seeking advice Need Help in Setting Fair Lease Price for Domain

[DistinctiveDomains]

I am trying to arrive at a fair asking price for the longterm lease of a specific domain to a large company who plans to use it as the url for their e-commerce site. I know that this is hardly a one size fits all determination, so I'm hoping to get in touch with someone who has enough knowledge of the current market in that space to guide me in finding a fair lease value of my domain under the circumstances.

If that person is you, or you know someone who fits that description, I would be delighted to hear from you.

Thanks!

 

[Biggie]

Hi

if, it is lease to own deal,
then divide the asking price by number of months that buyer wishes to pay, to complete the sale.

if it is open end lease or just a rental agreement, then you'll have to decide what amount you want each month.

in any event, both parties will have to have some assurances....
and if that ecommerce biz grows, so will value of domain - and that may be an issue in future for rental agreement.


imo...

 

[amplify]

then divide the asking price by number of months that buyer wishes to pay, to complete the sale.

That seems fair. But with today's economy, I would personally tack on an extra month or so at the agreed-upon price to account for interest and inflation.

 

[DomainsGENERAL.com]

if it is open end lease or just a rental agreement, then you'll have to decide what amount you want each month.

In case of renting, you can think about a % annual return (you still need to have a value for your name in the first place, though). Around or just below 10% would seem fair. Down to 5% would be OK and more on the cheap. Up to 15% would be more in the expensive category.

So: (Domains resale price * return in %) / 12

 

[accurate]

How long do they want to lease it for?

 

[DistinctiveDomains]

How long do they want to lease it for?

It's envisioned as an open-end lease. There's been no discussion of a lease to own option--just a straight-ahead license to use the name, renewable annually into the foreseeable future.

 

[DapperJohn]

I am trying to arrive at a fair asking price for the longterm lease of a specific domain to a large company who plans to use it as the url for their e-commerce site. I know that this is hardly a one size fits all determination, so I'm hoping to get in touch with someone who has enough knowledge of the current market in that space to guide me in finding a fair lease value of my domain under the circumstances.

If that person is you, or you know someone who fits that description, I would be delighted to hear from you.

Thanks!

Nobody can give you a proper reply because you haven't given the name.

 

[DistinctiveDomains]

Nobody can give you a proper reply because you haven't given the name.

Thanks for the reply, DapperJ. Actually, I probably should have been more clear in my original post that what I'm hoping to find is a consultant with the experience and background to help me arrive at a fair lease arrangement for the domain, as opposed to expecting someone to cite a fair price right in this open forum, where, as you correctly suggest, they could hardly be expected to do so based on the scant evidence provided.

 

[amplify]

Were you ever able to come to a number that you are comfortable leasing it for?

If not, why not think of it on a yearly or even on a two-year basis? In Japan, our leases are essentially carried over without a problem every two years. However, they can always evict or raise prices.

Perhaps you can lease it for what you feel like now and then later reevaluate your feelings with another lease price?

This is, of course, if you don't settle on a firm "lease to own" price and can make it variable, but not to exceed a certain amount (say inflation per year, etc.) which could be very detracting as they could think you will change it to $1,000,000 on them.