Reading time: 2 – 2 minutes
(part 3 of 5)
“They” say “cash is king”- presumably because when you’ve got cash you have superior negotiating power in your money-making activity.
I used to buy and sell machinery – and I always bought low because I wouldn’t even look at the machine unless I knew I could sell it for more than I paid and had cash in my pocket to buy it on the spot.
One of my weaknesses is I’m not a very aggressive price negotiator – I want the other guy to feel good about the deal too. But if a seller ran an ad and said he wanted $600 for a machine, I would call up a seller and say “I’ve got $500 in cash and I’ll come and pick up that machine today if you’ll sell it to me for that,” – I never even went to look at a machine unless I knew I could take it home right then. I was “Johnny on the spot with cash”.
When making deals, you do need to strike when the iron is hot. In buying, you’ll get your best advantage by finding a motivated seller who will make a deal on the 
