Hi All, I have a question, I had received a request from someone to either purchase or license a 4+ year old domain that I own. I need some advice on how licensing work? which method would be best to persue selling or licensing? Thank you in advance.
I believe licensing means that you retain the ownership of the domain name while he gets to use it for whatever he wants with it. I would prefer an outright sale as it would be less complicating and clear cut. Because if he use your domain name to spam or to set up a phishing or some illegal sites, you will be the one the authorities would look for since the domain name is in your name. Think of licensing in this case as renting out one of your apartment.
The selling or licensing might depend on amount that is being paid. If he is paying some good amount for licensing and you think your domain name has the potential then you can rent it out. If the licensing amount is too low and you think it is not worth the trouble then ask him to make a purchase offer. Thanks.
Thank you for the insight. I was able to some web search regarding domain licensing. And it is true that I need to be protected against phishing, etc while licensing the domain. It does make sense that selling the domain would be a good choice vs. renting it. But I think that licensing the domain would lower the initial investment of the person renting it to be a fixed annual fee. So if the offer is for $10K what would be a good price for licensing the domain based on annual basis. 1,000 a year? Or a different amount! Assuming that the individual might be leasing the name for 10+ years. Is there a method or formula that can be used to determine the min/max amount to rent a domain?