A broker is a party that mediates between a buyer and a seller. A broker who also acts as a seller or as a buyer becomes a principal party to the deal.
This page is designed to explain what a “Brokered Sale” is all about! However, after you read through this detailed description, you may find yourself never wanting to shop at the grocery store, big chain - big box retailer or even ever wanting to buy gas again!
NO! AN AUCTION “BUYER’S PREMIUM” IS A FEE CHARGED BY THE AUCTIONEER FOR THE AUCTIONEER! A BROKER’S FEE IS A FEE THAT IS PAID TO A BROKER FOR THE RELEASE OF AN ESTATE, HOUSEHOLD OR CONSIGNMENT AUCTION.
In this case, a broker can be an attorney in charge of settling an estate, an estate sales person, a real estate agent and or real-estate “BROKER”. It can also be another auctioneer that releases a sale to a second party auctioneer for selling for a percentage of the sale. 10% is customary.
First, not all sales held by us are brokered. Secondly, you as auction goers know us only, as either Spears’ or Spears Auction. We are only 1 part of a multi part family run business. We decided 2 years ago to hold brokered auctions, because the sales from the local area are lack luster to say the least, as Allegany County’s average household income is only $20,000.00 Further, for the first year doing these brokered sales, Spears’ paid the 10% Brokers Fee out of the auction proceeds!
Because of the demographics of Allegany County, we will never sell the high end items that come to us from any source. Secondly, Spears Hall is a place of fellowship. A place where friends/family can come together for a fun evening out. And finally, unidentified Spears’ family members who have attended some of the sales, were shocked to overhear some of the following comments: “This place is a —— hole” “He (the auctioneer) doesn’t know his —– from a hole in the ground” “He (the auctioneer) is just giving this —– away!” *Loud Snicker* “I make good money off from this ——ing —–hole” (meaning the auctioneer)
Investment broker - IT broker - Joint venture broker - List broker -Low cost broker - Marriage broker - Mortgage broker - Options broker - Power broker (term) - Prime broker - Product broker - Real estate broker - Retail broker - Ship broker - Sponsorship broker - Stock broker - Yacht charter brokers—Just to name a few! And (If you have ever done business directly or indirectly with any of the above, GUESS WHAT? You paid a BROKERS FEE!
Big box retailers like, Kmart, Wal-Mart, Target, Sears, JC Penny's, Macy's, Tops, Wegmans, P&C and other big box grocery chain stores, all have a secret! The secret? You’re giving away up to 40% of every dollar spent in a big box retailer for no food, no service and no merchandise! This money goes just to pay their overhead!!! Not convinced? Read on!
Every big box retailer has overhead. Starting with ADVERTISING. Those colored inserts that you get in your Sunday paper. The local black & white ads that run most weeks in your local paper. TV, RADIO and BILLBOARD ADVERTISING, all add up to MILLIONS of dollars, just to get you in the store!
Big box retailers must have adequate parking. This means big money for, BLACKTOPPING, SWEEPING, STRIPING, AND MAINTAINING THE PARKING LOT. Big box retailers pay anywhere from $3.5 to $7.5 Million Dollars just to have their store built! After it's built, the combined real estate taxes can reach over $10,000.00 per year! Counters, gondolas, shelving and special signing, costs over a $1 million Dollars per store!
Store lighting inside and out 12-24 hours a day! 150 SHOPPING CARTS PER STORE THAT COST $77.00 TO $110.00 EACH! Floor contractors who sweep, mop, strip the floors and wax . Management payroll for: assistant managers, Store Managers, District Managers, Regional Managers, Corporate managers, and of course The Board of Directors, and THE CEO! And what big box retailer would not offer all of these management folks, (BONUSES)! Don't forget, the poor hourly associates who struggle on minimum wage, 50 or so in each store! They still have to get paid. Refrigeration Units running 24/7, Warehouse Workers, HVAC Units i.e., Heating, Ventilation and Air Conditioning, PILFERAGE and Fleet Service for trucks and leased vehicles.
Thee charges are all part of the stores overhead structure. In 1975 the USDA estimated that up to 40% of every dollar spent in a big box retailer goes just to pay their overhead and for that 40%, you get no food, no merchandise and no service. Again this is the amount of their overhead FEE! If you spend $100.00 a week in any big box retailer, at 40%, your giving away $40.00 per week for absolutely nothing. This is their overhead fee. In one months time, you will give away $160.00 and in just one short year, this will be $1,920.00 given to the store just to pay their overhead. Have you ever before thought about this?
By David Ellis, CNNMoney.com staff writer
February 1 2008: 2:26 PM ESTExxon Mobil booked the biggest quarterly and annual profits in U.S. corporate history Friday, helped by higher oil prices.
If you received freight by truck, remember paying a (GAS SURCHARGE), otherwise known as a FEE?
Note the (DELIVERY FEE on the bill) (the gas comes in a pipe!) You most likely have electric, Note the (Delivery Fee on the bill)! (The electric comes through a wire)!
While Spears’ has committed to a long list of Brokered sales, keep in mind that a 10% Brokers Fee is paying someone's salary and giving you a chance to see, bid on and perhaps own things that would never have been available to you before!
