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advice on selling a domain

by ihavequestions
13 replies
I'm not sure if this is the right sub-forum, but I've been offered $175k for a one word domain with 8 letters before the .com. I really like this domain and wanted to develop it myself, but $175k seems like a good deal.

I assume that "if" I develop it then it would be worth $1m to $10m as "the place to go" on the web for this particular niche in 5 years but I'd have to put a lot of work into it and then it's still an "if" because nothing is ever a sure thing.

The company that is offering to buy the domain name is worth more than $1.2 billion and is one of the top 100 new companies by a popular index so they can afford it.

I'd like to hear some advice from some people who have been there, done that.
#advice #domain #selling
  • Profile picture of the author AidenTingley
    Wow... If you think you could develop it to 1M then do it. If you want a quick return just sell straight away... try to bargain the price maybe?
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  • Profile picture of the author Chaudhary Daniyal
    As for selling a domain to an End User goes - Never accept the initial bid !

    If you do own a domain which is of immense value to this particular end user, They wouldn't mind reaching deep into their wallets to secure it.

    For starters, You should get your domain name appraised! I'm not talking about the automated appraisals, I mean the real human based appraisals. There are ALOT of scammers out there but you don't need to look far - SEDO offers manual appraising for as little at $89 (I might be wrong) - Considering a $175K bid, this is a small investment to get you more acquainted with the actual market value of the domain.

    Moreover, If the domain is good enough to have a top 100 company contact you, think about the bid you could get if you contact the companies yourself!

    Finally, if you don't want to do down the path of making contact and sealing a deal, you can get a certified broker with a track record from http://NameBroker.com/ do the dirty work for you - Ofcourse you'd need to pay them 10% of the sale price.

    Remember, $175K is without you advertising the domain for sale! .. or so it seems.

    I wish you the best of luck.
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    • Profile picture of the author Steve B
      I question your "confidence" about the money being a solid offer and the fact you say that "the company can afford it." So . . .

      Counter offer at twice as much and settle in the middle. You'll quickly find out if the offer is real or not.

      A bird in hand . . . you'll have capital to start a real business.

      Here's the thing - why haven't you started developing the business on your domain name yet if it's truly a great name? I assume you've owned it for years. True entrepreneurs understand there is risk in business and nothing is a "sure" thing. So I say, if you haven't done anything yet with the name, chances are you're not going to begin now.

      Sell it and move on.

      Steve
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    • Profile picture of the author LuckyIMer
      Originally Posted by Chaudhary Daniyal View Post

      Finally, if you don't want to do down the path of making contact and sealing a deal, you can get a certified broker with a track record from http://NameBroker.com/ do the dirty work for you - Ofcourse you'd need to pay them 10% of the sale price.
      .
      NameBroker.com is a parked page.

      For OP, you should hire a domain broke, you will probably get more.
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      • Profile picture of the author Egyfitness
        Where did u get the offer from ? (Which website have u listed ur domain for sale?)
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        • Profile picture of the author ihavequestions
          they offered as much as $200k but now they pulled back and are going after trademarks so I have to play the trademark game now... luckily I've owned it for more than 15 years and I got my trademarks first...

          they are a company that just got $100million in funding and are valued at $1.2Billion, something like that so now they are trying to give me hard time for not taking their lowball offers...

          suckers!
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  • Profile picture of the author wentzco
    First of all - congrats on the offer!!!

    I don't know what domain you are talking about but it obviously has value. If you do accept this offer or a higher one - I advise you to use Escrow.com.

    Go to DNJournal.com Year-to-Date Domain Sales Charts & see selling prices reported this year & there is a link at the bottom of the page for the previous year reported sales (& on each previous year-to-date pages). Get a feel on what the value of your name is.

    Go to DN Sale Price- Domain Name Sales Price and History & type in your keyword to see if there were similar sales in another TLD extension (.com is 10-20 more valuable than .net or .org in most cases but not always)

    Do you get occasional offers on the name or have you had it listed for sale anywhere? Note - on my highest domain name sales I would only get maybe 1-2 offers a year & sometimes 0 offers.

    Now - here is a very tough thing to do "if" your name has much more value then the offer you got - counter with another offer yourself. I have rejected 6-figure offers on one name myself & it is a heart-thumper doing it (especially when the cash would come in handy). However - the offer you got may be proper & no negotiation is needed. If you feel the name is worth 250K... take the $175K offer IMO. If you think the name is worth 500K then likely a counter offer is needed.

    There also is the option of getting someone else experienced in domain sales of this size doing the negotiation for a % fee.

    Do what feels right in your gut.
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  • Profile picture of the author Tom Addams
    All you need to know is this: At this level, you need a professional domain broker.
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  • Profile picture of the author dbk03
    Why don't you try to make some sort of bidding on your domain name? Mabe there some other companies are interested in buying it, too. Or, find the competitors of the company which offered you $175k and see if they are interested, as well. Competition is making everybody to issue good deals
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  • Profile picture of the author Tom Addams
    The domain could be worth 10 times as much, not twice. Professional. Domain. Broker.
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    • Profile picture of the author Slade556
      Originally Posted by Tom Addams View Post

      The domain could be worth 10 times as much, not twice. Professional. Domain. Broker.
      Totally agree! At this point, you're not selling a domain for a couple hundred bucks, we're talking "k's". Lots of them.
      If you decide to sell it, you should definitely hire someone with experience to negotiate a better price for you. If the domain has such potential then it would be a shame to let it go for so little..
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  • Profile picture of the author Jack Gordon
    Assuming you are for real, you have received all of the right advice in this thread.

    Find a reputable broker and tell them you have a $175k offer in hand, and if they can do significantly better for you after their fee let them manage a bidding war.

    Good luck, and let us know how this progresses.
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  • Profile picture of the author DubDubDubDot
    First of all, it's impossible for you to receive good advice in this thread since nobody knows the domain name in question.

    That aside, the likelihood of you developing a seven or eight figure site from scratch is remote. Don't let delusions of future riches cloud your judgement to accept a good offer today. Besides, selling the domain doesn't prevent you from pursuing the project with a different domain. With the kind of money they are offering you can use a small percentage of it to buy another good domain from someone who doesn't hold out for big money.

    Originally Posted by ihavequestions View Post

    they offered as much as $200k but now they pulled back and are going after trademarks so I have to play the trademark game now... luckily I've owned it for more than 15 years and I got my trademarks first...
    This is a very serious issue. With the money at stake here it would be a great idea for you to consult with an IP attorney. It would be a shame if a $200,000 offer ultimately turned into a judgement against you at WIPO and you lost the domain and received $0.
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