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Old 10-08-2019, 08:38 PM   #86
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Originally Posted by BandB View Post
I'd change the phrase to "I get better deals with immediacy." If you can complete the deal right then, it pays. Now, if you have financing lined up and do that subsequently or immediately, no issue. However, if one has to wait, it's a different story.

Years ago, I knew an incredibly successful used car dealer, finest cars around and great reputation. Long before Car Max, he'd purchase very nice used cars at more than other dealers. However, he also regularly drove around the country side. He never used the interstate, but he looked for cars along the way for sale and some not for sale. He'd see a car in a front yard of a farm house and pull up. He'd offer cash right then and his wife was a notary so could complete the deal on the spot. People would sell to him who had no plans of selling, really on impulse.

We buy small businesses and guarantee closing within 7 days from our offer, doing all due diligence and other in that time. The norm is months and most never complete. I recall Wayne Huizenga (who I'm not a fan of) making the statement decades ago that all his business negotiations for acquisitions were negotiated in a maximum of 3 days. He'd tell his lawyers and the other side that he wanted to make the purchase and they had 3 days to make it work. Contracts had to be short and succinct too. Many good deals for both sides are ruined by teams of people nit picking the agreements for months over things really immaterial.

For the most part, the kinds of deals we're talking about here though are cash which can be now vs. financing which can easily drag out for a month or more. In that case, cash may get the best deal.


Excellent points!

Expediency works wonders. No lawyers and accountants help. There's an argument that if it's a real deal, close it in a few hours.... maybe a day if you need a surveyor or second opinion..... but keep the fuse really short.
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