items tend to be durable since they’re handled so frequently. Some auctions may have specialty glassware, such as wine glasses and other drinking glasses.
Larger restaurants that produce high volume typically have pieces of cookware by the dozens. These items can help a restaurant replenish their cookware or a home cook upgrade their current setup. Amateur bakers can usually find quality pans and baking sheets that are durable enough to last a lifetime.
Safety equipment may be the last thing you’d find at an auction, but there is a market for it since all restaurants need these items in some capacity.
Whether you’re storing food or supplies, containers help keep items organized. You can find cleaning supplies at restaurant auctions that can also be used at home. These items may not seem like much, but buying them new can add up.
Restaurant equipment ends up at an auction in one of two ways: consignment or liquidation. Some restaurants may consign their equipment to auction if they’re upgrading their kitchen or need to move old inventory.
In other cases, a restaurant may decide to close down for several reasons, including retirement or not generating enough revenue. A restaurant liquidation auction would then include the entire contents of the restaurant, from the signage outdoors to the trash cans in the back of the building.
Ask questions and do your research if you plan to attend a restaurant auction. If the restaurant has been in business for 40 years and the equipment is original, then you may not get much life out of the equipment you buy. However, a newer restaurant that recently closed may have like-new equipment at a reasonable price.
Stop by or bid online the next time you’re in the market for restaurant equipment. In Oklahoma, we hold restaurant liquidation auctions several times a year, sometimes every few months. These auctions serve a large customer base, as they can include up to 400 to 500 items to bid on.
Check out our upcoming auctions page to stay up to date with the latest auctions available to participate in. If you have restaurant items to sell, contact us today or call directly at (405) 458-1645 to learn more about the consignment process.
