Frequently Asked Questions For Sellers (Government Agencies)
Who can sell items on municibid?
To sell items on municibid you must be a municipality or state government agency. We also allow schools, colleges, fire/police departments and any other agencies related to public service. Authorities (utilities, transportation, etc) can also sell. If you are not sure if you can sell, please contact us.
Do we still need to run a legal advertisement/notice?
municibid's policy is to not provide legal advice, so this is a question for your solicitor. We have some government agencies who continue to run a legal ad (pointing potential bidders to municibid) and some who do not.
Can we set the auction duration?
Yes. You choose the start and end dates and times. We recommend 7 to 14 days, this allows time for our marketing of your item to take affect.
Can we reject bids?
Yes, you reserve the right to reject any bids for any reason.
Can we set a reserve price?
Yes. However, unless you have done extensive research on the value of your item and you are absolutely not willing to sell the item for even a dollar less than the reserve price, than we recommend against setting a reserve price. We have found that many sellers are not aware of the true/fair market value of their items and therefore set unrealistic reserve prices (either too high, or too low). And remember, you have the right to reject any bids for any reason, even if you don't set a reserve. We believe in letting the open market determine the high bid, and then you decide whether to accept or reject the high bid.
Is there a cost for us to auction items on municibid?
No. There are no commissions, listing fees or any other charges to auction your items on municibid. municibid is completely free for government, you will never receive an invoice from us.
So, how does municibid make money?
We charge the winning bidder a 8% Buyer's Final Sale Fee (which is extremely competitive). The winning bidder pays this directly to us via credit card at the close of auction. They pay you directly for the item at the full amount of the winning bid. For example, if an auction ends with a high bid of $1,000, we charge the winning bidder $80, they pay you $1,000 for the item. If you reject the bid, we refund the bidder their buyer's premium immediately.
How does municibid market our items?
Part of the benefit of municibid is we market your items to bidders at no additional cost to you. We market your items using a variety of methods. At the very minimum: All items are posted to Craigslist, Google, Facebook, Twitter and several other social media websites. We also create a YouTube video of your items based on your item's photos and description, this is posted to YouTube, Vimeo and several other websites. For specific items, such as Heavy Equipment and Fire Apparatus, we advertise with industry specific media outlets such as Rock and Dirt and the First Responders Network. We also distribute press releases and attract media attention for those government agencies who use municibid to help increase efficiency and generating more non-tax revenue.
What if the winning bidder does not complete the transaction?
While rare, from time to time a bidder will not come forward and complete a transaction. We make it very clear that when a bidder places a bid, they are entering into a binding, legal agreement. We also make it very clear that we have a Zero Tolerance Policy for deadbeat bidders. Since we charge their credit card (which is required prior to bidding) the 8% buyer's final sale fee, they already have money on the table and this will not be returned if they default. They will also be banned from ever using municibid again in the future, and we have technology in place to make sure they do not try to register under a different alias. If the winning bidder defaults, you may pursue legal action against the bidder, contact the second or third highest bidders (who will not be responsible for the 8% buyers final sale fee) to see if they are interested, or relist the item for auction. Please know this might occur in 1 out of every 100 or more auctions and we are doing everything we can to ensure this does not occur at all. In some cases we may also pursue legal action against the defaulting bidder.
Have a question that is not listed here? Please email it to email@example.com and we will respond ASAP!