Asked to do cost breakdown

Located in Domain Beginners started by johnyap, Jul 6, 2018.


  1. johnyap

    johnyap New Member

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    I'm relatively new to domaining and just started doing outbound and was asked by an (interested) party to do a pricing breakdown.
    What should I take into account and has anybody done this before/has a sample for reference?

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  2. Kpett

    Kpett Established Member

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    If it is just for a domain name, then there is no "pricing breakdown." Once a sales price is agreed to, Buyer pays Seller then Seller transfers the domain name to the buyer. If it is a higher dollar sale, then Buyer puts money into escrow ( or, Seller transfers domain name to Buyer, then money is released from escrow to seller. Again, escrow is only used for higher dollar sales, and buyer and seller can negotiate who pays the escrow fee - can be split, but if one side is insisting on escrow while the other is not, then the side that really wants the escrow pays the fee.

    Good luck with the sale!
  3. Bob Hawkes

    Bob Hawkes formerly MetBob NameTalent VIP

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    I am a little perplexed by the request, and agree with the answer given by @Kpett that there is not really a breakdown, unless they are looking for confirmation re who pays commission, escrow fees, VAT if applicable, and any other possible charges.

    If it is an even partially developed site, they may want a (somewhat artificial) breakdown of how much of the price is for the name, how much for web development, and how much for "reputation" the site has already earned (through backlinks and ranking, for example). They might need this for corporate or tax reporting.

    Is it possible that they used unusual language, but really were asking you to justify the price? If so, the obvious things to give them are sales of comparable domain names via NameBio and GoDaddy GoValue (and others). You could also throw in some asking prices of comparable domains currently, that almost always make any price look reasonable! :xf.wink:

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