Today’s Offer Could Be Gone Tomorrow
A little over a year ago, I had a $50,000 cash + small equity offer for one of my domain names. I turned it down because I thought it was worth more and had recently closed a couple of large deals. I still think the domain name is worth more, but I am more inclined to sell it now since I haven’t received any other substantial offers since then. Unfortunately, the prospect seems to have disappeared along with the offer, despite a couple of emails and phone calls.
When you are considering an offer on a domain name, you need to realize that the offer may not be there tomorrow if you turn it down today. Business and personal situations change, and even if the company still wants a particular domain name, they may not be able to honor their offer at a later date. It also could put the buyer in a better negotiating position knowing that the seller has come back looking to make a deal.
When an inquiry on one of my domain names is made, I often hear that a prospect is considering several domain names. Sometimes this seems like a negotiation ploy to get a lower price, but when I’ve been an end user domain buyer, I frequently do have other domain names under consideration. If I offer $50,000 for one name and I end up buying a different expensive domain name in lieu of the first, it’s unlikely I will still be willing to honor the $50k offer that I had made (assuming it was rejected).
As a domain name seller, I need to realize that any and all offers may not be valid after rejecting them, even if a short time has passed. Companies may have made another purchase, had second thoughts on buying a particular domain name, or perhaps the business climate has changed to the point that the investment no longer makes sense.
When I am buying domain names and the seller mentions a previous offer that was rejected, I always like to ask how long ago that offer was made. If it was made months or years ago, I emphasize that the offer is probably no longer valid. Although being able to brag to future buyers about a rejected offer may help increase their offer, the truth is, that high offer is most likely no longer available.
Perhaps another, better offer will come around in the future for my domain name. However, when considering an offer that is on the table, we all should realize that the offer may no longer exist the minute you turn it down, and a better offer may not come for a long time (or ever).
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