Auctioneerist Charity Auctions exclusively provides services for charity benefit auctions. Keeping the events fun, exciting, and entertaining, our group of professionals combine their efforts and resources to ensure all charity auctions we perform are a success. Caring deeply about friendly customer service, we have compiled a glossary of common terms and phrases frequently heard at a charity auction in an effort to help participants and guests feel more comfortable.
Charity Auction Glossary, Terminology & Phrases
Absentee Bid: A method of bidding by submitting a bid for a specific item when a registered bidder is unable to participate during the live auction event.
Appraisal: A formal estimate of an item’s worth, performed by an expert in that particular field.
“As Is”: Selling an item without warranties as to the condition and without guarantees of the functionality of the item. The winning bidder is solely responsible for deciding if the item is worth its present condition and bidding price.
Auction: A method of selling an item in a public forum through open and competitive bidding.
Auction Chant: Spoken words and numbers in a rhythmic repetition; performed by an auctioneer in the process of executing an auction.
Auction House: The company operating the auction as to which rules, regulations, guidelines, and services are upheld.
Auction Listing Agreement: A contract carried through by the seller and the auctioneer which authorizes the auction company to conduct the auction, sets out the terms of the agreement, and lays out the responsibilities and rights of each party.
Auctioneer: The person conducting the actual auction. They will address the rules of the auction and with an auction chant, will call the items being auctioned; call and acknowledge bids made, and announce the winner.
Bid: An offer of a price by an interested buyer that they agree to pay to purchase an auction item.
Bid Acknowledgment a.k.a. Memorandum: A form completed by the high bidder that confirms and acknowledges the bidder’s identity, bid price and description of the auction item.
Bidding: The act of participating in an auction by offering a dollar amount to purchase an item for sale.
Buyer’s Premium: The Buyer’s Premium is a fee paid by the winning bidder at auction. The Buyer’s Premium is disclosed prior to an auction and is generally identified as a percentage of highest bid.
Buyout Price: A price that, if accepted by a bidder, immediately ends the auction and awards the item to the bidder.
Conditions of Sale: The legal terms that conclusively acknowledges the conduct of an auction, including the acceptable forms of payment, terms of sale, buyer’s premiums, possession, reserves, and any other limiting factors of an auction.
Due Diligence: The act of researching information regarding the condition, functionality, and legal status of the assets to be sold.
Hammer Price: Price set by the last bidder and acknowledged by the auctioneer before dropping the gavel or hammer.
Increment: A minimum amount by which a new bid must exceed the previous bid.
Minimum Bid: The lowest increment that an auctioneer will accept as a bid; which is always stated in the offering brochure, advertisements, and is announced prior to each item’s auction.
Multi-Seller Auction: Items owned by many sellers auctioned in a single event, typically offered through a common promotional campaign.
No-Reserve Auction: A no reserve or commonly known as an absolute auction is an auction in which there is no minimum acceptable price; so long as the winning bid is at least the minimum bid, the seller must honor the sale.
Opening bid: The first bid placed on a particular lot which starts as the minimum bid, but may be higher.
Outbid: The bid higher than the previous bid.
Reserve Price: The lowest price that a seller is willing to accept for an item to be sold at auction.
Reserve Auction a.k.a. Auction With Reserve: An auction in which the seller reserves the right to accept or decline any and all bids that do not meet the seller’s reserve price.
Seller: The person or entity that has legal ownership of any interests, benefits, or rights inherent to the item.
Charity Benefit Auctions in Huntington Beach, San Diego, Los Angeles, the High Desert & Southern California
Auctioneerist Charity Auctions delights in helping individuals and organizations raise money for great causes. Charity auctions are a fun way to fundraise, as they always generate interested bidders looking to donate their time, finances, and have fun. If you are interesting in having a charity auction to benefit your cause, contact Auctioneerist Charity Auctions today!