Depending on your background and experience, negotiating can either be a great part of the job of a domain investor or it can be one of the worst aspects. I think it is expected that negotiating with a buyer or a seller is one of the most necessary aspects of domain investing. People have different negotiation strategies, and there are many factors that go into choosing the right strategy.
The CEO and Co-Founder of Basecamp, a privately held company reportedly worth over $100 billion (see Bill’s comment below, as that article referenced is apparently satirical), is looking to buy a great domain name. On Saturday afternoon, Jason Fried posted his buy request via Twitter:
Anyone out there with 3, 4, or 5 letter .com domains interested in selling? If so, please DM me. Must be 3-5 letters, must be pronounceable, must be a .com. Thanks!
— Jason Fried (@jasonfried) August 30, 2019
One of my favorite domain names I own is Sleuth.com. I have received numerous inquiries to buy the domain name, and several have come from private investigators and operators of investigation-based businesses. I received an inquiry to buy Sleuth.com this morning, and it got me thinking about the business of private investigations and domain names.
A few weeks ago, I wrote about a change at Escrow.com that has implications for people living in or doing business with entities in Russia, Panama, and even in the US state of Alabama. In short, an American company can no longer use Escrow.com to buy or sell a domain name to a counterparty in Russia, Panama, Alabama, or elsewhere on the exclusion list. Because I use Escrow.com on many of my private sales, this could become problematic for me.
Generally speaking, my largest and best domain name purchases are private deals. More often than not, I spend quite a bit of time and effort to close a deal. These private deals are worth it when buying higher value names. When it comes to standard inventory, though, I would much rather buy at auction than from a private seller.
When I buy a domain name at auction, the only effort I need to make once the name is on my radar is to place my bids. Sometimes I follow along as the auctions close and sometimes I let my proxy bid ride. I can bid higher if I feel like it, but as prices continue to rise, I can also drop out and focus on other inventory. Beyond the research, there is not much effort needed to win an auction.
A blog reader emailed me this week and asked if I would publish an article to ask other readers what they are currently buying. It’s been a little over a year since the last time I asked this question, so I thought now was a pretty good time to ask.
Last time I shared what I am looking to buy, and it still holds true today:
