$200,000 Offer - Sell or Develop?

[DomainAuction]

I was offered $200,000 for a domain name that I own by a company that is worth billions of dollars.

This figure was expected for this particular domain name however I am in need of some advice in regards to possibly developing a company/website out of this opportunity instead.

My domain is an exact-phrase match for technology that is going to be around for the next decade (guaranteed) and this particular phrase will be on over 100 million consumer electronic products, their commercials, packaging and even brochures - you can't miss it. Average price of these consumer products (as of now) is $10,000.

So, do I develop/drop-ship (e.g. 5-7% commission for 10 years) with an exact-phrase domain and stellar SEO/Development skills OR do I take my $200,000 and buy champagne.

All feedback is appreciated ahead of time! Thank you

 

[420domainer]

If the domain is worth that much or more:
1. invest in a well qualified attorney
2. Negotiate
3. Try to get equity out of the deal as well

A domain is not the end-all-be-all of a business, especially one that is selling a product with a generic name. If they are worth billions, then they certainly have a powerful brand(s). but companies like that don't get large without knowing what they are doing. The fact that they offered $200k leads me to believe that they would pay a lot more. A law firm, especially one skilled in IP and deal-making will be able to get you top dollar.

IMHO

Totally agree with above.

Can you share more details about the negotiations thus far? How did the $200,000 figure come about?

Congrats, btw!

 

[SearchEngineZ]

Type-in traffic doesn't necessarily equal sales. And SEO is getting harder... especially with technology ones. I once had netbook.biz - good for a brand to use in advertising, not easy to rank with against all the brand websites that mention netbook...

So, unless you are experienced in PPC and traffic buys, and you have or can get a good commission deal from a business that will sell all the major brands, I wouldn't be developing.

A bird in the hand. Take the cash.

 

[arcturis]

I was offered $200,000 for a domain name that I own by a company that is worth billions of dollars.

This figure was expected for this particular domain name however I am in need of some advice in regards to possibly developing a company/website out of this opportunity instead.

My domain is an exact-phrase match for technology that is going to be around for the next decade (guaranteed) and this particular phrase will be on over 100 million consumer electronic products, their commercials, packaging and even brochures - you can't miss it. Average price of these consumer products (as of now) is $10,000.

So, do I develop/drop-ship (e.g. 5-7% commission for 10 years) with an exact-phrase domain and stellar SEO/Development skills OR do I take my $200,000 and buy champagne.

All feedback is appreciated ahead of time! Thank you

ask for more if they dont take it develop it

why havent u developed it yet if u had it for awhile?

why decide to develop now after this supposed offer?

makes no sense as to your motives. seems a bit sketchy if this is real of not.

why would someone go on a public forum to ask for opinions on such matters to ask such questions is beyond me

contact the pros directly and keep it close to your vest seems more sensible

 

[.NJ]

I would give my opinion with your situation but it's difficult without knowing the actual name.

Feel free to PM the name if you want another view point.

 

[Weber]

A sale at $200,000 would probably be in the top 10%, maybe 5% of historical sales for domain names. This is especially exceptional if it was regged in the last ten years.

 

[urlurl]

I agree, cash + shares

that way (assuming you keep the shares) you will share in profits

 

[decades80]

I agree, if you are leaning so strongly towards not selling it, develop it. You have 99% of the feedback to sell it, but you are stubborn and wish to keep it. So keep it I would say.and you are forgetting the important part. You dont have 100K to develop it to the full extent. You will need 1-2 years to gain some reputation on Google, people dont buy new sites products like candies.Especially for such amount of money. So wheather you are TOP 0.01% SEO and Developer (actually a small genius) , Or you will get burnt, because those companies out there can afford 500K for marketing and branding and they can acquire TOP people.

 

[verbster]

I'm not sure you are considering they buyer's response when it comes to asking for shares/ownership in the company, especially if it's publicly held. I've got a feeling you are going to be disappointed.

I'm wondering who you've negotiated with at what level. Do you have an official offer in writing with all the fine print? Signed by the CEO? Is there a time limit? What does your attorney say?

Sometimes the door only opens once. You feeling lucky?

$200,000 invested wisely might be your retirement in 30 years.

 

[oyong]

My take whether to sell or develop?

My answer is SELL it at a good price. It's the easier way.

Development = means creating YOUR OWN BUSINESS OR COMPANY. But If you are ready for this why not? Find a good partner.

 

[tekkybabao]

My little cent

I wil advise u to sell at that price $200k,i believe if u do u will rank among the best domain sales dis year but if u are trying to play wise/smart u may end up fucking tinz up.

 

[URLtrader]

A Bird in hand is better than two behind the bushes. Grab $ 200,000 and laugh all the way to your Bank.

Good luck. And keep us posted.

 

[Avabelle]

Here is a good read for you...

http://www.digest.com/Big_Story.php

Follow your gut - Congrats and Good Luck

 

[FX]

Take the money !!



Good luck

 

[wot]

this whole thread is BOGUS!

someones fantasy played out here guaranteed.


:zzz:

Living the dream? :cy:

 

[tomcarl]

Very true @decades80 - I totally agree on the competition factor.

However, selling 250 of these products as a drop-shipper or an affiliate will generate $200,000 in profits alone - and it's very possible to accomplish this. What if I were able to sell 1000 units? =)

I am not a fan of greed, but the #'s just don't add up to me although this is largest offer for any domain I have ever owned.

If you're not doing that already now, getting an offer like this will motivate you *to* do it? Turning down money for something you're not using to try to make money by using it? I don't get it.

I'd take the 200 and buy champagne, a lot of it.

 

[john_karr]

Few things needs to be considered:
1. Are you financially stable right now? or in 2-3 years to come? if yes
then keep it and develop it and make its value much higher. (long and stable investment)

2. If your not financially stable, the better option is sell it now. sometimes countering their offer leads to a non sale.[/QUO


Good answer GMD.

 

[sofiapartner]

So - what happened?

 

[steveteva]

I will sell it because I'm a domainer and a domainer is good at what he knows and do.
Developping, marketing and selling stuff is another world. You can fail even with the best domain name in the world. Take the money and let other do what they want with it, they make huge money out of it, then you must be happy for them.

And because $200k is a lot of money in domaining, you should be happy to sell it but be careful about all the legal and escrow things before.


Over dedades, I rarely heard a domainer that have been successful developping his domain name.
This is true and will always be.

If you plan to keep and develop it then become successful, contact me, you'll be the first and I will add you to my "glory domainer's book"

 

[rokoroko]

I am wondering , which niche DN we are talking here .

Is it Oled TVs, Amoled TVs ? ( I doubt - there I am dominant player), 3D printing !


I would bet its 3D printing , and if it is then 200k are peanuts and you should ask 2M !!

or Gene therapy ? Dna drugs ? Google glasses ? Color eReaders ?

but as you mentioned it will be everywhere - so it must be TVs !

so UHD TVs ? 4kTVs ? probably .

just my 2 cents of guessing

rokoroko

 

[capiche]

Just some research on the member and a simple search on Whoisology or Domaintools will tell you which niche it is, unless they're under privacy.

I'm in agreement with everyone here. He should sell. If he can get something extra out of the deal, (shares, profits, etc), then all the better.

But I would definitely sell. The way technology changes in the blink of an eye, there is no guarantee that this particular one will be around in 10 years.

Take the money! IMO

Good luck either way.

 

[Compassion]

Negotiate passive revenue stream/shares as well as the 200 thousand.

It seems the billion dollar company has chosen this as their #1.

You could easily utilize one of the other 100 + niche you have as your dropship website while earning passive revenue from the 200k deal.

PM us the name and we can share more insight

Remember all businesses are a spinning top

200 thousand plus shares and deving your own brand on a different domain seems to be the trifecta. win - win - win.

 

[dayhost]

I would develop if you have the capacity to do so.

 

[hemirate]

Best solution:

Ask $500,000 cash + 5% royalties on all profits they do from this technology/domain name.

 

[rokoroko]

any evolution of negotiations ?

I am a big fan of technology DNames .

thanks for update

 

[jamesosix]

Would love to know what it is, but far too many people bailing too early here. If its that good, then 200k sounds like change and I'd be insulted more than excited if anything.

If its generic, and set to be a good healthy market and you have some balls hang on to it, or like a PP mentioned, go back with an offer slightly above what you would be happy with. If they negotiate you down a bit then you will still hit your happy range - if they dont, then speak to competitors of said company to see if you can generate some other interest in it.

All imo and I have no worldy experience - but if I was in your shoes...and all that.