What

I%26#039;m purchasing 60,000 business in California and seller%26#039;s agent is asking for $3000 deposit. Is that normal? I was planning to put just 2% of the purchase price. There is no competitor and this business been out in the market for over a year. Do I have a good leverage to negotiate?





Thank you for your help!



In this environment, the buyer rules... I would inform him that you are willing to put down 2% only. If he is unable to accept this, then I would find yourself another business to buy... And yes, you always have leverage as long as you are willing to walk away. And walking away should always be an option...





Also, be careful with this %26quot;no competitor%26quot; argument... If the business was so good, then the seller would be an idiot to sell in such a depressed economic environment. He is selling because he has to, and this one fact should naturally depress the price...


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