Can someone tell me about Domain Brokers?

[Tia Wood]

I've never used one before but I'm considering. Who are some reputable brokers and what are their roles? When should I use or avoid them? What are some warning signs of a bad broker? Can someone please explain everything for me?

Thanks.

 

[GT Web]

I'm not trying to make fun of you or anything, but usually brokers look for better names that what you have in your signature. A broker's job varies from simply finding a buyer for a name (I have done this several times) to finding a buyer and being a third party during the transaction who helps with the payment and domain transfer. The broker usually takes a 10%-20% fee for this service.

 

[scrsteven]

GT Web said it nicely. I broker the sale of many names, and I won't consider anything worth under $1k because it's just not worth my time. Fees range from 10% to 35%, depending on the name/price/situation.
Warning signs of a bad broker? Making you get a paid appraisal

 

[WhoDatDog]

If you aren't getting emails from people asking about your names then a broker probably wouldn't be interested. The best time to get a broker is if you aren't really into domains and you happen to have a gem of a name.

I can't see how a broker could be useful to anyone who studies domains just a little bit. You run the risk of getting the worst of it and not maximizing value.

I would guess that the buyer gets the best deal over 90 percent of the time when a broker is involved. You can sell your names for less than they are worth on your own....you don't need help.

If you have great names then just put them up at Sedo, Afternic, Ebay, and here, and you will soon find out the current market value.

 

[Tia Wood]

What makes you guys think the domains in my sig are all I have or my most qualified domains?

I'm looking for companies or well known individuals. Not limited to these forums.

scrsteven, good point. "So I have this guy who want to purchase your domain but he doesn't do this for a living and wants you to get an appraisal at one of his companies." hehe

 

[acronym007]

Hello Tia,
The problem is that there are no regulations, there are no laws or statues in any state in the USA or elseshwere that establsih what it required to be a professional domain broker. This is all to my knowledge. So, what are you looking at are professional domainers that are either well conntected or not. None of them have any quals to speak of so your have to go on a few things. I would consider these things to be important:

1. Honesty - gets your domains noticed with lying about traffic or something
2. Ethics - part of honesty but moreso will deal fairly to all parties
3. Brokerage/sales background - working in the best interest of the party that hired him (seller/buyer). A broker/lawyer will know how to handle his fiduciary responsiblies correctly and having a sale background is self-explanatory
4. Experience - if any, domains sold by this broker or deals this broker has been involved with

I'm sure I could list a ton of others. I am a real estate broker, so I understand brokerage itself. It is good that this industry is not regulated, I love it. Real estate is too much but the laws are in place to protect average citizens and in this case you have no such protection. I would consider the above four factors items as a starting point to determine if you like the broker you are working with. One other thing, listen to your broker, if he/she says you names are not worth what you are asking then they may be right. While you are thinking emotially, they are thinking objectively. Cheers,

Acro

 

[scrsteven]

If you aren't getting emails from people asking about your names then a broker probably wouldn't be interested. The best time to get a broker is if you aren't really into domains and you happen to have a gem of a name.

I agree the best time to get a broker is when you have a gem of a name, but even when you are "into domains" not everyone has the connections to potential deep-pocketed buyers that some brokers do.

I can't see how a broker could be useful to anyone who studies domains just a little bit. You run the risk of getting the worst of it and not maximizing value.

I would guess that the buyer gets the best deal over 90 percent of the time when a broker is involved. You can sell your names for less than they are worth on your own....you don't need help.

I completely disagree here- the buyer only gets the best deal if the broker is dishonest! Why would someone earning a % commission sell for less than the max he could get? Maybe if he urgently needed money or something- but that goes back to being a dishonest broker.

If you have great names then just put them up at Sedo, Afternic, Ebay, and here, and you will soon find out the current market value.

I have over 1500 names at sedo, afternic, etc., and I get maybe 2 offers per week. At these places you normally only get other domainers buying- brokers can go direct to end users with end user pricing. I gtg now, more to come later.

 

[acronym007]

A broker is useful in any transaction, in that same sense a lawyer is needed for a divorce. Some lawyers will tell you could do just a good a job as they can but you never disassociate the emotion. A broker uses sales methods, stratedgies, connections and legal knowledge to perform a valuable service. Does Micheal Jordan need an agent to know if he's good? Professional athletese use agents as brokers to get the best deal. The broker takes nothing personal. If the broker does not add value then I agree 100% with WhoDatDog, he/she is not needed. They are there to get the most for the seller or cheapest deal for the buyer. Just some more thoughts. Cheers,

Acro