What is closeout sale?

A closeout sale is a type of sale in which a company liquidates its inventory before closing down, moving to a new location, or changing its product line. During a closeout sale, the company typically offers significant discounts to customers in order to quickly sell off the remaining stock of merchandise.

Closeout sales typically occur at the end of a season or a company's fiscal year, or when the company is looking to clear out old or overstocked items. These sales can provide customers with an opportunity to save a significant amount of money on high-quality products, but it's important to act quickly, as the discounts offered during a closeout sale are often only available for a limited time.

In addition to directly benefiting customers, closeout sales can also help the business by reducing the amount of inventory that must be moved or stored. By quickly selling off extra inventory, a company can free up space and resources for new products and initiatives.