1/ Straight from their accounts y/e 31 Jan 2012
Shareholders funds are ~ $1.63M (GBP 1.019M) so respectable, better than 99.9% of domainers in existence
But don't forget it's been in operation for over 11 years, since 28 Dec 2001,
Fat Ian might have paid himself & his wife over the years a small Salary or dividends to utilize the tax free allowance - but that's about the size of it, folks
Almost certain this is typically what many of the lower tier volume merchants (30,000+ domains) are actually making subsistence money similar to a low paid unskilled job :lol:
This includes all the wannabe volume merchants who bulked up quick with 1000's of crap hand regs (long tailed GEOs, mobis etc) such as RK Bhanots etc who once bragged about having the 'best Spanish .mobis in existence' :lol:
Did I mention that BREAK-EVEN on 30,000 domains is ~ $260,000 pa reg fees ($21,675/mth)?:o
That's before making a single penny in Profit
2/ Let me remind how I schooled Snoopy back in 2006 who thought they were "making millions":
http://www.namepros.com/domain-name-discussion/167191-is-dotcomagency-making-millions.html
In fact, back in 2004, the operation was actually technically insolvent (Shareholder funds < 0)
3/ Contrary to all the industry hype (the picture many bloggers would like their accolytes to believe)
Net of reg fees & any salaries, most are making jack
Many like to talk just about Revenue (that's the bigger number before deduction reg fees :lol
But conveniently ignore that pesky recurring annual rent (aka reg fees) across the whole portfolio, warts & all
Funny - like a gambler who only talks up the fewer winners - how domainers talk about making eg 9567% return on that single reg fee name that sold BUT conveniently ignore the sales price across the WHOLE PORTFOLIO (including all the vast majority loser domains that did not sell, incurring reg fees every year)
4/ Yeah yeah, yada yada I've heard all the usual domainer soundbite memes across the blogosphere repeated ad infinitum until it turns into gospel:
- how all those "domaining for a living" types were doing so well (:lol
- how many were all doing millions :lol:
In fact, most of these middle-aged FULL-TIME domainer types (you know who you are) are making subsistence money (c $20,000-$30,000 profit if that after reg fees/expenses)
AND only by living like a hermit in some cheap place in Ohio/Oklahoma etc) :lol::bah:
5/ This coming year
I expect more & more *full-time domaining for a living* types to be POUNDED OUT & back to their cubicles (if they can still land a job in this economy & with their mediocre skills!)
You can't expect to be doing this 'full time for a living' for much longer on 3000-5000 domains & mediocre Tier 3 domains, at that
Of course, everyone likes to draw the line of demarcation below THEIR OWN heels, thinking they are luckier, more skilled, work harder, smarter, better negotiation technique etc than the rest
But given the overall quality of their 'portfolio' is similar to the rest of the marginal domainers (Marginal=a few $1000-2000 sales a mth, the odd $5000 sale), the 'law of averages' would dictate it will soon revert to the mean.
In other words, you will soon be pounded out from full time back to being a part timer
Most of these types are, at best, 1 or 2 (lost) sales away from having to pawn their assets or domains for quick cash :lol:
The equivalent of the jobber living paycheck 2 paycheck
Well news bud, coming soon your luck's gonna run out :bingo:
6/ Every year more & more domainers with a few yrs experience quietly slip away from domaining 'full time' or the 'scene'
These are replaced with more idiots with no money or sense but vigour & big dreams (Uzomas, Jeff Schneiders, blog comments whores etc etc)
The same could be said of the domain speculation cycle what Buffett said about progress:
"First come the innovators, then come the imitators, then come the idiots." :hehe:
And on the cycle goes
Take that to the bank! :bah:_\|/_
Shareholders funds are ~ $1.63M (GBP 1.019M) so respectable, better than 99.9% of domainers in existence
But don't forget it's been in operation for over 11 years, since 28 Dec 2001,
Fat Ian might have paid himself & his wife over the years a small Salary or dividends to utilize the tax free allowance - but that's about the size of it, folks
Almost certain this is typically what many of the lower tier volume merchants (30,000+ domains) are actually making subsistence money similar to a low paid unskilled job :lol:
This includes all the wannabe volume merchants who bulked up quick with 1000's of crap hand regs (long tailed GEOs, mobis etc) such as RK Bhanots etc who once bragged about having the 'best Spanish .mobis in existence' :lol:
Did I mention that BREAK-EVEN on 30,000 domains is ~ $260,000 pa reg fees ($21,675/mth)?:o
That's before making a single penny in Profit
2/ Let me remind how I schooled Snoopy back in 2006 who thought they were "making millions":
http://www.namepros.com/domain-name-discussion/167191-is-dotcomagency-making-millions.html
In fact, back in 2004, the operation was actually technically insolvent (Shareholder funds < 0)
3/ Contrary to all the industry hype (the picture many bloggers would like their accolytes to believe)
Net of reg fees & any salaries, most are making jack
Many like to talk just about Revenue (that's the bigger number before deduction reg fees :lol
But conveniently ignore that pesky recurring annual rent (aka reg fees) across the whole portfolio, warts & all
Funny - like a gambler who only talks up the fewer winners - how domainers talk about making eg 9567% return on that single reg fee name that sold BUT conveniently ignore the sales price across the WHOLE PORTFOLIO (including all the vast majority loser domains that did not sell, incurring reg fees every year)
4/ Yeah yeah, yada yada I've heard all the usual domainer soundbite memes across the blogosphere repeated ad infinitum until it turns into gospel:
- how all those "domaining for a living" types were doing so well (:lol
- how many were all doing millions :lol:
In fact, most of these middle-aged FULL-TIME domainer types (you know who you are) are making subsistence money (c $20,000-$30,000 profit if that after reg fees/expenses)
AND only by living like a hermit in some cheap place in Ohio/Oklahoma etc) :lol::bah:
5/ This coming year
I expect more & more *full-time domaining for a living* types to be POUNDED OUT & back to their cubicles (if they can still land a job in this economy & with their mediocre skills!)
You can't expect to be doing this 'full time for a living' for much longer on 3000-5000 domains & mediocre Tier 3 domains, at that
Of course, everyone likes to draw the line of demarcation below THEIR OWN heels, thinking they are luckier, more skilled, work harder, smarter, better negotiation technique etc than the rest
But given the overall quality of their 'portfolio' is similar to the rest of the marginal domainers (Marginal=a few $1000-2000 sales a mth, the odd $5000 sale), the 'law of averages' would dictate it will soon revert to the mean.
In other words, you will soon be pounded out from full time back to being a part timer
Most of these types are, at best, 1 or 2 (lost) sales away from having to pawn their assets or domains for quick cash :lol:
The equivalent of the jobber living paycheck 2 paycheck
Well news bud, coming soon your luck's gonna run out :bingo:
6/ Every year more & more domainers with a few yrs experience quietly slip away from domaining 'full time' or the 'scene'
These are replaced with more idiots with no money or sense but vigour & big dreams (Uzomas, Jeff Schneiders, blog comments whores etc etc)
The same could be said of the domain speculation cycle what Buffett said about progress:
"First come the innovators, then come the imitators, then come the idiots." :hehe:
And on the cycle goes
Take that to the bank! :bah:_\|/_
