Launching an Escrow service, Worth it?

[JayB]

I'm very interested in lauching my own escrow service, but i am unaware if there is a demand in the market.

Good idea, Bad idea.

Share your thoughts,

Thanks and regards,

JMD

 

[BiggieBiggie is verified member.]

ask Justin aka Rockefeller

i'm sure he wants more competition

 

[JayB]

Im not sure how that as intended, but thnks for the reply.

JMD

 

[nicedomains]

Biggedon is referring to member Rockefeller (Justin) that has recently launched an escrow service for domain names: escrowdns.com

I know that you and Justin are not the only ones with this idea, nothing I would want to take on but I do believe there is potential. I think that toughest aspect would be proving your company is trustworthy. Handling money and valuable domain names must be done in a very secure setting, one mistake could ruin your reputation in this biz..

 

[JayB]

Some very handy info, thanks nicedomains.

Gaining trust would be top priority.

Thanks again,
JMD

 

[longhorn]

biggedon is referring to member rockefeller (justin) that has recently launched an escrow service for domain names: Escrowdns.com

i know that you and justin are not the only ones with this idea, nothing i would want to take on but i do believe there is potential. I think that toughest aspect would be proving your company is trustworthy. Handling money and valuable domain names must be done in a very secure setting, one mistake could ruin your reputation in this biz..

+1

 

[mvl]

I'm very interested in lauching my own escrow service, but i am unaware if there is a demand in the market.
...

If you don't know the market, don't do it.

 

[Steen]

If you don't know the market, don't do it.

Or get to know the market by engaging your potential customers?

JMD - If I were you I would focus on what your competative advantage is. What can/do you offer that others do not.

Here are a few things that come to mind:

1) Hold the domain name yourself during the transaction
2) Offer better pricing
3) Offer faster turn-around time
4) Transact in multiple currencies

Those are some individual ideas... I highly recommend you do not try to implement all of them as they can conflict a little.

 

[Varchar]

Are you looking to provide escrow service for domains or other categories such as cars or other online transactions like escrow.com? From what I am aware, EscrowDNS only handle domains.

 

[sng]

Sound like a good idea, but there's a lot of risk if something goes wrong.

 

[David G]

Don't you need a license from the individual states?

A reason I ask is escrow.com could not do an escrow for me a few years ago because their license in my state was suspended for some odd reason and it took a couple years to get the license reinstated.

 

[PRED]

too much grief imho
better options away from this imho

 

[Steen]

Don't you need a license from the individual states?

The OP is from the UK and who knows where his company is incorporated (chances are not the states.)

Why would he need to go to every state for a license to transact international IP?

Last I checked Escrow.com does not have a license Mukdahan province of Thailand. Should I report them?

 

[tldrental]

The OP is from the UK and who knows where his company is incorporated (chances are not the states.)

Why would he need to go to every state for a license to transact international IP?

Last I checked Escrow.com does not have a license Mukdahan province of Thailand. Should I report them?

lol

 

[PRED]

The OP is from the UK and who knows where his company is incorporated (chances are not the states.)

Why would he need to go to every state for a license to transact international IP?

Last I checked Escrow.com does not have a license Mukdahan province of Thailand. Should I report them?

LOL
True. although i'm sure Kentucky would try to take domain if they didnt get a cut. robbing bar stewards!

 

[000]

Many consumers prefer to deal with businesses that are licensed and regulated in their home state/country. For example, escrow.com is the only online escrow company identified as licensed by the state of California dept of corporations website, giving escrow.com a competitive advantage over unlicensed companies seeking the business of California residents.

source: http://www.corp.ca.gov/FSD/licensees/default.asp

 

[DNBA]

you will need to be able to have the funds to do it as well as being insured for the transactions. one bad transaction could be costly.

 

[David G]

The OP is from the UK and who knows where his company is incorporated (chances are not the states.)

Why would he need to go to every state for a license to transact international IP?

Last I checked Escrow.com does not have a license Mukdahan province of Thailand. Should I report them?

Was referring to doing escrow business for US residents and the fact escrow.com said they could not do escrow for me in my state because their license was suspended at that time.

 

[Bill Roy]

JM my input would be that unless you have a few cool millions under your bed that you do not need, 25 hours a day in which to work, a good legal team well versed well in many national and international law fields, and you particularly have a wish of suffering headaches, and a love of governmental paperwork, then you should seriously consider if this is the right move for you. There is undoubtedly a niche to be filled, but even if successful the rewards may not be worth the effort and heartache.

What ever you decide to do my best wishes go with you.

 

[Dale Hubbard]

Nah. You don't need all that. You need the auspices of a firm of solicitors that will take a cut. Ohh - and a good domain like payfor.com and all gTLDs. Globally, a UK law firm can do this. There's not a lot of rocket science here as long as you get jurisdictional clearance, which you would 90% with a UK law firm. I.e.: No pay; no domain, in simplistic terms.