Use an equipment bill of sale to transfer equipment ownership from one person to another. Using an equipment bill of sale helps protect both the buyer and the seller in case of any disputes. It also details the sale terms and records the sale.
What is an Equipment Bill of Sale?
An equipment bill of sale provides the buyer with proof of purchase and ownership. A bill of sale for equipment also allows the new owner to demonstrate these facts and register a wide range of light, medium, or heavy-duty machinery. For sellers, using an equipment bill of sale form helps get all of the pertinent information on one document that clarifies the terms of the transaction.
It’s important to understand that equipment is a type of personal property that typically needs something in writing to make the transaction valid. For example, the United States Commercial Code (UCC) requires deals valued at more than $500 to be put in writing. If they are not, unraveling a deal that soured could be difficult.
A light, medium, or heavy equipment bill of sale for more than $500 protects the buyer and seller in the event that a legal dispute takes place. But even if the transferred cash is less than that amount, employing an equipment bill of sale Word template ensures all the particulars of the deal are clearly articulated.
What is an Equipment Bill of Sale Used For?
As a seller, you may not be obligated to provide the buyer with a legally binding bill of sale. But word-of-mouth deals and handshakes often result in miscommunications. The fallout from such disagreements can range from hard feelings with a community member to a day in court. That’s why it’s prudent to take a moment, go online, and access an equipment bill of sale PDF if you plan to sell any of the following goods.
- Home Appliances: From big-ticket items such as dishwashers, stoves, and laundry washers to small kitchen appliances, it’s crucial to fill out and sign a bill of sale.
- Outdoor Equipment: Using a farm equipment bill of sale seems commonsensical. But residential items such as mowers and other lawn care machinery also need documentation.
- Power Tools: While residential power tools aren’t always valued above $500, buying and selling generators, table saws, compressors, and nail guns, among other things, calls for a standard equipment bill of sale.
- Office Equipment: High-priced electronics aren’t the only business items that require bills of sale. Desks, storage cabinets, and other furnishings also call for sales documents.
- AV Equipment: Recording studios, nightclubs, DJs, and cinematography operations benefit from utilizing a digital or printable equipment bill of sale PDF when completing transactions.
- Hobby Equipment: Regarding a legal transaction, there is no difference between skiing, fishing, diving, woodworking, and construction equipment. The parties involved are best protected from disagreements when they document and sign off on the transaction.
A written or digital agreement allows buyers and sellers to review the details and ensure they sync with what was discussed. This gives them peace of mind long after the bill of sale is signed and the machinery changes hands.
What to Include in an Equipment Bill of Sale
It’s not unusual for sellers to work with an equipment bill of sale Word template to complete their deals. The equipment bill of sale printable version allows you to input all of the essential details and build a document that satisfies both parties. A reliable online template also helps prevent omissions and errors that result in a buyer being unable to register or adequately insure things like farm equipment. Remember to include these details in your bill of sale equipment documentation.
- Date: You must enter the current date on an equipment bill of sale when the actual transaction occurs.
- Description: This section includes the make, model, year, type, and color of the machinery in question.
- VIN: A heavy equipment or farm equipment bill of sale may need the vehicle identification number. If the item has to be registered, a VIN is usually required.
- Odometer: As with some farm machinery, a mileage reading may be necessary on a heavy equipment bill of sale for registration and tax purposes.
- Purchase Price: It’s essential to include the total purchase price to ensure that a buyer pays the correct taxes and registration fees. Identifying the payment type can help resolve post-sale disagreements.
Near the end of an equipment bill of sale Word template, there should be blank lines used to further identify the parties. People use them to enter buyer and seller names, places of residence, and the signatures needed to complete a transaction. Some states may require a notary. If a notary is needed, bring your identification and sign the bill of sale in the official’s presence.
How to Write an Equipment Bill of Sale?
Using an equipment bill of sale template simplifies the transaction process and helps you avoid legal oversights. The various sections of our template let sellers add customized information about each sale by following these steps:
- Step 1: Access the free equipment bill of sale printable version.
- Step 2: Enter the purchase price.
- Step 3: Include the buyer and seller’s names, addresses, and phone numbers.
- Step 4: Write in the make, model, year, type, color, mileage, VIN, or other applicable information.
- Step 5: If there are any special details or conditions, such as an “As Is” sale, put them in writing.
- Step 6: Finalize the purchase and sale agreement by signing and dating the document.
Where to Sell Equipment?
Most expensive equipment is sold in person after some negotiation regarding price, terms, and payment type. Expanding the buyer pool can help sellers increase selling prices. These platforms are known for equipment listings.
- Equipment Trader: This platform lists new and used equipment like construction machinery and tools. It charges a nominal listing fee.
- Machinery Trader: This site provides free listings for heavy-duty equipment.
- Facebook Marketplace: This free option has grown in popularity due to its category and regional search capabilities. It also has specific groups for equipment listings.
- Craigslist: This tried-and-true platform is excellent for getting the word out. However, sellers do experience a high volume of spam replies.
Equipment Bill of Sale Sample
Using a standardized equipment bill of sale template makes the selling process go smoothly. Our equipment bill of sale template serves as an accurate guide that ensures buyers and sellers can create valid and legally binding agreements.