Should SMEs consider buying office and IT equipment at auction?

If you’re relocating and outfitting a new office or expanding your existing IT setup to support new team members, you’ll be keenly aware that the costs can quickly add up. Alternatively, you may still work from the kitchen table and want to bring your remote team together under one roof. Either way, it’s an exciting move, but a significant investment. 

Whatever your situation, buying used office equipment at auction can be a smart and cost-effective way to scale your business without stretching your budget. In this guide, we explore why auctions are a practical and reliable solution for completing your SME’s office setup without compromising on quality or performance.

What are office equipment auctions? 

Office equipment auctions give SMEs access to a wide range of items to set up or upgrade a workspace. That includes office furniture, IT and tech, lighting and electrical items, and telecoms and meeting room equipment. Rather than fixed prices, the items are sold to the highest bidder. That creates opportunities to secure commercial-grade gear at a fraction of the usual cost.

Generally speaking, there are three types of small-business equipment auctions:

• Online - You bid for used office equipment on online auction platforms without having to travel to a physical auction house. 

• Live or physical auctions - You attend an auction house where office and IT equipment are displayed and place your bid in person. 

• Liquidation auctions - You purchase equipment sold as part of a business closure or insolvency process. These auctions often offer excellent value, as the assets must be sold quickly to generate cash.

At Eddisons Asset Auctions, we are well known for our online liquidation and insolvency auctions. However, we also sell assets from office downsizing and relocations, restructuring and retirement.

What are the benefits of buying used office equipment at auction?

At auction, you can upgrade your SME’s office setup efficiently and affordably. Here are some of the advantages. 

Cost savings

One clear advantage of a small-business equipment auction is the opportunity to get your hands on affordable office tech at a discount. That enables you to:

• Buy higher-quality equipment than you’d otherwise be able to afford

• Acquire niche and specialist items that would usually only be available to larger operations

• Stretch your capital and invest in other critical areas

Immediate availability

Another benefit is the instant availability. There are often long lead times on new items, particularly office furniture, which can result in delays of several weeks or more. Our office auctions typically last 48 hours. That means you can quickly kit out a new office or equip a team member without the long wait, keeping your business running smoothly and meeting tight deadlines.

Environmental sustainability

Incorporating used furniture and tech into your SME’s office setup is a simple way to boost your environmental credentials and support your ESG goals. Every reused item saves resources, cuts waste and supports a circular economy. Employees and customers increasingly want to work for and buy from firms that take environmental sustainability seriously, making investing in used equipment an easy and tangible way to expand your reach. 

Adaptability and scalability

Small businesses are known for their ability to adapt to new situations quickly. Buying used office equipment and affordable office tech can amplify this strength. It allows you to scale up or down, trial new services and experiment with office layouts and working styles without making a significant financial investment. It’s this kind of smart, agile growth that keeps your business one step ahead. 

Flexibility in procurement

If you buy new office furniture and IT equipment, buying in bulk from a single supplier often unlocks discounts. However, in securing the best price, you tie up valuable cash flow, which is so vital for SMEs. 

When buying used office equipment at auction, you can acquire what you need, when you need it. That can be particularly beneficial for startups and companies in growth phases that cannot always predict their future demands. 

Best practices when buying used office equipment at auction

While auctions can be an attractive way to buy key equipment for your business, you should take steps to mitigate any risks before you place a bid. 

Research market value

Not every item sold at auction will necessarily be a bargain. That’s why you should have a clear idea of the price of equivalent new and used equipment. That will help you determine genuine value, avoid overbidding and set a realistic maximum bid based on the item’s age, specification and condition.

Check the warranty and return options

Most auction purchases are made ‘as-is’. There’s unlikely to be a returns policy, so take the time to make sure you’re happy with the item's condition. However, new items may still be covered by the original manufacturer’s warranty. Whether there’s an active warranty will depend on the product, the warranty's terms (some require the original purchase from an authorised dealer) and its condition.

Know what you’re buying

You need to know exactly what you’re buying before placing a bid. At Eddisons Asset Auctions, we provide detailed images and information about every lot, and encourage you to ask questions to clarify anything you’re unsure about. You can also physically inspect the items for added peace of mind.

For office furniture, a physical inspection isn’t usually necessary, but for technical IT equipment or machinery, it can be valuable to have a specialist view the item with you. That will enable you to bid with confidence and make an informed decision.

Set a budget and factor in other costs

Auctions can be a very effective way to reduce the cost of essential business equipment, but you should always set a strict budget and stick to it. When the hammer falls, you are legally committed to completing the purchase. Therefore, it’s vital to bid within your means and not get carried away by the competitive process.

As well as the bid price, factor in other costs, such as the buyer’s premium (usually calculated as a percentage of the winning bid), VAT and transportation. That will help you avoid any unexpected expenses.    

Upgrade your office for less

Buying office and IT equipment at auction can become a core part of your SME’s procurement toolkit. At Eddisons Asset Sales, we have business assets for sale across a broad range of sectors, including furniture and affordable office tech. Just sign in and register to bid.