Dealer holdback programs permit the dealer to retain a portion of the invoice price.

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Dealer holdback programs do in fact allow the dealer to retain a portion of the manufacturer's invoice price. This is typically done as a way for the manufacturer to provide additional compensation to the dealer, while also allowing them to maintain a certain level of profitability on each vehicle sold. The holdback amount is usually a small percentage of the invoice price, and is paid out to the dealer at a later date, often after the vehicle has been sold.

Dealer Holdback Programs Permit the Dealer to Retain a Portion