6 Essential Silent Auction Rules for Your Best Auction Yet
Silent auctions make for an engaging activity for guests and a powerful revenue generator for your fundraising—it’s a win-win! To make your auction a success, you need clear rules for your guests, staff members, and volunteers to ensure everything runs smoothly.
We’ll discuss the following topics so your nonprofit can execute your best auction yet:
With this guide to silent auction rules, you’ll be well-prepared to host an organized, seamless event that delights attendees and brings in more revenue than ever before.
Types of Silent Auction Rules
The top types of silent auction rules you should establish include:
1. Bidder Registration Rules
Use registration to introduce your silent auction rules before your guests start bidding. Typically, silent auctions:
- Require each attendee to read and agree to the rules and regulations when registering.
- Provide a written copy of the rules (in the event program or on your auction signage).
- Have several volunteers stationed around the room to answer any questions.
By doing this, your attendees will have a clear understanding of how the auction will be run and what’s expected of them to make successful bids. Fundraising software can also make this process more efficient—guests can register beforehand and read the rules and regulations before agreeing to attend.
2. Auction Item Rules
Remember to include rules surrounding the silent auction items available at your event, including:
- Right to change items: Items may be added or withdrawn without notice.
- All sales final: All sales are final, there are no exchanges or refunds, and all items are sold “as is.”
- Limits may apply: Bidders are responsible for handling any restrictions that may come with items. For example, gift cards or certificates may be subject to availability and “black-out” dates.
These rules ensure that your organization will not be responsible for changes, adjustments, or restrictions on auction items.
3. Bidding Process Rules
A smooth bidding process is key to a flawless attendee experience, which leads to higher event enjoyment and even greater supporter loyalty. Before bidding begins, be sure to spell out:
- How long the auction is in effect, including start and end times
- When final bids must be made
- How minimum bid requirements work
- What minimum bid increments are in place
- Whether or not bids may be altered or withdrawn
- How many concurrent bids an attendee is allowed
These rules will clearly establish how your bidding process works, reducing issues during the silent auction. If you use fundraising technology, such as mobile bidding tools, you should also outline how those tools will be used to prevent confusion.
4. Legal Restriction Rules
Reduce your organization’s liability by following all state and country rules and regulations surrounding silent auctions. Outline restrictions such as the following:
- Each bidder assumes all risks and hazards related to the silent auction and items.
- Age restrictions may apply (on items such as liquor, gift cards to wine bars, or overnight trips).
- A valid ID will be necessary to purchase items with age restrictions.
Ideally, your organization should contact a lawyer to ensure that any silent auction rules about legal restrictions are accurate and enforceable. This is especially true if you feel your auction or items create any significant risk for your attendees.
5. Closing Bid Rules
Make sure your silent auction comes to a successful close by establishing these rules:
- No additional bids may be placed once the auction is declared closed.
- The highest qualifying bid (i.e. bid that complies with your established silent auction rules) wins the item.
With a dedicated auction and mobile bidding solution, you can automate this process and prevent bids from being placed after the auction’s close. Plus, you can automatically notify winners of the item they’ve won.
6. Checkout Procedure Rules
Don’t make it hard on yourself and your volunteers when trying to unite winners with their items. Establish rules that explain the checkout process:
- Winners must pick up their items in the checkout area by showing their payment confirmation.
- Winners must pick up all items the night of the auction unless special arrangements are made.
- If any item is left unclaimed, it will become the organization’s property and may be resold.
Be sure to confirm payment before handing over any items to prevent any misunderstandings and to ensure your organization receives the funds you were promised.
Silent Auction Rules Template
If you need help kick starting the policy-creation process, here’s a template for silent auction rules that you can use. Simply swap in your organization’s name, or feel free to customize it as you see fit.
Thank you for attending [silent auction event name] by [your organization’s name]! As an attendee, you agree to abide by the following silent auction guidelines:
- To participate in bidding, each attendee must agree to the rules and regulations presented here. By completing your registration for the event, you are stating that you agree.
- Each person bidding assumes all risks and hazards related to the auction and items obtained at the auction. Each bidder agrees to hold [your organization’s name], their elected and appointed officials, members and employees, the auctioneers, the auction company and its agents and employees, the event organizers, sponsors, and/or volunteers connected with the auction harmless from any liability.
- [Your organization’s name] reserves the right to add or withdraw auction items, without notice, to or from the auction.
- Some items are subject to limitations/restrictions listed in the catalog and/or on the gift certificates. By bidding on these items, the bidder agrees to accept these limitations and restrictions.
- For auction items which are services to be performed or items to be ordered, it is the buyer’s responsibility to make arrangements directly with the donor as indicated.
- The auction item value listed is an estimate of Fair Market Value (FMV). Items have not been appraised unless so noted. [Your organization’s name] is a 501(c)(3) organization. Any bid over the item’s FMV is considered a donation and may be tax deductible. Please consult your tax adviser to clarify the amount of deduction.
- A valid bid is considered made by clicking on the desired item, typing in a valid bid that adheres to the increment guidelines, and pressing submit.
- There will be a 5-minute warning and a 1-minute warning for the close of bidding.
- Additional bids will not be accepted or valid after the silent auction item has been declared as “closed.”
- The highest qualifying bid (a bid that complies with these auction rules) at the closing time is the winning bid.
- The auction will be closing at [time and date].
- Once the auction item is declared “closed,” the winner will be notified on their smartphone and be instructed to collect their winnings.
- A credit card must be placed on file before the event. Payments for items purchased must be made in full on the night of the auction.
- Following your payment, pick up your winnings in the checkout area. You must show your payment confirmation and photo ID if the item requires you to do so.
- Winners must pick up all of their items the night of the event unless special arrangements have been made. No refunds will be given for items left behind by the winner at the venue.
- Any item left unclaimed, without prior arrangements, will become property of [your organization’s name], even if the bidder has paid for the item. The item will be sold, and proceeds will go to [your organization’s name].
- All sales are final. No refunds or exchanges will be permitted. No item is redeemable for cash. You are responsible for the safety and security of the item(s) once you have claimed them.
Do’s and Don’ts for Your Silent Auction
Now that we’ve established what rules are essential for success, here are 7 do’s and don’ts of a silent auction to ensure your event goes off without a hitch.
1. DO recruit your best volunteers
In order to plan and run a successful event, you need to have a powerful and organized team of volunteers. This group sets up the event, manages the floor, answers attendees’ questions, and enforces your newly created silent auction rules.
So where can you find these volunteers? Round up your email list that includes your:
- Previous donors
- Board members
- Ambassadors
- Past volunteers
SILENT AUCTION TIP: In your communications, explain the event, where the proceeds go, and most importantly – how your volunteers help contribute to success!
2. DON’T over-procure silent auction items
We know it might be hard to imagine a situation where you have more items than you need, but it happens more than you think!
While an influx of items is great, over-procuring items may:
- Decrease the number of bids
- Overwhelm donors
- Effect the profitability of your silent auction
SILENT AUCTION TIP: Package your items into bundles to create more attractive silent offerings. Wrapping multiple items into one package will entice donors and drive more revenue.
3. DO organize your items by section
Each section of your silent auction should be organized with clear signage. Some ideas include:
- Labeling each section by category (ex: Travel or Camping)
- Having large signs with section numbers placed on easels
- Tying different colored balloons to the tables
SILENT AUCTION TIP: Begin the flow of your auction with your less valuable section and end with your most valuable. By saving the best for last you’ll dramatically increase competition among bidders and revenue for your organization.
4. DON’T use paper bid sheets
Paper bids have gone out of style. From deciphering handwriting to manually entering in bid data, there’s plenty of room for errors. Luckily, mobile bidding offers your donors an easier way to bid while generating more revenue.
- Constant bidding: Whether you’re mingling with friends, grabbing a bite to eat, or staying seated at your table, guests can stay connected to the auction no matter where they are.
- Time for fun: Attendees can bid on their cell phones then get right back to socializing with their friends (without worry). The software will alert them if they’ve lost their lead.
- Auto-notifications: Bidders receive outbid notifications, auction messages, and a countdown clock will appear on their mobile phone to drive last-minute bids.
- Remote bidding: Supporters who aren’t able to attend your event can still participate in bidding and support your cause from afar.
SILENT AUCTION TIP: Bidding from their phones allows supporters to participate in your auction – opening up new revenue streams, making bidding easy, and replacing the need for paper bid sheets.
5. DO ensure your silent auction items will be profitable
Ensure your silent auction items yield the maximum profit by including:
- Fair Market Value of each item
- Starting bids for each item or package
- Minimum bid increments
SILENT AUCTION TIP: When choosing a starting bid, industry experts suggest using 40-50% of the Fair Market Value (FMV). Ultimately, the minimum bids and minimum bid increments are up to the discretion of your organization. But the higher the starting bid price, the faster you can get to your goals.
6. DO monitor the traffic flow
Your event’s flow will need to be as thoughtfully planned out as the busiest intersection in town. You’ll want individuals to be able to move quickly and efficiently through your silent auction items, bidding on those that strike their fancy. Make sure to:
- Avoid table layouts that create crowds and make it hard to see the auction items.
- Create open auction areas that make it easy to browse from item to item.
- Utilize mobile bidding software so bidders can browse through your auction item listings on their phones and then instantly place their bids.
SILENT AUCTION TIP: When you make it easy for your donors to bid, auction proceeds skyrocket!
7. DON’T forget to follow up
Your event might be over, but your work is not. Follow up with your attendees and thank them for their support!
Promptly send thank-you notes to everyone who was involved with your event, including:
- Sponsors
- Attendees
- Donors
- Volunteers
- Staff
SILENT AUCTION TIP: In your thank-you notes, don’t forget the importance of telling your supporters how the money will be used to power your mission.
Executing a silent auction is no small feat. By putting clear silent auction rules in place and following the do’s and don’ts above, you’ll be setting your organization up for success.
Hosting a Thriving Silent Auction
With a clearly written set of silent auction rules that all attendees agree to, your organization will be well on its way to hosting a successful event. Ensure that all of your rules are easy to understand and follow and that you have staff members and volunteers around to answer any questions your attendees may have.
Every fundraiser and every cause needs the inside scoop to get the most from your next auction! Explore these additional resources to raise more and reach more:
- Online Charity Auctions Guide & 13 Best Auction Providers. You’ve heard about silent auctions, but have you tried an online auction before? Check out our top guide to online auctions, including top providers!
- 16 Premier Silent Auction Software Solutions to Grow Revenue. With the right silent auction software, hosting and running your auction will be a breeze. Discover the top solutions here.
- 5 Mobile Bidding Software Solutions to Boost Auction Revenue. Mobile bidding software allows you to automate the auction process and streamline bidding for attendees. Learn about the best solutions here.