Morning Folks!!
Since 1996 I have thought that when you have a great domain you can attract folks to work with you and create 'Joint Ventures'.
I even tried to do this with Porno.com in 1997. I was laughed at by each person I would discuss it with. What they did not know (and thank goodness) had they said 'Yes', that would have been worth in excess of $500k to them annually. Boy was I DUMB and thankfully so were they!
But I never let go of that vision. I just had to be patient enough for others to see and understand what I see and understand.
When PPC began to drop in 2007, I started changing how I do business. I now make only a fraction of my income from parking. The majority now comes from my joint ventures.
I opened up a few sites like worksmarter.com and domaindevelopers.com to explain what I was looking for along with a message on each parked page looking for joint venture partners. In 1997 it was domainseller.com. In 1999 until now has been erealestate.com. Always trying to educate the end user or the person out there with a big dream. If you advertise for elephants, you can get elephants!
I now have about 12-15 sites with my domains that others are trying to make a go of. Just yesterday, topsecret.com went online with a guy that emailed me earlier this week. Each day he will add more value and content. Will it work? We'll see. TopSecret.com was making me about $25/month on PPC. So in 30 days I will evaulate what he has done and hopefully there will be something that attracts eyeballs.
I experiment and look for a spark. Most will fail. That is okay. Each failure is one step closer to a success. You never know where or in what form that success will come in. But you must keep pitching that ball if you want to have a chance. And when you own a great domain name, you have the luxury of time to try this and that and this again.
Over the summer I have been working with somebody to try and change the dynamics on about 6 other domain names. I have active conversations going with others. What was laughable in 1997 is MY reality today.
This week alone I had at least 5 folks willing to lease some domains. Until the last year or two when I would mention the word 'Lease' they would laugh. Now tey are making offers. That's a major shift.
But you can't do it with worthless domains. Like yesterday I got spammed with a domain name. I own dishwashing.com. I get a spam for washingdish.com which means nothing. Not that dishwashing.com is the greatest domain name. But the other is PURE pigeon shit. Or when there is a 'S' in the wrong place making like a double plural.
A domain has to be meaningful to be leased. Yesterday somebody offered me $50/month for a domain I was asking $1500/month for. I told him right out, if your business is only capable of those low numbers on a 'Diamond' domain, I have no interest. I just look at it thru a different set of eyes. If I open a store on Main Street how much will it cost? To service a smaller area. That is my basis since 1996 and it ain't going to change. I have just been patient enough for LIFE and REALITY to catch up to my vision. And around the turn they come!!!
Lastly, when I lease I usually have language weaved in which outlines what will happen in the event of a great success. That way everyone is more comfortable and all hoping for that great success.
Have a GREAT Day!
Rick Schwartz
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KA
You had your sight on JV’s for over a decade now. It’s not gonna scale and rarely gonna happen. JV’s are far too complex. Those with domains think they have the world by the balls and those with the plan, experience, and money usually don’t buy into it.
Rick Schwartz
KA, Not true when you have a formula that works and has been duplicated several times.
The first was the hardest. The last one was the easiest.
Rick McDonalds
Can you share the language you weave for leasing domains? What are the conditions you have for success & failure of a domain?
Jay
Rick, can you PLEASE share your approach to JV business? Are you trying to find partners for your domain business or you better wait other parties to contact you. I am afraid waiting is mostly dealing with jerks and lowballs.
Rick Schwartz
I just wait.
I have my sign up. I patiently wait.
Sure, lots of jerks, but as they get educated, thinks change.
@domains
Thanks for always reminding your readers to keep the bar set high! In domains and everything else!
Puranjay
Rick, hate to be a Grammar Nazi, but your TopSecret.com guy might want to correct the spelling for ‘sensitive’ in the site title. That’s just poor first impression.
Andrew Rosener
Just signed a lease this week to lease out Mushrooms.com, Shrooms.com &Spores.com. That’s our 6th lease agreement we’ve put in place on our domains.
I’ll take a lease over a sale any day!
Joao
I wish i could lease. Domains are in fact the best kind of property to lease, but it seems that when it comes to internet…people get scared.
It is allways the same thing about”we prefer to have full control over the domain.”
People have the habit to rent a shop and develop an entire business in something they do not own, but if it is a domain they dont seem to recognize an agreement as being valid.
Bottom line, i wish i had clients for that. I have tried and keep trying but its just not happening.
Michael
I really like WorkSmarter.com, nice name. Also, I like this post a lot and couldnt agree more. I’ve landed 5 partnerships in the past 12 months. Choose your partners wisely. When like minded, hard working, dedicated, serious, hungry people come together, shit happens. Shit gets done.
Rick- let’s partner up on my name SmarterToBarter.com and make the ULTIMATE exchange/barter community?
I think it would be really exciting/dynamic to work with a guy like you, I’m sure most would agree. I think the deal you made via your comment section on another post for a win-win development plan between Cruises.mobi and one of your commentators was awesome. Seriously, that was just a little deal that could become something, made via a comment. Awesome. I have an idea to unite domainers in the name of profit. I’ve been planning it out almost 6 months now, stay tuned!
Adam Strong
Rick are you doing lease to own or just a lease without a buy out/option ?
I’ve got a couple leases in play right now and have brokered a couple too.
I like the equity for domain idea too . I’ve done that successfully once but it’s much more risk obviously.
Love to hear more about your specifics in your contracts that give you a reward on their success.
Good stuff. I think there’s a lot of under the radar stuff going on in this arena thanks for bringing it to light more