After having higher offers for 20.com, was selling a mistake ?

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So Jason Calacanis sold 20.com for $1.75 million as reported on his Twitter account. James Iles on Namepros confirmed the sale details.

When Jason tweeted out that he was leaning towards selling, a couple well known domainers tweeted back.

Morgan Linton told Jason to go for it:

Andrew Rosener disagreed:

Now Jason has stated in the past that he had offers in the $2 and $3 million range.

Was this a mistake to sell for $1.75 million ? Only time will tell and I expect strong opinions on both sides.

About Raymond Hackney

Raymond is a writer, domain trader and consultant based in Pennsylvania. Raymond is the founder of 3Character.com and TLDInvestors.com.

Comments

  1. Snoopy says

    Market has halved but market is what it is, simply isn’t known if it will be higher or lower in future.

  2. Richard says

    Domains are like the stock market, no one can time it correctly, no one can buy at the very low and sell at the very high. If Warren can’t do it, don’t even try it. In general the market is giving you very good liquidity at the moment, especially for NN and NNN domains. No one knows what is in 3 years. Prices could easily correct another 30-40%.
    It is a dead asset with almost zero carry-costs but I agree with Jason; the money is better invested in new startups that actually might solve some problems or develop a new technology. After all it is just a domain and someone is paying you $1.75M for it. Take the money, say thank you and move on.

  7. John says

    Well I hate to disagree with Rick on this but I feel that is way too low for that one, even notwithstanding any current or temporary lull in the market. Even now $3m and up, potentially way way up in fact, would be more simply reasonable. But as Jim Cramer sometimes says, no one ever got hurt taking a profit I guess…

  9. Josh says

    Only that person knows if it is the best choice for them. Both sides can be right of course, time will tell but the question for the seller is if it is the right answer for them.

      • Josh says

        I don’t talk in circles, I simply stated both opinions have the possibility of being correct however the person needs to make the right decision for them at that time.

        Some people would rather hold and maybe rightly so.
        Some may have use for the funds now, be it new ventures, fear or otherwise.

        Why do I bother to post at all you say, good question.

  10. Joe Uddeme says

    As the broker of record on the transaction, it was a solid price for an owner that had the name for years. It was the opportune time to cash out and focus on other solid investments. Should the seller really hold for another 6 months, hoping the market rebounds and maybe take home an extra 100k? I dont think so.

    This was a solid sale and the actual price was 1.76m usd.

    • Domain says

      Of course it was solid but it was $1.25 million less than previous offers he had.

      But nice try.

    • Snoopy says

      Joe, if the market “rebounds” he would have taken home $3million, not an extra 100k, He said himself he has has been offered $3million.

  11. MM says

    If you never had six or seven figure offers you may not know this but allot if not most of the times the offers are not “closeable”. Not that they are fake, its just that if you say yes you get lots of people who will try to reneg or just walk away and not continue to closing. So those 2M – 3M “offers” are just that – offers. Doesn’t mean the cash was ever there. On the other hand., the 1.76M was real, and so we now have a deal.

    Congrats, its a good number.

  12. Bradley says

    Well Done!

    It is 20.com, and this name, and any name ending in 0, or o, can often get confused as one or the other.
    That onto itself, could easily make this name less desirable, and take a big hit of getting much less.
    Now, go buy some great .com’s with your sale, and purchase outright that beautiful house you have in mind!

    Best,
    Bradley NYC

  13. peterpam says

    I think the price is a little on the low end, but hey with the right strategy he can flip that 1,75 Million ito 10 million in 3 years, so why would he not sell!. congratulations to the seller as long you feel good about it

  15. Dn Ebook says

    Once the decision to sell was made I wonder if the older offers were contacted first? Either way congratulations on a fantastic sale! You can’t spend domains, but you can spend money.