Read the article you referenced. In a floorplanning agreement, the franchise owners have 100% purchased the inventory and are on the hook for selling the inven

Read the article you referenced. In a floorplanning agreement, the franchise owners have 100% purchased the inventory and are on the hook for selling the inventory. The purchase money is financed with loans using the inventory as collateral. The dealer fully owns the inventory and (in the absence of side agreements or regulations) assumes all of the liquidity risk. In particular, if a local franchise owner sees the manufacturer opening up its own store down the road, the franchise owner can't (in the absence of side agreements) tell the manufacturer to take back the cars because they want out of the business.