How You can Profit from Liquidation buying liquidation merchandise to resell in Texas can be a great side hustle or full-time business. Our guide will walk you through starting a business in Texas, how to source liquidation pallets in Texas, the market for liquidation merchandise in the state, as well as how and where you can sell this merchandise.
What are Liquidation Pallets?
Products get liquidated when a company goes out of business but there is a lot more to liquidation than the closeout process. Liquidation also plays an essential role in a retailer’s reverse logistics process. Items that are returned by customers or do not sell with enough velocity are also liquidated.
This is a great opportunity for discount retailers, flea market vendors, online sellers or anyone looking to start a side hustle to source their products for less by buying a retailer’s liquidation merchandise to resell.
This surplus merchandise is often liquidated at low price points for a quick sale – creating a business opportunity for you. You will find liquidation merchandise in Texas falls under one of these main classifications:
Customer Returns – Customer returns are products bought by a customer, in-store or online How You can Profit from Liquidation, later returned. This can happen for various reasons, such as buyer’s remorse or the item not working. When a returned item cannot be put back on the shelves (or relisted online), the retailer will liquidate it.
Overstock – Overstock is brand-new stock that was never sold to customers, often due to seasonality or version upgrades. Also known as ‘store stock’ liquidations.
Shelf Pulls – Shelf pulls (also known as ‘jobouts’) are products taken off shelves because they did not sell How You can Profit from Liquidation. Often, these are older versions or end-of-life items, or seasonal products.
Closeouts – Closeouts are products taken from stores that have closed, moved, or are undergoing renovation. This merchandise is also brand-new.
Learn more about surplus merchandise and why it is sold in these categories with our guide: What is liquidation?
Why Sell Liquidation Merchandise in Texas
With a GDP of $2 trillion in 2021, the economy of Texas is the second largest in the US.
With over 30 million inhabitants, Texas is the second most populated US state.
In Texas, 2.7 million small businesses employ 4.7 million people.
There are no corporate or individual income taxes in Texas, nor are there state property taxes.
The regulatory environment fosters small businesses: the rules are clear and easy to comply with.
The economies of the largest metropolitan areas in the state (Dallas-Fort Worth, Austin, Houston, and San Antonio) keep growing, stimulating the rest of the state economy.
Texas is a national transportation hub. Taking the Dallas/Fort Worth area as a starting point, a truck can reach 93 percent of the country’s population within 48 hours and 37 percent within 24 hours.
Texas airports are some of the largest and busiest in the country and the world.