A reserve price means different things on different auction platforms. On Flippa and most traditional auctions it is a binding minimum: a bid below it cannot win. On ExitBid it is a target: buyers see how close bidding is to it, and once it is reached the seller can close the auction early, while the hard floor is the starting price. Setting the number well starts with knowing which of the two models you are using.
This guide compares the two models, explains how each one works, and shows how to set your starting price and reserve on each.
Two reserve models, compared
| Classic reserve (Flippa, most auction houses) | Target reserve (ExitBid) | |
|---|---|---|
| What it is | A confidential minimum the winning bid must reach | A confidential target, shown to buyers as a progress bar |
| Bids below it | Allowed, but cannot win | Allowed, and can win at the deadline |
| If it isn't met | No sale; on Flippa the listing moves into post-auction negotiation, like a classified listing | The auction ends on schedule and the highest bid wins |
| Once it is met | The highest bid at the end wins | The seller can close the auction early, at any moment |
| Hard floor | The reserve | The starting price: no bid below it is accepted |
| Main job | Protect the seller from selling too low | Push buyers to bid higher and give the seller a moment to close |
Neither model is better in general. The classic reserve gives the seller a veto at the end. The target reserve gives the seller a fixed floor at the start, a visible goal for buyers in the middle, and control over when to stop once the goal is reached.
How a classic reserve works (Flippa)
Flippa's help center describes the classic model:
- A bid must meet the reserve to win. The highest bid at the end wins only if it is at or above the reserve.
- Proxy bidding works up to the reserve. If a bidder's maximum is above the reserve, Flippa places a bid at the reserve on their behalf (Flippa: What is proxy bidding).
- If the reserve isn't met, the auction does not close as a sale. The listing moves into a post-auction negotiation phase that works like a classified listing.
- Editing is limited once bids exist. The starting bid, reserve and Buy It Now price can be changed while there are no bids. After that, the reserve can only be lowered, to $1 above the highest bid, and cannot be raised once met (Flippa: How do I change my listing price).
- Caps apply to small assets. Flippa limits the reserve on new, starter and non-revenue assets to $9,999.
- No-reserve auctions are a separate format. They start at $1 and guarantee a sale to the highest bidder.
How a target reserve works (ExitBid)
- The starting price is the floor. No bid below it is accepted; the check runs on the server, not just in the browser. Bids then move in steps of at least $500.
- The reserve is optional and its amount stays hidden. Buyers see only a progress bar of how close the current bid is to it. The bar is there to make the gap visible and nudge bids higher.
- Once the reserve is met, the seller can close early. There is no need to wait out the five days if the price is already where you want it.
- At the deadline, the highest bid wins. The reserve is not a veto: if it isn't reached, the auction still ends on schedule with the top bid.
- The starting price can be shown or hidden. A seller can list with an "Open" starting price; the floor still applies, buyers just don't see it.
The practical difference: on Flippa, the number that protects you is the reserve. On ExitBid, it is the starting price. The ExitBid reserve is the number at which you would happily stop the auction today.
How to set the numbers
On a classic-reserve platform
Set the reserve at your genuine walk-away price, the lowest number you would accept without regret. Set the starting bid lower, so bidding can begin and build momentum before it reaches the reserve. If the reserve sits far above what the evidence supports, the auction is likely to end in the negotiation phase rather than a sale.
On ExitBid
Set the starting price at your walk-away number, because it is the binding floor: the highest bid wins at the deadline even if your reserve isn't reached. Then, if you want, set the reserve at the price at which you would close the auction early, somewhere between your floor and the price you hope for. A reserve close to realistic value lets buyers see the bar move and gives you the option to stop at a good number; a reserve far above it only shows buyers a bar that barely moves.
Both numbers should come from evidence rather than effort: revenue and profit if you have them, users, traction and the cost to rebuild if you don't. For the methods, see how to value an online business and, for no-revenue projects, how to value a pre-revenue project. The free valuation calculator gives a range in a minute.
Common mistakes
- Treating an ExitBid reserve as a safety net. It is a target. The floor that protects you is the starting price.
- Setting the starting price below what you would accept on a platform where the highest bid wins at the deadline.
- Setting the reserve far above the evidence. On Flippa it usually means no sale and a negotiation phase; on ExitBid it means a progress bar that never moves.
- Pricing on effort or hope. Buyers bid on what the business is and does today, not on the hours that went into it.
Related reading
→ The ExitBid Format, Explained → Flippa Fees Explained (2026) → Auction vs Listing: Why Timed Auctions Sell Online Businesses Faster → How to Value an Online BusinessFrequently Asked Questions
A reserve price is a confidential number the seller sets for an auction. What it does depends on the platform. On Flippa and most traditional auctions it is a binding minimum: a bid below it cannot win. On ExitBid it is a target: buyers see how close bidding is to it, and once it is met the seller can close the auction early, while the hard floor is the starting price.
On Flippa, an auction that ends below the reserve does not close as a sale; the listing moves into a post-auction negotiation phase that works like a classified listing. On ExitBid, the auction still ends on schedule after five days and the highest bid wins. The reserve there is a target that pushes bidding, not a veto, so the number that protects you is the starting price.
No platform shows the amount. Flippa keeps the reserve confidential, and its proxy bidding can place bids up to the reserve on a bidder's behalf. ExitBid also hides the amount, but shows buyers a progress bar of how close bidding is to it, which is designed to encourage higher bids.
On Flippa, the starting bid, reserve and Buy It Now price can be edited while no bids have been placed. After bids exist, the reserve can only be lowered, to $1 above the highest bid, and it cannot be raised once met. On ExitBid you set the starting price and the optional reserve in the listing flow before the auction goes live.
A no-reserve auction guarantees a sale to the highest bidder, which attracts bidders but removes your control over the price. Flippa offers it as a separate format. On ExitBid every auction already has a hard floor, the starting price, so the reserve is optional: skip it if you would accept any bid above your starting price, and add it if you want buyers to see a target and to keep the option of closing early.
Set Your Floor. Add a Target. Let Buyers Compete.
$199 flat fee. Zero commission. Your starting price is the floor; an optional reserve shows buyers how close they are and lets you close early.