Morning Folks!!
After selling Candy.com just 18 months ago for $3 Million and other considerations, I got my first Royalty Check a few weeks ago. As Jackie Gleason used to say…..”How Sweet it is!”
But that is not the story today. Today I am just making sure that I am first to post the headline about the sale of Candy.com that will eventually happen and it will be for hundreds of millions of dollars. I believe $300 Million will be the eventual sales price as Candy.com has been transformed from a parked page to a world class business doing millions of dollars in online transactions and poised to do tens of millions and beyond as they continue to do a great job of marketing and growing their company in a 21st century way using 20th century basics. The only question I see is WHEN will it cross the $300 Million threshold?
Before you think my price is out of line, let me take a moment to say that by all standard accounting numbers, the value has already gone from $3M to in excess of $50M in the first 18 months. When you factor in growth over the next decade, Candy.com will be $500 Million and more. That is why I believe that it will sell for $300M and it may be sooner than even I think. 2011? Doubtful. 2012? It will be at the 9 figure mark. 2013? They'll be taking a good sniff. 2014? BINGO!! The only snag in that is in 2014 when it will be mathematically be worth $300 million, they would be crazy to sell it at that point because the trajectory would be much greater than anything one can even fathom right now.
Now I am not without motive. If and when Candy.com sells again, I get a “Kings Ransom”. So why not try and get the ball rolling? If asked I would tell Greg and Joe that $300 Million would be the price to take if you were going to sell today. But sales are a moving target. Every day of growth by Candy.com, every day of dominance, every day of getting new customers, is a day that the value and importance just increases. They also become harder and harder to compete with. But sshhhhhh…..don’t tell their competition that they are about to eat their lunch. Let’s just keep it between us girls. The accountants will tell them soon enough.
Why? Because it is Candy.com, the domain, is only a little of the story. When I look back at the deal we made, I saw the perfect image of what I was looking for all these years. Knowledge, passion, smarts, energy. All that back up by a company in business for many decades. And it is exactly that when MATCHED with a great domain name that truly makes the difference. It has to be next to perfect. Al things aligned for it to work. This one in in align and it is just so much fun to watch and be part of.
Candy.com with a Thanksgiving Day Float? Candy.com with new divisions? Candy.com with retail outlets? Passion does BIG things.
So if the domain sells in 2014 for example, $300 Million would be the number. As time goes on that price will approach $500 Million. Growth, dominance and a category leader domain before you even peel back the business plan. Candy.com will show the world what is possible selling PENNY candies and doing it worldwide and in bulk. Wholesale, retail, gifting, this will do nothing but expand and when it does it will demonstrate the true power of a domain name when married to a great business run by energetic and determined individuals. Nothing will be able to illustrate nor magnify what I have been saying all these years better than following this sale. To me the ONLY variable is WHEN it happens. Generally it happens when you become a thorn in the side of a giant or you see a company in an allied field that would like to expand and want to do it before it becomes out of reach. Out of reach varies with different people. That's why sales like this will happen sooner rather than later.
Now I have not run this by the guys at Candy.com and I hope they don’t fall off their seat when they read this, but fellas, $300 million should at least get you to the table.
Have a GREAT Day!
Rick Schwartz
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