advice Well funded startup wants my domain

[Mojoman1234]

I was contacted by a principle from a well funded startup (>$12M), still in stealth mode and about to move into 25k square feet of prime commercial office space. The founders sold their previous company for billions. Let's call the new company "ABC Technology". I own "ABCtech.com". The real name is three characters + technology. (the three characters have industry significance) I used this briefly for tech blog, now just linked to a dormant twitter account.

Their initial offer was $500, "we're just a startup". I countered with: for that amount I'll just hold onto it and maybe use it with my next company, or offer it to "ABC Technology Consultants" who have also expressed interest. I also let him know that I am aware of their financial situation.

He is now asking if there is a price level I am thinking of.

I'd greatly appreciate your advice! What would you do?

 

[Mojoman1234]

I guess it might be time to bring this thread back! I have been sitting tight for 3.5 years(!) since last posting here. Just for the heck of it I forwarded an email (a personal event invitation) intended to a person at the firm in question, with a note that they might want to pass along to whom it may concern that I'm still getting email intended for lots of folks at the company.

I heard back from them asking if I was interested in discussing the domain and asking for verification of domain ownership. Has anything changed in the last 3.5 years I should be aware of?

No it wasn't Google / ABC. I had to reread this entire thread myself just to catch up. I'ts been off my radar

The company in question is stll privately held and doing very well. Their latest round of funding? $30M+

 

[Recons.Com]

I guess it might be time to bring this thread back! I have been sitting tight for 3.5 years(!) since last posting here. Just for the heck of it I forwarded an email (a personal event invitation) intended to a person at the firm in question, with a note that they might
want to pass along to whom it may concern that I'm still getting email intended for lots of folks at the company.

I heard back from them asking if I was interested in discussing the domain and asking for verification of domain ownership. Has anything changed in the last 3.5 years I should be aware of?

No it wasn't Google / ABC. I had to reread this entire thread myself just to catch up. I'ts been off my radar

The company in question is stll privately held and doing very well. Their latest round of funding? $30M+

Ask for phone number of the decision maker and nail it while on the phone. Differing from email, you can feel where discussion goes. Tell him that $100K would get the name, if he doesn't agree, say what he is thinking of and try to close the deal while on the phone.

 

[Mojoman1234]

To recap, last steps from 3.5 years ago:

New tech company CEO contacted me about acquiring the domain, a shortened and familiar version of his full company name. He offerred $500.

quoted from earlier this thread:

"After not hearing back for two weeks, and digesting the wide range of advice here, I emailed him on Friday. Replying to his message "what range are you thinking of?" I replied "something in the $10k range". Thinking that may at least get a conversation started over $500 level. The quick response was "No thanks"."

3.5 years later the company is very well esatblished, has raised well over $50M in VC funding. And they're asking me what my number is.

 

[Recons.Com]

To recap, last steps from 3.5 years ago:

New tech company CEO contacted me about acquiring the domain, a shortened and familiar version of his full company name. He offerred $500.

quoted from earlier this thread:

"After not hearing back for two weeks, and digesting the wide range of advice here, I emailed him on Friday. Replying to his message "what range are you thinking of?" I replied "something in the $10k range". Thinking that may at least get a conversation started over $500 level. The quick response was "No thanks"."

Well, then $10K it is. Start with that over the phone and see where it goes.

 

[Mojoman1234]

I have a call scheduled with the decision maker tomorrow. I'll update afterwards.

 

[Kachi]

Start from $50k.

I have a call scheduled with the decision maker tomorrow. I'll update afterwards.

 

[Optimal Names]

Best of luck with this! Keep us posted!

 

[Mister Funsky]

I didn't check the whole thread for the name or hints as to what it is so I am jumping in a little blind but if you offered ten grand 3 years ago as a starting price, I would increase it. The question is how much...if you want ten, I would start at 12 or 13 to give some wiggle room.

Such a nice spot to be in! Please let us know what happens(ed).

 

[Mojoman1234]

$1k is their max. Maybe it needs another 3 yrs of me collecting daily emails intended for them, or maybe when they take it public.

 

[YairDD]

$1k is their max. Maybe it needs another 3 yrs of me collecting daily emails intended for them, or maybe when they take it public.

Yea, don't sell for $1k, just wait.

 

[Mojoman1234]

Maybe I'll look into auctioning it. I' check out the resources here. Thanks again for the advice offered and interest.

 

[Recons.Com]

Maybe I'll look into auctioning it. I' check out the resources here. Thanks again for the advice offered and interest.

Your best bet is putting bin price in $2k to 10K range (depending on your financial situation, as higher price reduces the probability of sale, although expected value might be higher) and forgetting about it (don't forget to renew it).

No one is paying anything close to end user prices at auctions normally (and shouldn't), as people expect to reasonably make 10x to 100x of their investment in domains.

 

[Jay Ha]

Whatever you do just don't reply to any of the emails that you're receiving. This will be used against you as bad faith. They will get your domain for free (well technically it isn't but you won't get a dime).

Let's say that you double the asking price per year which means your initial asking price 10k became 20k on the 1st year, then the 20k became 40k on the 2nd year, and on the 3rd year the 40k asking price became 80k. With half a year left for the end of this cycle, they are risking an asking price of 160k. Be a gentleman and tell them it is still going to be 80k until 1 day prior to the end of the 3rd year. So now they have ~6 months to think about it while losing business from clients sending emails to your domain.

Is this lost business worth the money? It is a mega tech company so yeah, I guess so.

If not, well, you said you weren't planning to sell the name anyway so nothing to lose.

 

[Fomains]

Very curious to see how much you will finally get for it! But I can agree that you should wait as the company will be ready to pay more and more as time goes by ...

 

[NameJi]

Don't give it. Just say NO to every offer. Domain is important for them not for you. The odds of they coming with big number is high.

 

[Surev Nhoj]

Based on the way you described it, I presumed you have the fear of letting it go underpriced. Give it this way, if you have some reasonable price in mind, tripled that and offer it to the buyer. If they insist to negotiate, they would still fall on double of your original price. But if you hate to wait, just name your price.