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In this video, Lonnie from Storage Auctions explains how online auctions operate similarly to live auctions, adhering to state lien laws. The process starts with the storage manager creating an account on the auction platform, which is straightforward and supported by customer service if needed. Once the account is set up, the manager cuts the locks on the storage units and takes photographs, emphasizing the importance of shooting pictures sideways rather than vertically for better presentation. A minimum of seven photos is recommended, including one of the entire unit and additional images dividing the unit into quadrants, highlighting interesting or valuable items.