Selling Your Surplus Assets

The aviation industry is transforming the way ground support equipment life cycles are being managed.

When you deal directly with customers, you open yourself up to a host of issues. The first is the credit risk. Cash in advance is probably the best way to go, and you may want to be sure that the check clears before you release the equipment. Even if you get paid, you may not be out of the woods. Once the customer gets the equipment, they might request a refund. At this point you face a dilemma: ignore the request and anger the customer or give the refund and lose the sale. Freight also can be a large issue. Clearly indicate which party will be handling the freight when the deal is closed. Finally, we have seen cases where customers have bought surplus equipment, used it while they were waiting for a new product and then tried to return it when they no longer needed it! While cases like these do not represent the norm in the industry, we have seen it too many times to not mention it here.

An Easier Solution

An alternative to braving the hazards of selling your surplus GSE by yourself is to partner with a company that faces these hurdles on a daily basis. Companies in the GSE industry specialize in doing sales under Asset Recovery Programs with their clients. In these programs the clients consign their equipment to a reputable partner who will take the equipment to market. The client agrees to share part of the revenue in return for shielding them from all of the risks discussed above. We have found that clients enjoy the ability of maximizing their return for a minimal amount of effort. The partner takes care of all of the logistics regarding the sale according to a pre-negotiated contract.

When you begin your search for this type of partner, be mindful of the qualifications necessary. Look for one with a diverse channel, such as direct sales, inside sales and e-marketing alternatives. Find one with a large database of contacts, a broad understanding of the market and a competent staff.

At Century GSE, we understand that selling your surplus equipment can be time-consuming, frustrating and difficult at times. However, it can also be rewarding for you to free yourself of your surplus equipment while recouping its value at the same time.

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