eBay Drop-off Auctioning4u Acquires Assets of iSold It UK
Auctioning4u announced it has signed an agreement to buy the assets of iSold It UK, which went into receivership. Both companies operate eBay drop-off stores in the United Kingdom, but with different business models.
iSold It UK had the rights to sell franchise stores in the UK under an agreement with iSold It LLC, headquartered in the US. Each location was a stand-alone operation that marketed their services and listed items for consignors. iSold It UK went into administration recently - a somewhat similar procedure to Chapter 11 in the United States, according to Auctioning4u CEO Christian Braun. That left four UK iSold It franchisees with stores already operating as well as up to 20 franchisees who had been close to signing leases for their locations, according to Braun.
President and CEO of iSold It LLC Ken Sully replied to inquiries with an email stating he could not yet comment, “as we have not finalized things officially with the administration in the UK.”
The iSold It UK franchisees now have the right to contract with Auctioning4u, according to Braun, though he said the existing iSold It stores have somewhat of a problem. Because of Auctioning4u’s centralized model, there is no need for large stores, but some of the iSold It UK franchisees are locked into larger spaces with long-term leases.
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