Eurodns

Use a Payment Plan When Buying Domain Names to Lower Your Risk

Here’s an idea I had a while back and have used successfully one time on a quick domain resale. When coming to terms with a domain seller, I added a payment plan to acquire the domain name over a set period of time. Using Moniker to handle this type of payment plan/extended escrow, I agreed to pay $xx,xxx over a 12 month period without a prepayment penalty. If I stopped paying, the domain seller would get all payments up to date and receive the domain name back.

Essentially what I did was give myself the opportunity to quickly sell the domain name in one month for 1/12th of the purchase price, in 2 months for 1/6th of my purchase price…etc. Fortunately, I was able to sell the domain name at a profit within 2 weeks of its acquisition, but had I not been able to do so, I would have had cash in my pocket and the ability to sell the domain name over the course of a year.

Of course not all domain sellers will offer or agree to a payment plan, and some may but would want more money for the domain name – either up front or built into the overall sale. It just so happened that the domain seller offered a payment plan before we even closed, which is what gave me the idea in the first place.

Technically, the buyer could also pay 1/12% of the sales price for the opportunity to re-sell at a profit, and if the buyer can’t find a person to whom he could flip it at a profit, he could simply cancel the deal, losing out on just a little bit of money. This is a pretty good way to reduce your risk when you’re simply looking to flip a domain name.


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Minds and Machines

CES 2010: Take a $1,688 Gamble on Smart Televisions

Consumer Electronics Show

This morning on the CNN website, there was coverage of the 2010 Consumer Electronics Show currently being held in Las Vegas. CES is one of the preeminent technology tradeshows that features product launches, pre-release gadgets and technology, and previews of electronics and other devices. Companies who are featured at CES are looking for buzz for their new products or upcoming launches.

In the article, CNN reported that, “‘Connected TV’ and ‘smart TV’ are two terms that already are being tossed around CES this year. Both refer to the idea that couch potatoes are looking for ways to get the power of the Internet and social media onto living room television sets.”

To me, “smart tv” or “smart televisions” sounds more brandable for a category of televisions, similar to smart phones. As a domainer, I did some domain research on that term and found the following:

For under $1,700, you can buy the domain name for a term that could be big in the next couple of years, and for under $7,000 you can buy both. My business model is built around short term flips, so it’s not a gamble I want to take, but it could be worth investigating if this type of investment appeals to you.As you may recall, SmartPhones.com sold for $95,000 at TRAFFIC.

I don’t have any affiliate or advertising relationship with Buy Domains or Page, but if you want to reach someone at Buy Domains, drop Sonia an email, and if you want to reach page, visit his website.


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Minds and Machines