Sedo Introduces Financing Programs for High-Value Domain Name Purchases

[suntech]

Sedo Introduces Financing Programs for High-Value Domain Name Purchases
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June 15, 2006; 07:48 AM


CAMBRIDGE, Mass. - Sedo, the leading online marketplace for the buying and selling of domain names, has today announced a new partnership with Domain Capital to offer domain investors finance plans on high-value domain purchases. The program will support a large number of investors seeking to purchase high-return domain names without making a large upfront capital expenditure.

J.K.

 

[Chili]

thats huge

 

[briman1970]

Awesome move for Sedo! I was thinking of this concept just the other day and wondering if anyone is doing it or was going to do it. I'm looking forward to using our good credit rating to be able to compete with the big boys on domain buys.

 

[labrocca]

This is VERY big for domainers. Essentially this is a mortgage now for domains.

 

[suntech]

Domain Capital’s services target three audiences:

From Domain Capital's website:

Domain Capital’s services target three audiences:

PORTFOLIO OWNERS

Do you own a portfolio of Premium Domain Names? Are you looking to start building a Premium Domain Name portfolio?

Domain Capital can help you by providing an infusion of asset-based, working capital into your business from a completely unexpected source: the premium domain names in your portfolio. Leveraging this valuable source of capital enables you to reduce your time to market without encumbering personal or other assets your company needs to grow. Instead, you can use that capital to acquire additional, strategic domains, or to re-invest in the properties you currently own. Just as important, you’ve gained a partner with a unique understanding of Internet businesses.

NEW BUSINESSES

Are you starting a new business and need to purchase the ideal domain name?

Domain Capital can finance the domain or domains you need to get your new business off the ground quickly and successfully. Domain Capital will let you free up working capital your business needs to become a profitable operation. This ready source of capital reduces time-to-market while it lessens potential interference from traditional funding sources. You can use that capital to acquire additional, strategic domains while you gain a partner with a unique understanding of business.

INTERNET REGISTRY AND TRANSACTION BROKERS

Are you in the business of buying and selling Premium Domain names to a secondary market?

If you have a buyer that doesn’t have the capital ready at the time of purchase, Domain Capital can step in and provide financing for the purchase. Domain Capital’s unique business model can significantly accelerate your closure rate, reduce your sales cycle and, most importantly, provide an important value-added service to your customers.


J.K.

 

[Carlton]

Domain Capital's clients include InternetRealEstate.com (Boston, MA) and UltimateDomains.com. There are other traditional lenders who will extend credit based on several years documented revenue ... which I'm sure InternetRealEstate.com can provide. Domain Capital are providing a great opportunity though.

Using existing names in a portfolio as collateral is a bit cutting edge and could open the door for some impressive stories. Can you imagine financing an entirely new business venture (unrelated to domains) by using several key domains from your portfolio? Headline reads "Man buys Krispy Kreme franchise with GoatHerders.com"!