Difficult Offer to Accept | DomainInvesting.com

Difficult Offer to Accept

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When I agree to buy a domain name in the aftermarket, I typically have a value in my mind for that domain name. This value assumes the right buyer wants (or needs) to buy it, and they will be willing to pay what I believe is a fair price for the domain name.

Oftentimes with my domain names, I will reach out to prospective buyers to gauge interest in an acquisition. In addition, when I receive an unsolicited offer for a domain name, I may also reach out to prospective buyers to see if any other companies would be willing to pay more for the domain name.

The result of these sale efforts is sometimes a decent offer, but one that falls below what I think the domain name is worth. Offers that are decent but fall short of what I believe the value to be are difficult to accept.

On one hand, I have reached out to the most obvious prospective buyers for a particular domain name, and the offer I am contemplating is the best of what I received. On the other hand, another buyer could want the domain name in the future and they might be willing to pay much closer to what I believe the value is, especially because it can be more difficult to get an offer when I am essentially cold calling.

When I receive offers that aren’t all that close to what I believe the value is, but the offer is fair, I make a determination about whether it is better to reject the offer and hold out for more in the future. Some things I think about when I am in this situation include:

  • Responses from the companies I contacted
  • Previous offers for the domain name
  • Number of offers received
  • Earnings for the domain name
  • Other opportunities that are available
  • Cash position

If it makes sense to my business, I would consider selling a domain name for less than I think it is worth. Sometimes it is better to sell for a bit less when a decent offer is presented than to regret passing on the offer.


About The Author: Elliot Silver is an Internet entrepreneur and publisher of DomainInvesting.com. Elliot is also the founder and President of Top Notch Domains, LLC, a company that has sold seven figures worth of domain names in the last five years. Please read the DomainInvesting.com Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest.


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Comments (11)

    Chip Wilkes

    Elliot, I would like to get you professional opinion on the value of a domain I my put into HA’s February finacial/banking auction.

    While I have a perceived value in mind (in August 2008 I started to work on the app Bank related.) I would like to compare my value against someone who has been actively buying and selling domains.

    What would be your perceived value of “iBankSavings.com” as in (Internet Bank and Savings)

    As example: “esurance.com”

    I do have potential IP in the form of a prototype to go along with a possible acquisition.

    Your value will help me understand real market value.

    Thank you in advance

    Chip

    November 25th, 2014 at 7:56 pm

      Elliot Silver

      Sorry, giving appraisals is not something that I do.

      If I give an appraisal to one person, ten more will ask, and it’s not something I am interested in doing.

      In reply to Chip Wilkes | November 25th, 2014 at 8:13 pm

      Konstantinos Zournas

      I don’t really like it.
      I only like “i” domains with a single word following.
      iBank.com is a good one.

      In reply to Chip Wilkes | November 25th, 2014 at 8:45 pm

      DNSelect

      HA won’t accept that domain. They only want super premiums.

      One or two word EMDs.

      In reply to Chip Wilkes | November 26th, 2014 at 12:30 pm

      DNSelect

      Konstantinos,
      I have one that fits your requirement… want to buy? :)

      In reply to Konstantinos Zournas | November 26th, 2014 at 12:34 pm

      Konstantinos Zournas

      Do you have iBank?
      I said I like them, I didn’t say I am buying them. :)

      In reply to DNSelect | November 26th, 2014 at 12:52 pm

    Bob

    Sorry to be the bearer of bad news, Chip, but the name isn’t really worth much, if anything.

    November 25th, 2014 at 9:53 pm

    Erez Lozovsky

    I’m very new to this “game” I’ve invented a logical based program to come up with some domain names, I don’t know if they have any value at all, but would love anybody’s feedback. Here are some of my names.

    http://www.drtcheap.com
    http://www.readingismath.com
    http://www.blisshemp.com
    http://www.fractalcurrency.com
    http://www.bitcoin4chan.com
    http://www.highfrequencymovies.com

    Any comments will be highly appreciated.

    Thanks.

    November 26th, 2014 at 9:22 am

    Yogesh Malik

    iBankSavings.com is not a high value domain

    November 26th, 2014 at 9:36 am

    Glenn

    Erez , drtcheap.com doesn’t pass the “Radio Test”. Oh , I know “drt” is supposed to mean “dirt” , but that’s because I’m LOOKING at the domain name and not HEARING it mentioned. Each and every time drtcheap.com is mentioned the spelling will have to be explained. That’s definitely not good.

    November 26th, 2014 at 7:44 pm

      Erez Lozovsky

      Glenn,

      I appreciate the feedback, your logic makes total sense.

      Thanks.

      In reply to Glenn | November 26th, 2014 at 8:19 pm

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