Did you bid on Bidrail.com? This penny auction site has just closed its doors and a notice of dissolution is displayed on their site. The reason? They say it’s due to collusive bidding practices.
The BidRail website has been closed.
NOTICE OF DISSOLUTION
Notice is hereby given pursuant to Section 705 of the New York State Limited Liability Company Law that:
Iron Horse Industries LLC, doing business as BidRail, is being dissolved due to substantial losses incurred as a result of collaborative bidding by users among other extenuating circumstances. Unfortunately, it has become impossible to continue operations.
BidRail is winding up final matters. In this process BidRail will use all Company funds and assets available to cover as many outstanding liabilities as possible. Those that cannot be covered by will be discharged.
We apologize for any inconvenience this may cause you, and thank you for using BidRail.
What do you think of yet another penny auction site shutting down? Is the business long-term sustainable?
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Mike November 13, 2013, 8:48 am
Its easy to blame the bidders but shouldn’t the PA site take a bit of the blame.
Bidders are there to get a bargain if possible and if you have loop holes in your auction site they can and will take advantage.
After all they have the software to put safeguards in place ie win limits and so on.
(Just my opinion)
killme November 14, 2013, 2:03 pm
truth is the same cast of character do collude everyday and kill all new sites.Only way any of them will be long term is a serious advertising campaign