Lend.me is nothing but a classless operation

Brian masin · Mar 29, 2015

So i like most of you have been seeing these ads around this forum as well as others for lend.me money based on your domains value. I dont have the prettiest list of domains, but one thing i do have is a lot of sites that have a high value in estibot, which is what lend.me bases their valuations on. Soi hadnt dont the calculations in a number of months, but was happy when i ran the numbers and came up with a total of $75k which was made up of 35 domains. I am thinking 20-30k isnt out of the question if i have triple that amount in domains. EHHHHHHHH...no, sorry...you get the award for biggest clown shoe here today. After spending an hour or so answering the questions about money use and company goals, i added the site list and submitted it. I figured i would hear from them at some point this week. Nope, no longer than 3 or 4 minutes later i receive an email saying thanks but you have provided to many sites..your app is being rejected.
I dont know what to say a t th is point,, so i write to him and ask what type of sites are they looking for. He tells me that they are looking for 1 or 2 sites in value of 100k per site. So i decided to bust this guy up with q uestions...how long is the loan term, how does the lender get paid, how MUCH is the INTEREST on this loan. Now th is is where i wouldve either punched h im or laughed at him had i b een there in person. He say s that the % is 12 and the money that will befunded will be for every 100k you put down we will offer $10k. I am not rich, but i am figuring anyone that is rich didnt get th at way by giving up all their assets for 10% of what i t is worth and 12% interest. if that sounds solid to you then obviously give it a s hot, but the gentleman i worked with made it very clear that if you werent a high roller then you werent wanted.

iowadawg · Mar 29, 2015

So you are pissed because they have rules and you lost out?
Geesh....
Do not go to a Ferrari dealer and expect much then.

Brian masin · Mar 29, 2015

oh are the ferrari dealers posting banners on sites where more then 95% (just a guess)the people frequenting that site dont have the means to obtain the loan. Yeah, you dont see farrari peddling their cars to anyone but the 1%ers
Just like every other lending institution they are full of it. How many people are there out there that have sites worth $100k or more. Furthermore, folks that have $100k sites at their disposal arent usually in need of this type of loan. I think it is false advertising. I mean h ow many people saw that and were excited at the thought of using their domains as something more than a saved doc on y our computer. Their banner should read Get a loan only if you are a 1%er.
If that is how you do business then i would write the same posting up about you. I dont like my time wasted and was writing more to inform others of the issues i see, then complain. I guess you visit a lot of ferrari dealers huh...so this is normal.

IntricateWare · Mar 29, 2015

It would really help to understand the point you're trying to get across if your sentences are properly put together.

Brian masin · Mar 29, 2015

here is the point...if you are going to take the time to fill out the app and dont have a site valued at $100k, then you are wasting your time.

iowadawg · Mar 29, 2015

Still, got to love people who whine over nothing.

Kate · Mar 29, 2015

Brian masin said:
I dont have the prettiest list of domains, but one thing i do have is a lot of sites that have a high value in estibot, which is what lend.me bases their valuations on. Soi hadnt dont the calculations in a number of months, but was happy when i ran the numbers and came up with a total of $75k which was made up of 35 domains. I am thinking 20-30k isnt out of the question if i have triple that amount in domains.

We all know how worthless automated appraisal tools are. And I seriously doubt they rely on estibot before lending money. Of course they won't, they are not crazy. A manual (human) check will always take place before somebody writes the check. Otherwise they would go broke in a hearbeat. Plenty of crap domains in oddball extensions pass the estibot test.

I am not convinced your 35 domains are truly worth $75K. Even if they are good, domain names are very illiquid assets, it's not like you can raise 75K overnight by putting them up for sale.
Probably, there is a huge gap between your expectations and their assessment of the situation, hence their declining your application

URLtrader · Mar 29, 2015

Those offering loans against Domains usually appraise a domain at 5 to 10% of estibot valuation. And they want 5% interest. No Sir, not 5% Per Year. It is 5% per MONTH !!! So if your domain was appraised for
$ 100,000 by estibot , you would be lucky to get $ 10,000 loan. And if you do get $ 10,000 loan, be ready to pay $ 500 as interest per month. In 20 months you paid $ 10,000 to the lender and you still owe him $ 10,000. And you will be lucky if he has still not sold domain to recover his money because loan was for a short time in the first place. All said and done, you gave him $ 100,000 worth of domain (for argument sake let us say its resale value is $ 50,000). And you paid $ 10,000 in interest in 20 months. So after 20 months you still owe him $ 10,000. He sells it for $ 50,000 or even $ 25,000. He got his $ 10,000 back in 20 months. Plus he got anywhere from $ 25,000 to $ 50,000 for domain.

A better option for domain seller is to sell it (NOT take loan) for $ 25,000. At least now you do not have to worry about interest, default etc, and can sleep peacefully.

iowadawg · Mar 30, 2015

There you go in a nutshell.
Buy on credit, you are paying more than the object you bought.

Joseph Green · Mar 30, 2015

@Brian masin

Try inteLend.com, they have been around longer and will advance cash on any domains that they believe have value.

Domainace · Mar 30, 2015

I could probably hand reg $75000 in Estibot value domains for under $100.
Those same names would be lucky to get a $1 opening bid here. Expecting someone to loan even $100 on names like that is pure fantasy.

The only way you can get a $100 loan on a name is if the lender could post the name for sale here at NP and literally have it sold for at least that much in 48 hours.

The fact is, most of your domains have no liquid value at all. Nothing wrong with that - most of my own domains have no liquid value either. If I had to sell tomorrow, I would be lucky to get a couple bucks each. That's domaining. Low liquidity and high profit margins. There are no shortcuts. If you have a very liquid name, then you might expect loan on half its value.

Less than that if you start a thread on NP saying the lender has no class.

brandnow · Mar 30, 2015

Have you ever been to a pawn shop? If you bring in an item worth $100. It's very likely they will offer you $10, maybe $20. That's how it works.

12% is NOT GREAT AT ALL, but there are much higher interest rates out there.. like credit cards.. 30%, etc.

Brian masin · Mar 30, 2015

obviously i am not explaining this well enough. my 35 sites couldve been the bees knees the cats pajamas the best domains since sliced bread and he wouldnt of awarded any money to me. i even asked him what if i was able to get you 10 $10k domains...nope too many sites. hell i even said from the begginning my sites werent the prettiest. not trying to get in arguments who obviously know way more about domaining than i do...just letting out some frustration and a tip or two of what to expect if you go there

sdsinc said:
We all know how worthless automated appraisal tools are. And I seriously doubt they rely on estibot before lending money. Of course they won't, they are not crazy. A manual (human) check will always take place before somebody writes the check. Otherwise they would go broke in a hearbeat. Plenty of crap domains in oddball extensions pass the estibot test.

I am not convinced your 35 domains are truly worth $75K. Even if they are good, domain names are very illiquid assets, it's not like you can raise 75K overnight by putting them up for sale.
Probably, there is a huge gap between your expectations and their assessment of the situation, hence their declining your application

Brian masin · Mar 30, 2015

iowadawg said:
Still, got to love people who whine over nothing.

you probably get beat up a lot dont you. Who is whining...i am coming onto a forum to let you all know if you plan on trying to do business with lend.me it may be a waste of your time.

Nerevar · Mar 30, 2015

I think the lenders were trying to explain that they look for few very valuable names. The sort that get $100,000 automatic appraisal value. The sort of domains that you can sell for a few thousands on an 3-day auction.

cocaseco · Sep 18, 2015

That site is run by Francois Carrillo, one of the most respected names in domaining. I have had several communications with him and always found him to be very personable, professional and smart. I would bet a substantial amount that he doesn't use Estibot for valuations.

Of course the standard for domain quality is going to be very high, its extremely risky for him as even the best names are lacking in liquidity. You simply didn't have the quality names that would justify a loan. I would predict that if you posted the portfolio here, you would find that most people, probably all, would agree on the value being much lower than you think. Besides, any real businessman has spend countless hours seeking financing and been rejected time and time again. The amount of effort you put into it is completely irrelevant. The only factors that matter are your ability to repay and your ability to adequately collateralize the loan.

To get on here and disparage him and his company for using common sense and sticking to a business plan that minimizes his risk, while maximizing his return, makes you look childish and ignorant of basic lending principles.

johname · Sep 20, 2015

brandnow said:
Have you ever been to a pawn shop? If you bring in an item worth $100. It's very likely they will offer you $10, maybe $20.

A pawn shop does not have a set percent. If you bring in something that flys off the shelf they pay higher for it. Also if its something that has a known standard value they pay a higher percent.

On the other hand if the item is something thats not very collectible or daily life usable, they pay real low.

If an item is huge (takes up space) and there not a big profit to justify. They just tell you they are not interested

London555 · Sep 20, 2015

Brian masin said:
oh are the ferrari dealers posting banners on sites where more then 95% (just a guess)the people frequenting that site dont have the means to obtain the loan. Yeah, you dont see farrari peddling their cars to anyone but the 1%ers
Just like every other lending institution they are full of it. How many people are there out there that have sites worth $100k or more. Furthermore, folks that have $100k sites at their disposal arent usually in need of this type of loan. I think it is false advertising. I mean h ow many people saw that and were excited at the thought of using their domains as something more than a saved doc on y our computer. Their banner should read Get a loan only if you are a 1%er.
If that is how you do business then i would write the same posting up about you. I dont like my time wasted and was writing more to inform others of the issues i see, then complain. I guess you visit a lot of ferrari dealers huh...so this is normal.

So you were looking for 30% LTV on domains that are not readily liquid (please don't tell me they are unless they're really worth over 100K) and you're upset because they only lend 10% on high quality liquid names? We're in the finance business and I can tell you they'd be nuts to lend any more than that. I'm not sure I get why you're upset.

Lend.me is nothing but a classless operation

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