INTRODUCTION
The problem of short-term non-liquidity arises when there is a mismatch between short-term liabilities and available liquid assets - in other words, when an individual or a legal entity does not have sufficient cash flow to meet short-term obligations, even though they possess adequate assets.
This issue often occurs when there is a timing gap between cash inflows and outflows.
The Sell with Buy-Back Option is one of the most effective methods that enables individuals and companies to resolve these short-term liquidity challenges.
In this beginner’s guide, we will explain in simple terms how the Sell with Buy-Back Option works.
In addition, we will briefly outline the operating model and working methods of Sellback d.o.o.
SECTION 1
WHAT IS SELL WITH BUY-BACK OPTION?
The Sell with Buy-Back Option is a financial and legal arrangement under which a seller sells a specific asset to a buyer, granting the buyer the right to repurchase that same asset within a predetermined period at an agreed price. Sellback d.o.o. provides precisely this type of structured financial and legal model - enabling you to monetize your non-liquid assets, in other words, to convert them into liquid assets - that is, cash. Non-liquid assets can take many forms, which we generally divide into movable and immovable assets. Movable non-liquid assets include property that holds tangible value but does not generate financial income for the owner - for example, gold, fine jewelry, artworks, luxury watches, automobiles, or boats. On the other hand, immovable illiquid assets most often refer to real estate that is not being used for generating additional value - such as unused office space, a building, a plot of land, or residential property that is privately owned but not serving its primary purpose (e.g., housing).
HOW DOES THE SELL WITH BUY-BACK OPTION WORK?
As mentioned earlier, the Sell with Buy-Back Option represents a financial and legal mechanism through which a seller transfers ownership of an asset to a buyer, while retaining the right to repurchase it within a fixed period at a pre-agreed price.
In other words, this model allows you to instantly monetize your assets - turning them into liquid funds, i.e., cash - while preserving the right to repurchase them later.
Practically, this means that Sellback does not only offer direct sale solutions, but also provides you with the opportunity to sell your asset temporarily, while retaining the right to reclaim ownership under clearly defined contractual terms.
SECTION 2
ADVANTAGES OF THE SELL WITH BUY-BACK OPTION
Sometimes an asset holds not only substantial material value but also personal or emotional significance. Items such as a watch, an artwork, or a property may represent something meaningful that you wish to retain in your ownership. At the same time, you may be facing a temporary need for liquidity, requiring immediate access to funds to bridge a short-term financial gap - a situation that could otherwise be solved only by selling your asset. In such cases, the Sell with Buy-Back Option offers not only quick access to liquid funds but also the ability to repurchase your asset and regain ownership under specific contractual terms clearly defined in the buy-back agreement.
This solution provides both financial flexibility and control, allowing you to unlock the value of your asset without permanently losing ownership.
DISADVANTAGES OF THE SELL WITH BUY-BACK OPTION
The main limitation of the Sell with Buy-Back Option appears when non-liquid funds are required for an extended period. This type of transaction usually includes a shorter maturity period, most often ranging between two and six months. Although this term can be extended, it is designed primarily for short-term financial needs rather than long-term liquidity solutions. Additionally, the purchase price offered in a Sell with Buy-Back transaction is typically lower than in a direct sale, since it takes into account the time window during which the market value of the asset may fluctuate.
This adjustment allows Sellback to manage risk effectively while guaranteeing your right to repurchase the asset under transparent and pre-agreed terms.
OTHER OPTIONS BESIDES THE SELL WITH BUY-BACK OPTION
While the Sell with Buy-Back Option offers numerous advantages, sometimes a direct sale may be a simpler and more appropriate solution for achieving temporary or permanent financial stability. If your goal is to liquidate your asset without the intention of repurchasing it, a direct sale provides a straightforward way to access funds immediately. For a detailed comparison of both options - their advantages, disadvantages, and use cases - refer to our Guide: Sell with Buy-Back Option vs. Direct Sale: Pros and Cons.
HOW DO SELL WITH BUY-BACK OPTION AND DIRECT SALE WORK?
Before signing either a Sell with Buy-Back Agreement or a Direct Sale Agreement, Sellback conducts a detailed valuation of the asset based on defined parameters such as:
- current condition and preservation of the asset,
- and its marketability, meaning the balance between supply and demand for that asset category.
Once both parties agree on the valuation and purchase price, the appropriate contract is signed:
- in the case of a direct sale, Sellback becomes the legal owner of the asset immediately, and the transaction is final;
- in the case of a Sell with Buy-Back Agreement, the client retains the right to repurchase the asset at the pre-agreed price within the specified contractual period.
It is important to note that, in transactions involving a Sell with Buy-Back Option, Sellback ensures that your asset is safely stored and insured throughout the entire contractual period - until the buy-back process is completed and ownership is returned to you. If the contractual terms of the agreement are not fulfilled, Sellback retains permanent ownership of the asset, in accordance with the contract. All buy-back terms and conditions are clearly defined in our informational forms, which provide complete details and guidance before signing any Sellback agreement.
SECTION 3
HOW SELLBACK VALUES AND BUYS ASSETS?
When determining the market value of your assets, Sellback applies a comprehensive evaluation process based on several key parameters:
- Current condition and general preservation of the asset compared to similar items available on the market.
- Market potential and liquidity, reflecting the balance between supply and demand for that specific type of asset.
During the valuation process, Sellback conducts a series of predefined checks and requests proof of ownership, which may include:
a land registry extract, certificate of authenticity, purchase receipt, or similar documentation. When it comes to real estate or valuable artworks, Sellback also consults and collaborates closely with certified court experts and licensed appraisers to ensure full accuracy and transparency in determining the asset’s value.
HOW DOES SELLBACK’S DIRECT SELL PROCESS WORK?
Selling your assets to Sellback functions similarly to selling gold to a jeweler, a vehicle or property to a buyer, or luxury goods to a licensed dealer. You provide us with your asset and the accompanying documentation, and we will make an offer based on the previously described valuation procedure. In addition to direct sales, Sellback also offers consignment sales and Sell with Buy-Back Option agreements. Depending on the model you choose, Sellback will prepare and present the corresponding contract outlining all legal and financial terms of the transaction. It is therefore essential that each client is fully informed about the contractual conditions prior to signing the agreement.
SELLBACK AND ONLINE SALES
Sellback offers direct online sales and ONLINE Sell with Buy-Back Option services, allowing clients to complete transactions from anywhere in Croatia, without the need to visit our office.
For online transactions, we require high-resolution photos of your assets, based on which our team will carry out the valuation and send you a detailed offer.
We also provide several secure and convenient collection options for your assets - ensuring privacy and comfort - including:
- Courier service, and
- Collection arranged by Sellback personnel.
LEGAL COMPLIANCE
Sellback operates fully in accordance with the Croatian Trade Act (Zakon o trgovini, Narodne novine No. 11/96, including amendments published in Narodne novine 101/98, 30/99, 75/99, 76/99, 62/01, 109/01, and 49/03*), as well as the Civil Obligations Act (Zakon o obveznim odnosima, Narodne novine No. 155/03, and amendments published in Narodne novine 35/05, 41/08, 125/11, 78/15, 29/18, 126/21, 114/22, 156/22, 155/23*).
All Sellback agreements are legally valid and transparent, ensuring full compliance with Croatian legislation and European Union standards.
WHY SELLBACK
At Sellback, clients can consult directly with certified court experts and valuation specialists for all types of movable and immovable assets. We operate with the highest level of discretion, professionalism, and confidentiality, ensuring complete trust throughout the transaction process. Sellback can purchase your valuable assets and transfer funds to your bank account within 24 hours of signing the agreement — or sooner, if contractually agreed. We specialize in the luxury sector, dealing with high-value assets such as luxury watches, automobiles, real estate, artworks, jewelry, and gold.
WHO WE ARE
Sellback d.o.o. is an investment company and a leading provider of asset monetization services through the Sell with Buy-Back Option model. Our service ensures immediate liquidity for clients and, through asset capitalization, provides attractive returns for investors. In doing so, Sellback contributes to the financial well-being of its clients, investors, and the wider community. Our team and external associates consist of qualified professionals specialized in the appraisal and management of movable and immovable assets. The company’s registered office is located in Zagreb, Croatia - Ulica Nikole Tesle 13/1.
For more information about Sellback, visit our About Us page.
To explore our specific areas of expertise in asset purchasing and resale, please refer to our dedicated service pages:
Individuals:
Companies:
