Consignment

Dictionary Says

Definition of 'Consignment'

An arrangement whereby goods are left in the possession of another party to sell. Typically, the consignor receives a percentage of the sale (sometimes a very large percentage). Consignment deals are made on a variety of products - from artwork, to clothing, to books. In recent years, consignment shops have become rather trendy, especially those offering specialty products, infant wear and high-end fashion items.

Investopedia Says

Investopedia explains 'Consignment'

Consignment arrangements typically are in effect for a set period of time. After this time, the goods are returned to their owner. Selling on consignment is a great option for individuals or businesses that do not have a brick-and-mortar presence, although consignment arrangements can also exist in cyberspace. To a certain degree, online companies like eBay are consignment shops, because, for a percentage of the sale, they offer people a marketplace to exhibit and sell their wares.

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