It’s no secret that fine wine has become one of the best performing alternative investments in recent years. Knight Frank’s 2014 Luxury Investment Index revealed that assets like fine wine had outstripped the FTSE100 within the last decade.
Needless to say, for those with high-end cases, fine wine could be the deciding factor behind luxurious lifestyle decisions such as early retirement. So if you’ve invested in fine wine or own wine that could be valuable, you may be wondering how you can guarantee a fair sale. For more information on how to sell wine online, follow the link.
Unfortunately, the wine investment industry is rife with risk, and finding a trustworthy method for selling fine wine can be very difficult. There are scammers posturing as professionals, companies making promises they cannot deliver and scores of businesses specialising in offering deceptively low bids.
Here is some honest advice on ensuring an honest wine sale.
Fine wine can be exceptionally valuable and should be treated as a serious investment. Just like with traditional investments, fine wine owners should only be ready to sell when they know exactly how they will be doing business.
It will be essential to seek the advice of companies who are willing to share information about themselves. Ultimately, the more you know about a wine buyer, the better. For example, with The London Wine Cellar, our customers can learn about our company: not only can they see that we are a proud trading name of Hatton & Edwards, they can also meet our team of wine industry experts and learn about their experience in fine wine investment.
Even better than being able to meet the team, free guides on how a company purchases wine can help sellers rule out any nasty surprises. This kind of easily accessible information regarding wine payment and collection is a key indicator of a trustworthy wine buying company.
Valuation and generating competitive bids
Free advice on wine valuation can be sought in a number of locations. Sellers can go to wine shops, create discussions on wine forums or consult with friends and family.
The most important valuation will be the one conducted by the wine buyer. Some wine buyers will offer a free wine valuation service, however; sellers must bear in mind that the quotes provided may not always be reflective of the wine’s true value.
Depending on the company’s intent, some valuations will be unrealistically high or low. Regardless of this fact, any offer can still be useful for generating competitive bids from other companies. This process should help sellers arrive at an approximate value for their wine, and give them more confidence when they decide to sell.
In conjunction with our free wine valuation service, we also provide a free wine inspection guide. This enables our customers to understand how much their wine could be worth before consulting with professionals.
Get expert eyes on the case
Whether your wine is in a bonded warehouse or your cellar, an excellent way to gauge the trustworthiness of a buyer is to have the wine inspected in person by a professional. This kind of service should come at no added expense and reassure any seller that they are dealing with an honest buyer.
Many wine buying companies will insist that sellers actually send their wines to be inspected. This risky process could result in the wine bottle becoming lost, damaged and can disrupt the harmony of a sale. After all, if you’ve already sent your wine, you may feel as though you’re on the back-foot.
When deterioration of the label can account for a value loss of 5-15%, sending a wine bottle to be valued – no matter how carefully it’s packaged – is not advised.
Following a professional examination, both the wine buyer and seller can be confident that they are entering an agreement that’s fair and based on fact.
At The London Wine Cellar we will happily travel to evaluate domestically stored wine. We can perform a complimentary cataloguing and analysis and arrange a sale on the very same day with no obligation required from the seller. If your wine is stored in bond, The London Wine Cellar will pay for the bonded warehouse personnel to carry out a valuation at no extra cost.
Find an enthusiast who really wants your wine
Even though the incentive is certainly financial, the process of selling fine wine should seldom be purely motivated by economic gain. For example, a wine seller is far more likely to experience an honest wine sale with a wine enthusiast rather than somebody who simply offers a large sum of money
It is advisable to remember that fine wine, unlike with oil or stocks, is a subject that many are truly passionate about. Wine buyers should be expected to prove their knowledge of the wine in question, and therefore demonstrate that their offer reflects what they know about the wine.
This can confirm the authenticity of a wine buying operation and promise that the wine will be going somewhere where it is appreciated as it should be.
At The London Wine Cellar, we make sure that potential wine sellers can see the wines we want to buy. Furthermore, with our years of experience in the wine industry, we encourage customers to get in touch with us so that we can talk about their wine in detail.