10 steps to profit from truck auctions and change careers

• Declaration of bankruptcy of companies;
• Financial pending issues of taxpayers regarding the payment of taxes;
• Labor lawsuits from former employees.

Therefore, it is common for the judge responsible for the action to decide to seize assets so that the debts can be settled. As a way to get quick money, real estate, furniture and especially cars end up at auction.

Claims recovery

When we talk about accident recovery, vehicles are normally recovered from small and medium-sized accidents. This is different from the famous total loss, where the vehicle is unrecoverable.

In the case of medium-sized collision claims, the car receives new parts that are essential for its full functioning.

Before being sold, these trucks undergo tests that confirm their level of safety. When the car performs well in the tests it earns the CSV Seal, which is the Vehicle Safety Certificate.

There are also other types of accidents that can lead to a truck being auctioned.

If a vehicle is found after theft or theft, it is also subjected to inspection to confirm whether any damage is located only on the exterior.

It is common for vehicles resulting from this type of accident to have a good chance of maintenance and recovery.

Once this is done, insurance companies send them to auction, where they can be purchased for prices well below the price list.

Fleet renewal

This is one of the best reasons why it is possible to make money with a truck auction.

With the need to renew the vehicles that make up their fleet, medium and small companies choose to auction their older models.

With this measure, they recover part of the value invested in cars, motorcycles, vans and even trucks quickly, contributing to cash flow stability, guaranteeing the money needed to buy new vehicles.

Default

And this is the last reason why vehicles go to auction and can guarantee money in your pocket.

From the moment a person signs a loan, they become a debtor to the institution that provided the credit to purchase the truck.

As in practice, the number of installments tends to be reasonably large, the risk of unforeseen financial events arising along the way is also high.

Unable to continue paying the vehicle's monthly payments, the owners are then ordered to return the vehicles to those companies that made the installment payment possible.

The conclusion of non-payment is precisely the holding of an auction.

This solution found by companies is the most useful to reduce losses linked to buyers' default.

Now that you know the reasons why a car ends up in a yard, it's time to learn the 10 steps toThe make money with car auction and achieve the financial freedom you dream of

10 steps to make money with a truck auction.

There are some facts that make the auction a gimmick to make money.

The first is that they tend to happen far from dealerships, which helps reduce competition.

Furthermore, the possibility of trucks having minor faults brings prices even lower.

But this is just the beginning.

If you follow our guide, we guarantee you: Your money and consequently your financial freedom will be guaranteed, let's go!

10. Study the auctions

The first step for anyone looking to make money at auctions across Brazil is to start studying auctions.

Find out how an in-person auction works and how an online auction works.

Go to the auction houses on the day of the auction, observe how the movement occurs and most importantly: know the terms used.

Although the terms may seem confusing at first, they quickly become familiar and even funny.

It is unlikely that you will win a truck in the first auction you participate in.

Everything in life requires advance knowledge and dedication, and to make money in this world you also need to dedicate yourself.

9. Know all existing fees

This is one of the most important points for you to make money with a truck auction.

Before entering this universe, many people believe that they only need to pay the value of the truck. A somewhat common mistake.

In addition to the value of the truck, the bidder must also pay:

5% commission for the auctioneer or the company organizing the auctions;

Administration fees;

Other values depending on the type of auction and the organizer.

Furthermore, it is necessary to bear in mind that it is necessary to pay for regularization documentation, possible mechanical and aesthetic repairs.

All this information about what needs to be paid and the actual state of conservation of the vehicle is in the notice.

Another important point you need to know is that payment for the truck generally needs to be made in cash.

And this in itself makes the chances of making money even greater, as the competition ends up being less.

8. Create cash and working capital

Another crucial point for making money from buying and selling vehicles or scrap metal from auctions is the need to have a relatively large amount of cash.

In addition to cash, it is important to have working capital.

Working capital is another important point. As it will be useful to buy more and more vehicles.

Experts in buying and reselling pickup trucks and auction scraps say that a cash balance of around R$ 20 thousand is enough to start making money in this type of business.

“It seems like a lot, but after two or three successful purchases, the money starts coming in and then it's just joy,” says Lauro Filho, who has made a living buying and selling auction cars for 11 years.

7. Look for safe auctions

Here we have a very valuable tip, especially for beginners.

The internet has made it possible for many people to access auctions, but at the same time as this access has grown, fraud has come with it.

It's relatively simple not to fall for auction scams, but you need to pay a little attention.

Tips for finding safe auctions and auction houses are:

• Check if the address of the auction site is real, this can be done using Google Maps;
• Observe if there are Portuguese errors in both the name and vehicle statements;
• Check the presence of the Selo Leilão Seguro – this is an important practice that guarantees peace of mind and security in an efficient manner;
• Check the auctioneer's reputation, this can be done quickly on portals such as Reclame Aqui or through social networks;
• Pay attention to payment methods: NO auctioneer asks for advance payment;
• Always read the notice very carefully;
• Consult the list of fake auctions;
• Find out if the auction house is registered with the state commercial board, this is mandatory for the auction house to function.

6. Read the notice

The notice is the most important document in an auction. Therefore, it is more than mandatory reading for anyone who intends to buy a truck at auction to resell.

It is the notice that regulates the auction.

The notice will describe information such as date, time, legality, lots available at auction, vehicles, starting prices, conservation status, auctioneer's fee, costs to document the vehicles and much more.

If you want to make money with a truck auction, always read the notice!

And if there is no notice, our tip becomes an obligation: get out and don't participate!

5. see the car live

This tip may seem crazy to beginners, but it's a must for anyone who's been in the industry for a while!

However, many people don't know that it is not allowed to start the car before buying it. But you can look at it, touch it and even smell it!

So, right after reading the notice and having defined your targets, go to the yard before the auction and observe the car very carefully.

And here's an important tip: take a trusted mechanic with you.

Relying on a professional look and help at this time is essential to avoid making bad deals and suffering losses.

And remember we talked about touching and smelling the truck, okay.

Open the doors, open the hood, pull the oil dipstick, look at the latches. This indicates the condition of the vehicle.

Regarding the smell, if the truck smells musty, give up on the trim.

4. Find out what the vehicle’s list value is

Here we enter an important point of negotiation!

Knowing the list value of the vehicle is essential, when thinking about resale.

Even when purchasing at a lower than normal price, at the time of resale, you will hardly be able to sell the vehicle for values higher than what it is worth on the FIPE table.

Auction experts say that generally, most vehicles purchased at auctions offer a profit margin in the range of 20% to buyers.

In specific and special purchases, these margins can reach up to 30% and 40% of profit.

When we talk about scrap, profit margins are pre-established in the range of 30%.

3. Set a maximum amount to pay for the truck

After reading the notice, knowing the fees, the amounts that will be spent on documentation and possible repairs, you will need to stipulate a maximum amount to pay for the vehicle.

And respecting this maximum value is essential to avoid losing money!

When placing bids, always offer values below your stipulated maximum value.

If your limit is exceeded through another offer, you must cancel the purchase!

When you buy a vehicle for values higher than the stipulated maximum, the chances of taking a loss are high.

So accept defeat and move on to another target.

2. Buy the truck and regularize it

An important step to making money with a truck auction is purchasing the vehicle you are targeting.

Once you have purchased the truck, you must then regularize it, pay any pending issues, organize the documentation, carry out repairs that need to be done and that's it.

An important point that we need to say in all of this is that the process of releasing and regularizing documentation takes between 60 and 90 days.

1. Sell the truck and make a profit

And the main point to make money is precisely to sell the truck!

After you buy the vehicle, getting it in order before selling is what matters most.

Be honest, but firm when negotiating. This is how you will earn money to change jobs, fire your boss and achieve the much-desired financial freedom.

You can advertise your truck on specialized websites, social networks or leave it on consignment in a parking lot or dealership.

Important: you don't just arrive at the auction and buy

An important point for those who want to make money with a truck auction is that it is not enough to show up and simplyonly participate in an auction! 

To be able to place your bids, you need to register, be approved, and qualify to then participate in the auction itself.

We will now show you how to complete each of these steps before starting to place your bids.

Step 1: Registering

The first step to participating in an auction is to go to the auction house that is organizing the auction for the car you want to buy.

To register you need to provide the following data:

• Your full name;
• Email and other contact information;
• General Registry (RG);
• Individual Taxpayer Registry (CPF).

Once your registration is ready, you will need to wait for approval and obtain your license as we will show below.

Step 2: Approval and enablement

As soon as your registration is done, your approval will occur automatically, it's really very fast. In just over 10 minutes you will be approved.

Once approved, you will be very close to participating and selling the car at auction, all you need is a license.

And this is another very quick step.

To guarantee your qualification, it is essential to simply log in to the website of the auctioneer you registered with, choose the auction you want to participate in that has your truck of interest and that's it, you'll be able to place your bids to raise your money!

And here we have an important point that is worth highlighting: You will need to qualify whenever you want to participate in an auction promoted by the auction house where the registration was carried out.

Step 3: Participating in the auction

Once you have your registration approved and your license completed, it's time to participate in the auction and go after the vehicles that will guarantee good money for you.

Conclusion