question I need financing for $50,000 deal. Options? Time sensitive.

[WhoaDomain.com]

Hello,
I have a deal for $50,000 for a domain.

The buyer has $25,000 cash but needs to finance the rest $25,000.

We tried @Lendvo Domain Financing and they seem to be dragging their heels and now I contacted them @domaincapital

Does anyone know some other options? thanks in advance.

 

[bmugford]

You need financing, like you want full payment ($50K) from the buyer now, but they need financing for the other $25K?

It is probably going to be rough to get that for a domain unless it is an amazing high quality domain with obvious resale value exceeding that.

Another option is you can just setup a domain holding agreement with Escrow.com. Take the $25K now and take scheduled payments over time for the rest.

https://www.escrow.com/domain-name-holding

Brad

 

[Rob Monster]

Easy to set up at Epik.

If you need help, just ask any of our support team.

Or just start it as escrow transaction:

https://escrow.epik.com/

The buyer will have use of the domain as long as they are making their monthly payments.

Congrats in advance.

 

[MapleDots]

Hello,
I have a deal for $50,000 for a domain.

The buyer has $25,000 cash but needs to finance the rest $25,000.

We tried @Lendvo Domain Financing and they seem to be dragging their heels and now I contacted them @domaincapital

Does anyone know some other options? thanks in advance.

I don't understand, why would you need financing, you hold all the cards?

Tell him he can have the domain and you will set any settings he needs via your control panel.

Get him a schedule to pay the remainder 25k and then transfer the domain upon total repayment.

During this time the client can use the domain as they need but you keep full control until the domain is fully paid. You are the best guy to finance this, so unless your cost of the domain exceeded 25k I see no reason why you need an outside financier.

 

[MapleDots]

Seller may need cash upfront.

Seller has no cash if he has no sale.
My way at least he has 25k and a repayment plan.

 

[Chris Hydrick]

@WhoaDomain.com I'm curious...

Would the domain in question sell for $25,000 on namePros in a reasonable amount of time?

Because if not, why would a lending company assume a $25,000 risk, on something that doesn't measure its own weight in wholesale value? -- Unless the buyer put something up worth at least $25k as collateral (other than the domain), and/or signed/assumed it as a personal/corporate liability.

I think what others had suggested, about you taking a down payment and setting up a payment plan, might be the easiest option here.

Best of luck!

 

[Lau.com]

OP hasn't replied but I'm guessing that he's not looking for an Escrow service. I think he has an offer of $50k with a downpayment of $25k and he wants all cash up front so he (the seller) is trying to find a financing solution for the buyer. So, maybe he wants it as:
- Seller receives $25k downpayment
- MoneyGuy sends seller $20k (a discount off the $25k)
- Buyer signs a $25k IOU to the MoneyGuy
- The domain is held in escrow for while the Buyer sends payments to the MoneyGuy
- if Buyer defaults, then the Escrow service releases the domain to MoneyGuy

Great deal for MoneyGuy (if the Buyer defaults, he gets a domain that "sold" for $50k for $20k or less.
Good deal for MoneyGuy if the Buyer doesn't default, he receives $25k on an advance of $20k.

Obviously the details of the discount, and the time period, are ultra-important.

@WhoaDomain.com is that pretty much what you are looking for?

 

[xynames]

Seller needs to be careful lest he ruins yet another potential sale.

 

[bmugford]

So if anyone wants to do this financing just let me know the interest in the money over time because he’s a nice guy and I want to help him out here.

So recap $50,000 loan with $25,000 cash down. Who wants it?

I walk away free and clear.

for anyone wondering why any buyer would do this. The comps I gave buyer showed I should have asked $100,000+ for the domain so $50,000 was a steel. Plus the lowest priced domain sale below $100,000 for the same keyword was around $50,000 but honestly? I could have asked $150,000 if I really wanted to.

Plus buyer registered the Twitter, Facebook, and Instagram handle. So there’s that also.

so here’s a domain he needed to have to complete the branding at a steal of a price so yea he’s ok with paying the interest over time.

and........ I’m talking too much again. Anyone want to get this loan on lock? Pm me. Thanks.

There is a big difference between theoretical pie in the sky value and actual resale vale.

If the buyer was able to get Twitter, Facebook, and Instagram handles I am skeptical about the resale value of this domain.

On a loan all that matters is collateral honestly. Unless the domain would easily sell for $25K+ reseller, there is no reason to shoulder the risk.

Just take the $25K. Have the buyer make payments to an escrow company.
It is a relatively simple solution.

I have noticed from past threads that you seem to often get in your own way when it comes to completing deals.

Brad

 

[Samer]

i got four figure loan from epik escrow ($x,xxx) Just dont put up junk domains as collateral. Everyone values domains differently; put best; and was given emergency life saving loan.

This different; tho like to hear @Rob Monster’s perspective; he reviews all the loan apps.

 

[xynames]

Trying to convince a buyer of both your requested purchase price and that you should be trusted to collect his payments directly and to hand over the domain to him months if not years on down the line is not the way to go unless perhaps you’re some major known domain seller and even then all that matters is if you’re already known to the buyer specifically not the domain world. Spending extra effort trying to convince the buyer that you’re to be trusted with his payments could blow the deal.

Just turn the deal over to escrow.com domain holding service. The very name escrow dot com reeks of respectability and will put the buyer at ease. All domain holding services return the domain to you if the buyer defaults - that’s what domain holding service is.

I just completed an approximately two year domain holding sale via escrow dot com for high five figures. Buyer paid all fees which were the lowest in the business for this type of transaction.

 

[gilescoley]

Lets see how this all pans out. It all seems a bit odd to me.

 

[WhoaDomain.com]

Sorry guys just read all your replies. The domain is a two word domain. Not sure yet if buyer wants sale announced.

so of course I’d like the amount in full so I can just hand over the domain done and done. I really hate the long drawn payment plan option. Spoke to buyer. He told me @Lendvo Domain Financing is dragging things.

Then contacted @domaincapital and they said they would get back to me.

buyer is willing to do $30k cash wired to me and make installment payments of what he would have paid lendvo. Not sure if I should tack on interest like lendvo probably would have. Not even sure what the typical interest would be in such a loan.

Buyer seems to trust me since I have over 19,000k+ followers on LinkedIn and told him I wouldn’t jeopardize me rep with stealing money or cheating anyone. So it’s not like I’ll take the money and disappear tomorrow. Of course an agreement will need to be made on the terms and conditions and payment plan.

The domain is with @Epik.com @Rob Monster

So yea I do want the $50k upfront I have plans to develop a domain or domains I own so my business/hobby pays for itself as far as renewals.

I want to start a domain auction site with one particular “gimmick” that I think will make it unique and a total killer.

but we shall see.

this domain once paid for will be like how CoinMena.com was the most expensive domain sold for keyword “mena”. This domain will be the highest domain ever sold for this particular keyword. The highest right now for this keyword is $25,000.

can’t wait to tell you guys if I can if the buyer allows me. He probably will. He likes the idea.

and yes it’s a handreg!

 

[Jv1999]

I agree with Maple and some others.

Take the 25k, set up an installment plan with dan or escrow... taht's the best outcome here.

 

[alcy]

hmmm..like installments...

well...there is dan. epik...

 

[MapleDots]

its just called an escrow service

cause no sane person will send u 25k and let u keep full control of domain.

including u. or me. cause were sane.

The domain king finances domains like that all the time.

With a proper contract there is no reason why a buyer would feel hesitant, it all needs to be done on the up and up.

Believe it or not but some domainers run real businesses registered with sales tax numbers etc. Sure I can understand your point with a part time domainer but as soon as you have a legitimate business and can show that to the buyer with a proper bill of sale outlines the terms there really should be no issues.

 

[Bob Hawkes]

So the question as I understand it is not how to do a payment system (many options for that, including private arrangements, Epik, Escrow and others) but rather you want $50k secured, he/she has $25k, you are looking for someone to provide a loan with the domain as security for the other $25k, along with a repayment plan.

The variation in even professional appraisals make it difficult for traditional lenders to enter the domain loan market I think.

You may need to end up as the loaner yourself, if willing, taking the $25k now and a repayment plan on the rest with terms to protect both of your interests, probably drawn up by a lawyer with domain expertise.

I really hope somehow the deal works out.

Bob

 

[alcy]

The domain king finances domains like that all the time.

With a proper contract there is no reason why a buyer would feel hesitant, it all needs to be done on the up and up.

Believe it or not but some domainers run real businesses registered with sales tax numbers etc. Sure I can understand your point with a part time domainer but as soon as you have a legitimate business and can show that to the buyer with a proper bill of sale outlines the terms there really should be no issues.

I disagree. there is good reason why escrow services exist. while u seem to think they exist for no reason.

nice looking bills wont make me wire u 25k. that's a recipe for scams and losing money. and nobody should ever send no one 25k based on tax numbers or good looking Bills...

plz folks use escrow services. ita what they are for.

 

[karmaco]

I disagree. there is good reason why escrow services exist. while u seem to think they exist for no reason.

nice looking bills wont make me wire u 25k. that's a recipe for scams and losing money. and nobody should ever send no one 25k based on tax numbers or good looking Bills...

plz folks use escrow services. ita what they are for.

Many top domainers do their own financing— aren’t you aware of it? Escrow.com sucks so I don’t blame them.

 

[alcy]

Many top domainers do their own financing— aren’t you aware of it? Escrow.com sucks so I don’t blame them.

hmm.. seriously would u wire 25k to someone new for domain cause he sends u a bill?

I think with great escrow options like epik or dan... but not escrow.com... its insanity to wire cash to some dude with a bill.

 

[karmaco]

hmm.. seriously would u wire 25k to someone new for domain cause he sends u a bill?

I think with great escrow options like epik or dan... but not escrow.com... its insanity to wire cash to some dude with a bill.

I would if it was a well known domainer who sends me a contract that we both approve of.

I guess the bigger question here is why can’t Whoa just accept 25 down rest on installments.

 

[bmugford]

Seller needs to be careful lest he ruins yet another potential sale.

LOL. True. Don't blow this one.

You get $50K now, buyer gets someone to loan $25K on a domain is unlikely.

Take the $25K via an escrow service, use the escrow service for the buyer to make payments on the rest.

I have done "self finance" deals in the past without escrow and it is rarely worth the hassle. Just have an escrow service handle it.

Brad

 

[lambo.com]

To endeavor to secure financing from a third party, for the client on the other side of the table is a head scratcher.

Good potential for a red flag of impulsiveness to trigger flight instincts.

 

[NickB]

I could and offered this option. Already. Why is it everyone’s immediate thought is that I did not give buyer this option?

why not one even thinks perhaps the buyer for whatever reason wants to buy the domain outright in cash or $25k cash and the rest financed?

this is what buyer wanted to do. He chose to go this route but again @Lendvo Domain Financing was taking to long to get back to him.

I’m thinking the buyer doesn’t like the idea of me having full control of the domain once payment or payments are still being made.

I think he wants to pay and get the domain in his control. Done and done.

he actually did the homework on the financing part as he said he Googled “ domain name financing or loans”.

would have been perfect had @Lendvo Domain Financing maintained contact instead of leaving the buyer in limbo.

Only found out today about this issue. So came here to ask for other options.

I already offered the $25k cash and payment plan. but buyer seems to want the @Lendvo Domain Financing option. He really wants to walk away from this with the domain in his hands to do with what he wants.

he’s still waiting for @Lendvo Domain Financing and now I’m waiting on @domaincapital hopefully someone will get back to us with a solution quick.

So instead it being held with Escrow, Dan or Epik it will be held by Lendvo?

From their site....

"Does lendvo have to hold the domain while the financing is active?"

"Generally yes. While we usually hold the collateral in our own 2-step enabled registry accounts during the financing we allow some customer to utilize Escrow.com’s 3rd party domain name holding product. If a customer wishes to use this service they will be responsible for any and all associated fees for this service."

Whats the difference? Or am I missing something?

 

[biggie]

I have noticed from past threads that you seem to often get in your own way when it comes to completing deals.

Hi

basically, i was going to say same thing.

with all the posts about domain leasing/ renting etc....
it seems like arranging the financing for the buyer yourself, would be first consideration.
you want to get the process in motion asap, or they could walk.

there are many options previously listed and all the tagging and publicity isn't prudent.


imo...