A minimum bid auction also called minimum published bid, is an auction for which the lowest acceptable price is pre-determine by the seller and the auction comapny. The minimum price is stated in the auction literature and advertisesments. It is also announced during the auction. When bidding reaches the minimum amount the property can go about the posted minimum amount and will be sold to the highest bidder,. Unlike an absolute auction, however the minimum bid auction creates a safety net for the seller.
Disadvantages of minimum bid auctions are that they may limit a seller's interest to buyers only willing to pay minimum bid price and that it is usually more difficult to generate excitement for minimum bid auctions on auction day.
What also may occur is that the minimum bid has been set and the highest bid is under the establish pre-determine minimum opening bid price , the seller can consider this bid ---- it is up to the seller to accept or reject.