What Should I Look For When Selecting A Domain Broker?
If you were to look for a new home or consider other valuable investment, you would want a seasoned professional by your side to help advise you to the best course of action.
The same is true if you are looking to purchase, or sell, a domain name. You’ll want to find a domain broker that you can trust to be an honest agent on your behalf. That being said, what should you look for when selecting a domain broker to help you buy or sell a premium domain name?
Finding a Great Domain Broker Requires Research
Simply stated, a domain broker is someone who is in the business of buying and selling domains for other people. Essentially a middleman, the broker negotiates between buyers and sellers to arrive at an agreeable price based on fair market value.
Since there are no education or licensing requirements to become a broker of premium domains, there is a huge market of active brokers. There are many amazing firms with sterling reputations for getting value for their clients, but there are others that are known scam artists. Due diligence is key to finding the ideal candidate.
Look for Published Domain Brokers and Read Their Thoughts
As mentioned, there are many domain brokers to choose from, but as in every profession, certain names rise to the top and are worthy of notice. You can trust that domain enthusiasts are not shrinking violets when it comes to open discussion about brokers, domains, and the state of the industry.
Begin by reading articles, blogs, and personal information by and about the prospective domain broker you might want to work with. Once you have narrowed your focus to one or two candidates, you should reach out to them with a list of queries designed to ascertain whether they are the right fit for your needs.
Make Contact and Gather Information
Once you’ve made contact, the first thing you should do is discuss the broker’s previous track record. If you don’t already have it, begin by asking for a list of domain names that the broker has successfully sold in the past.
Although they are unlikely to divulge any prices, a perusal of the list should provide evidence whether or not the candidate deals in quality names. You’ll want your broker to have a solid track-record and a strong knowledge of your niche’s webspace.
Ask the Hard Questions
Additionally, I would ask as many questions about their previous transactions and their workstyle as possible. Before deciding to work with a broker, you’ll want answers to all of the following questions:
How do they communicate? What marketing approaches do they use? What was their overall experience with prior transactions? Do they sell in volume for a quick turnaround, or do they shop the market to find the best possible price?
Ask as many questions as you see fit until you have all the information you need to make a decision. If you aren’t 100% comfortable with a domain broker, it probably isn’t wise to work with them.
Dotting the “I’s” and Crossing the “T’s”
Once you have determined that you’ve found the perfect candidate, it’s time to ensure that all of the details in the broker’s contract meet your needs and satisfaction. For instance, make sure that the commission structure, as well as the exclusivity period of the deal is clearly understood by all parties.
Always guarantee that a reputable third party escrow service, like Escrow.Domains, Escrow.Com, or Payoneer will be charged with holding the funds that result from a transaction.
Closing the Deal With Your Broker
When looking for a premium domain broker, you want someone with an established reputation for honesty, a willingness to work with you, a verifiable record of successful transactions, and a vision that matches yours.
As with all business decisions, you need to conduct due diligence and be willing to walk away from people that don’t mesh with your buying or selling philosophy.
