Legacy Exclusive Member
- Jul 29, 2011
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Many domain investors lose their money because they really don’t understand what they’re investing in. Are they investing in a cashflow, a website, a business, a stock item or the promise that someone at some time will pay a lot of money for a particular domain?
Like any investment, getting good quality advice can mean the difference between losing your shirt and making a killing. If you’re new the domain investment game then I have one thing to say to you, “Be really, really careful!”
Over the years I’ve seen literally millions of dollars poured down the drain. From professional investors that think they know everything to complete amateurs that have fallen into some money and appear to be dying to get rid of it. So here are a few points that I hope will help you avoid the pitfalls of domain investment so that you can have pleasant stories to tell your children.
1. What business model are you investing in? As mentioned above, how are the domains actually going to make money and put a cashflow together to see if it realistically stacks up.
2. Get control of your assets! It seems obvious but I’ve spoken with a large number of domain investors that for whatever reason don’t have the keys to their own domain portfolios at a reputable registrar. It would be like buying a car and then never taking the keys out of the ignition so that anyone can come along and steal it.