In Reply to: Hey Jon Shafer: or any one else who might know posted by About 2.2% .Evan...(m) on November 24, 1999 at 03:27:33:
The holdback (2.2%) is paid to the dealer on the base MSRP of the car. So, if you negotiate a $2,000 over invoice deal...the dealer also gets whatever the base MSRP is on the car TIMES 2.2%. So, in actuality, they get "mo money"..."mo money"..."mo money"..or about $2,734 (in the case of a 328i).
The salesman would typically get about $400-600 on this deal...then rest going to the mgmt and the dealership itself.
Hope this helps.