How a Backup Offer Destroys Your Deal

Someone might say, oh, I don't care if there's buyer number 2 out there because I have this under agreement, I'm going to perform under the agreement, and they're never going to get to buyer number 2, so it doesn't matter. The reality of the situation is, as you're going through the process, there's going to be accommodations that are sometimes needed on either side. There are going to be issues that are going to come up. If you identify $50,000 of issues by the end of the due diligence period and you want to talk to the seller about, hey, I need a credit for this, I need a reduction on that, I need you to fix the other, You have no leverage if they've entered into an agreement or they're still in discussions and you know marketing to other people because sometimes the seller regrets having signed the agreement of sale. If that were the case, then the seller would really not be in a position to to you know to want to accommodate you at all. They would kind of put you in a position where you have no choice but to terminate. Then they go to buyer number two.