Consignment is an arrangement in which goods are left with a third party to sell. The party that sells the goods on consignment receives a portion of the profits, either as a flat rate fee or commission. Selling via a consignment arrangement can be a low-commission, low-time-investment way of selling items or services.

What are examples of consigned goods?

Examples of goods often sold on consignment include light bulbs, produce, eggs, poultry, magazines, newspapers, Christmas decorations, garden seeds, batteries for flashlights and potted plants such as those found in supermarkets.

What is meant by consigned goods?

Consigned goods are products not owned by the party in physical possession of them. The party holding the goods (the consignee) has typically been authorized by the owner of the goods (the consignor) to sell the goods.