Broker that makes more than you thought

xynames said:

In business, never worry about what the Other guy makes.

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Theoretically your statement makes sense but in practice it's completely illogical.
So just let the broker take anything over my asking price and not worry about the rest?

Let's put this in perspective to.... lets say.... the sale of a house.

I will just let the agent take all the money over asking price if a bidding war erupts for my house?
In my home town it is not uncommon for a house to sell over asking price.

Domains are no different, they are real estate and one should certainly be concerned if a broker takes more than a commission cut.

MapleDots said:

Domains are no different, they are real estate and one should certainly be concerned if a broker takes more than a commission cut.

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In my neck of the woods..word would get around fast, good chance lose job/license..

This is the full of what I stated:

xynames said:

As johnn somewhat pointed out it depends on what arrangement you have with the broker. If you are supposed to give him a percentage, then yes, he should report the gross selling price accurately, but if you just tell him "get me $X" then why should it matter what he sells for as long as you get what you expected.

In business, never worry about what the Other guy makes.

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Obviously following through with MapleDots’ sentiment, MapleDots is not going to buy a stock because he’s going to cry about how large the buy sell spread is and doesn’t want to feed the market makers. Meantime his dislike and worry over what the Other guy is making is keeping him from making a profit as the stock rises.

As I wrote - if you have a specific arrangement (“Sell my Andy Warhol and you get 20% commission.”) it should be adhered to and the correct selling price reported to you accurately.

Also as I wrote - If it’s open ended, and your only agreement is that you get a certain net sum (“Sell my Andy Warhol and get me $75,000.”) then don’t worry and cry about what the other guy makes. Anyone who dislikes such an opinion isn’t a real businessman.

xynames said:

Anyone who dislikes such an opinion isn’t a real businessman.

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HeHe... or anyone who worries about dislikes is just a bit thin skinned

xynames said:

This is the full of what I stated:

Obviously following through with MapleDots’ sentiment, MapleDots is not going to buy a stock because he’s going to cry about how large the buy sell spread is and doesn’t want to feed the market makers. Meantime his dislike and worry over what the Other guy is making is keeping him from making a profit as the stock rises.

As I wrote - if you have a specific arrangement (“Sell my Andy Warhol and you get 20% commission.”) it should be adhered to and the correct selling price reported to you accurately.

Also as I wrote - If it’s open ended, and your only agreement is that you get a certain net sum (“Sell my Andy Warhol and get me $75,000.”) then don’t worry and cry about what the other guy makes. Anyone who dislikes such an opinion isn’t a real businessman.

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PS. I own a really nice Andy Warhol limited reproduction mercedes print..

xynames said:

This is the full of what I stated:

Obviously following through with MapleDots’ sentiment, MapleDots is not going to buy a stock because he’s going to cry about how large the buy sell spread is and doesn’t want to feed the market makers. Meantime his dislike and worry over what the Other guy is making is keeping him from making a profit as the stock rises.

As I wrote - if you have a specific arrangement (“Sell my Andy Warhol and you get 20% commission.”) it should be adhered to and the correct selling price reported to you accurately.

Also as I wrote - If it’s open ended, and your only agreement is that you get a certain net sum (“Sell my Andy Warhol and get me $75,000.”) then don’t worry and cry about what the other guy makes. Anyone who dislikes such an opinion isn’t a real businessman.

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Couldn't of said it any better myself. Every story on this forum is turning into how can we be outraged, Quite pathetic

MSN-Domains said:

Couldn't of said it any better myself. Every story on this forum is turning into how can we be outraged, Quite pathetic

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At this point I don't think anyone is outraged, it seems to be a pretty calm discussion with two opposing point of views.

Personally I think there are good points from both sides and the entire topic is a good example of what an open forum is supposed to be.

Can I guarantee the topic won't morph into someone being outraged?
No I can't but the more responses one gets usually someone will get their knickers in a twist, that's just the nature of an open forum.

That’s why we have the Two Day Rule.
https://www.namepros.com/threads/unwatch-a-thread-the-two-day-rule.1134340/

Okay..when it come to brokers, real estate and domains, are we not comparing apples to tomatoes?
From what I know real estate brokering is way more regulated than domain brokering..

This is a basic business ethical question really, not regulated afaik, so no real law. Here an example, succinct.

https://www.ibba.org/more-ibba/code-of-ethics-of-the-international-business-broker-association/

“Article 7
Business Brokers accepting compensation from more than one party should make disclosure to the principals of the transaction.”

“Article 8
Business Brokers serving as both an agent and principal should disclose the dual agency relationship to the principals of the transaction.”

“Article 4
Business Brokers should keep in a special bank account, separated from their own funds, monies coming into their possessions in trust for other persons.”

Therefore, if a broker is transparent (escrows should have transparency as well) Article 4 is like a Lawyers trust account, that cannot be touched or used for other business obligations as it is a fiduciary duty to protect said funds, settlements or compensation. Thats why scumbag lawyers like that Stormy D’s Attorney guy got arrested, tapping into using his clients funds held in his trust account.

This trust account deposit(s) should be available for open review as a client, my transactions I was sent actual xerox copies of his trust bank account (redacted to protect other clients info in the statement) to show proof, since he was honest. Sure side deals could be hidden, but the point is ethical business.

OP went bye-bye, guess it was Llama Drama after all?

creataweb said:

guess it was Llama Drama after all?

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What isn't on this forum?

Look at this fiasco - One drama to the next daily, sad times.

https://www.namepros.com/threads/gambly-com-seller-is-scammer.1134623/page-5

first I want avoid the term broker , as it may invovle diffrent role and responsibility depends on the contract or legal arrangement...

if someoneesle, a 3rd party help me sell my name (w.o a legal arrangement), and finally cut a lot from the deal, if it meet my own expectation, I dont feel anything wrong, I think he/she just deserve for what they earned....the reason he can earn is because he have more knowledge, connection, negotiation skill while selling this name..for me, it is same as you bought a name for 5＄, and sell it at 500＄...

anyway, my 2 cents

Its not eithical to take extra money from a sale thats being a theif. but im sure it happens. In my brokerage days i had a client or two that said get me this number i dont care what you make on top. So in this circumstance is the only time i feel you have a green light to get extra money for yourself. Both parties will be happy. So in the normally percentage case. I would allways ask for the deal to be disclosed to the seller.

DOMAIN SECRET: SHHHHHH Any domain name that can actually sell does not need a broker or help. Sedo, GoDaddy, Afternic, Flippa, Undeveloped, Efty all have way too many domains listed. If someone wants to buy your domain name the first thing they will do is type it into google. That is when it should go directly to your website, not someone else's. Close the deal, make all the money!

If i were to use a broker, I would tell them what $ amount i want, If they are able to pull off a deal and make them self more money i wouldn't care, I asked for a specific $ amount to be paid to me, what they do aside from delivering that $ amount to me makes me no difference what so ever.

You're paying your agent hundred of dollars for each hour to enable you to purchase a condo. This shouldn't take over an hour yet we need to heat in some pad. Without a doubt, it's bulky yet its notoriety would make you think you'll be

This doesnt just affect the seller.. What if you're the buyer?

Consider this scenario: You're a buyer and have $30K to spend on a name for your startup.

1) You tell the broker that you're willing to buy the name for $25K (+20% commission for the broker/company trying to get the name for you)
2) The broker turns around and tells the seller that he has a firm offer of $10K on his hands "buyer cant afford any more than $10K, deal or no deal?"
3) You mull it over and decide to accept the $10K offer from the broker.
4) The buyer pays the broker $25K + $5K commission.
5) The broker tells the seller, "Congrats the name sold for $10K, we have the cash in our account so transfer the name to our holding account"
6) You transfer the name to the broker and the broker sends you $10K clear, then he transfers the name to the buyer.

Not only did the seller get screwed but you, the buyer, also got screwed.... Instead of paying the broker $10K + 20% = $12K for what the broker SAID the seller "accepted", you paid $25K + $5K = $30K.

The broker not only fleeced the seller but also the buyer too.

That should not be a problem as long as the broker got you the amount you was happy with. Stop worrying about the extra money made by them. Just learn to sell the domains yourself.

johnn said:

Stop complaining people.
As long as you are happy with the price. I don’t see anything wrong with it.
Last month I asked $2,000 for a name and afternic came back and asked me if I am ok with $4,000. I sold the name for $4k and did not complain.
Always takes look at everything situation from two angles.
All I see in many posts here are complaining and whining.

Brokers need money to feed the family too.
Be a man.

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"Always takes look at everything situation from two angles."

I would say three angles: Mine, Yours, and Theirs LOL

AGAME said:

This doesnt just affect the seller.. What if you're the buyer?

Consider this scenario: You're a buyer and have $30K to spend on a name for your startup.

1) You tell the broker that you're willing to buy the name for $25K (+20% commission for the broker/company trying to get the name for you)
2) The broker turns around and tells the seller that he has a firm offer of $10K on his hands "buyer cant afford any more than $10K, deal or no deal?"
3) You mull it over and decide to accept the $10K offer from the broker.
4) The buyer pays the broker $25K + $5K commission.
5) The broker tells the seller, "Congrats the name sold for $10K, we have the cash in our account so transfer the name to our holding account"
6) You transfer the name to the broker and the broker sends you $10K clear, then he transfers the name to the buyer.

Not only did the seller get screwed but you, the buyer, also got screwed.... Instead of paying the broker $10K + 20% = $12K for what the broker SAID the seller "accepted", you paid $25K + $5K = $30K.

The broker not only fleeced the seller but also the buyer too.

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No one is getting screwed around in any way, if I tell a broker I want 1k for the name, the broker gives the buyer a price of $1,200 and the buyer agrees, the sale is done, I get the 1k I wanted, the broker pockets 200 extra, the buyer obviously agreed to the price and has the domain they want. I don’t see a foul anywhere with any of that.

The broker is charging me a % fee for the 1k sale which is agreed upon, if the broker can make more money for increasing the price, more power to em.

That is just simply business IMO

Nothing unethical going on

Hiring a broker is the same as selling something on consignment, the consignment store can negotiate any price they want, after all, they are doing all the work

@.X. Best response this thread “if the broker can make more money for increasing the price, more power to them”.

I’d say their a good broker if you get the price you agree upon while bringing themselves more.

.X. said:

No one is getting screwed around in any way, if I tell a broker I want 1k for the name, the broker gives the buyer a price of $1,200 and the buyer agrees, the sale is done, I get the 1k I wanted, the broker pockets 200 extra, the buyer obviously agreed to the price and has the domain they want. I don’t see a foul anywhere with any of that.

The broker is charging me a % fee for the 1k sale which is agreed upon, if the broker can make more money for increasing the price, more power to em.

That is just simply business IMO

Nothing unethical going on

Hiring a broker is the same as selling something on consignment, the consignment store can negotiate any price they want, after all, they are doing all the work

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Well, I am going to have to disagree with that. To ME its unethical. Its OK that its ethical to you, or to anyone else -- it doesnt affect me.

There is a broker who does do this, but he doesn't work for any registry type company, I think I know who the OP is talking about. I am sure many veterans have probably done business with him.

If he is clear about it, sure. He can go like "if name sells up to X amount, I will take 10% of that. Anything above X amount, I keep" and if the X amount is already fair or more than fair, most would accept it and won't feel screwed. Because, broker might use his own connections to sell and even might have a say which name to recommend. Let's say his buyer says we want a dictionary word, our budget is 300K$. So the guy brings in 5 options for which he'll pay anywhere from $50K to $200K (while getting 10% there too) and will keep $250K to $100K in addition. In this scenario, it can be argued that everything is fair, as the buyer will choose a name for $300K without factoring in what was the original cost of a name. Maybe, $50K name will be considered more valuable and more proper for them. And the seller will sell for more than he'd otherwise hope.

Recons.Com said:

If he is clear about it, sure. He can go like "if name sells up to X amount, I will take 10% of that. Anything above X amount, I keep" and if the X amount is already fair or more than fair, most would accept it and won't feel screwed. Because, broker might use his own connections to sell and even might have a say which name to recommend. Let's say his buyer says we want a dictionary word, our budget is 300K$. So the guy brings in 5 options for which he'll pay anywhere from $50K to $200K (while getting 10% there too) and will keep $250K to $100K in addition. In this scenario, it can be argued that everything is fair, as the buyer will choose a name for $300K without factoring in what was the original cost of a name. Maybe, $50K name will be considered more valuable and more proper for them. And the seller will sell for more than he'd otherwise hope.

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The person who I am suggesting works for corporate clients, and pays more than a fair share of the current market pricing. What he puts on his backend percentage is probably more than your average broker, but his buyer has deeper pockets, it is a win win for all. They don't do random names, they usually do a have a specific name for a specific purpose in mind.