SUCCESS STORY | SECURED LENDER
What if there was a way to recover maximum value in minimum time?
The lender was tasked with recovering a flight simulator – a large, highly-technical piece of machinery. The lender needed to minimize its losses on the item while ensuring a quick, commercially-reasonable sale. Having limited knowledge on the item and its market, the lender turned to Shattuck LLC, knowing the company would handle all aspects of the sale on schedule and on budget. With interest and enthusiasm, Shattuck accepted the challenge.
Understanding the time constraints the lender was facing, Shattuck was quick to put its process in motion.
The Shattuck crew hopped in a truck and drove three hours to the site of the simulator, where it was being stored on leased property. At the site, Shattuck met with the prior owner of the simulator, who had developed an intricate knowledge of the machine, including its complex controls and software.
Seeing an opportunity, Shattuck offered to hire the prior owner to assist in setting up the simulator for resale back at the Shattuck warehouse. Potentially on the hook for any deficiencies in the sale, the prior owner agreed to help with the setup. Then Shattuck got to work on the rest of its sales process.
High-quality pictures were captured. Value was assessed. And target markets were identified. These key insights inspired Shattuck to create a targeted mail piece featuring the simulator and advertising the upcoming online auction where it would become available for sale. The postcard went out to a list of flight schools and training facilities nationwide.
Shattuck’s postcard landed in the hands of a Colorado flight school owner who was preparing to buy the exact simulator brand new for $125,000. He immediately made arrangements to view the simulator in person and was able to secure the winning bid when it went up for auction. The simulator sold for $88,000, more than 70 percent of its brand-new value.
The outcome pleased everyone. The buyer was able to get a great deal on a pristine piece of equipment. The previous owner was able to play a role in the sale, helping to minimize any deficiencies owed. The lender recovered tremendous value for its collateral with a sale that was commercially reasonable and quick – only two weeks from start to finish. And Shattuck was able to build ongoing trust and rapport with the lender, tailoring its services to meet their requirements.
at a glance
When a secured lender had to repossess a flight simulator machine, they didn’t know the best way to deal with it. So they called Shattuck LLC – a full-service auction company specializing in secondary equipment sales at all levels of trade. Shattuck physically recovered the simulator, assessed its value, set it up for sale, and identified and targeted the buyer market. The results were remarkable. With Shattuck making the sale, the lender recovered more than 70 percent of the simulator’s new cost value, an unprecedented return on collateral. And the entire process only took two weeks.
It's all in the numbers