E-AUCTIONING

YOUR SALVAGE

SG: Tim, thank you so much for taking time to do this interview. 

TS: Thank you Shubham. My pleasure!!

SG: So help me understand the entire E-Auction thing here that you do.

TS: I manage SalvageSale portal where the salvaging process is done all online through a competitive bidding process on www.salvagesale.com. The sale is anonymous, we do not disclose name of the insurance company or the adjuster, and we simply provide the information on the damaged assets for buyers to bid competitively. Buyer from all across North America can bid and depending on what the assets are, we are also reaching out to buyers beyond the borders as well to drive value for the insurance company.  

SG: Excellent stuff!! So what is the best time to involve you and what are your charges?!!

TS: Best time to involve us is early on in the claims process. Most cases are pretty simple like selling an excavator that was damaged, which can be easily managed through a standard online auction process, but if you are , say, dealing with a cargo loss that has a brand protection agreement in place, then you want the salvage company offering different solutions early on to address such potential concerns. And there is no upfront charge. We work on a "no cure no pay" basis. 

SG: And what's the timeline on the auction process like?

TS: Upon completion of the bidding process, buyers are invoiced and payment is received into a neutral escrow account within three days. The account is setup to protect both the buyer and the seller. The seller knows that funds have been received prior to the release and the buyer knows that their interest is protected in case there is a major discrepancy.

SG:  So out of curiosity, how much worth salvage have you sold for customers in Canada in 2020?

TS: The numbers fluctuate year to year, but in 2020 we returned just over $6M CAD to customers in Canada on total losses that we handled.

SG: That is awesome Tim. Can you provide an example of one assignment that you handled for a Canadian client?

TS: Here is a great example. This was from the Ft. McMurray fires. 

 

SalvageSale was engaged to assist on this loss. We performed a site inspection with the adjuster on the file. Even though we prefer to sell AS IS WHERE IS, we determined it was critical to get the dealer back up and running and then worked to have the damaged assets relocated. We worked with our contractors to have the units moved to the Ritchie Bros. Edmonton facility. While onsite the units were inspected for functionality and sold online. When handling commercial losses, just like having accounting experts, engineers and such, you want to make sure you have a reputable salvor as well. One that can look at the situation, provide guidance on what has secondary value and how to attain it.

SG: So true Tim! What kind of assets were these?

TS:  Snowmobiles, ATV's, Utility Vehicles and Dirt Bikes, all affected with soot and smoke due to wildfires in 2016. A total of 59 such units were sold. Units were sold individually to achieve the best recovery. The units were cleaned, inspected, photographed and staged for sale at our yard in Edmonton. Inspections were available at the location, if necessary. The sale was concluded on our online Marketplace during the month of December. Buyers were advised that the location would assist with removal at no additional cost. Units got sold in 9 days and were easily retrieved by the winning bidders.

 

SG: That's excellent Tim. I would like to share some data that you provided with our readers. Hope you don't mind. Thanks again for the privilege of your time.

 

TS: Most certainly! Please do. Thank you.

 

 

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Number of Hits (per listing): 518

Number of Bids (per listing): 122

Number of Bidders (per listing): 37

Cycle Time (per listing): 21 Days

Total Winning Amount: $383,798

Net Proceeds: $356,929

67% Claim Recovery

Tim Sinyak is the General Manager – Insurance Services at Ritchie Bros. Salvage Sale. He can be reached at the below co-ordinates:

Direct: 1.713.286-4649 Mobile: 1.832.309.9357 Email: tsinyak@ritchiebros.com

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SALVAGE