I am a soloist in life. Most of my business ventures are done on my own. Only a few times in life have I had a partner. I was a slave to a few owners before then. Howard proved that a partnership could work well if the 2 dance well together. Danny Welsh had some talents I have very rarely seen in my life. I knew he would be able to not only fill in my weaknesses, but make those weaknesses my greatest strengths. So we have dovetailed well and in the months ahead you will know why we teamed up. Danny is a nice guy, but he is also brutal. Brutally honest with what he sees and does.
I think you might get a sense for him by the way he answers questions in a really detailed manner. So the following is an actual email set of questions and the responses. And since the questions are so universal, and many have asked the same things, I thought it best to post it.
1. I guess really what my question(s) boils down to is, if I tie up my names with you guys for 1 year, are you going to be doing active outbound sales calls and lead gen in order to bring a lease/sale/jv deal on them?
Danny: YES. That's my job. Get more interested inquiries over to Rick, filter them to pass along only those that may be more qualified and let him do his thing with negotiating. You don't know me, but marketing is why I'm here at the table. Hundreds of references I can give you. Frankly, I'm ITCHING to get this necessary but unappealing part of the process over with so I can get on with the 12 month task set before me to market these properties in a way befitting a 6 and 7 figure asset.
2. Anyhow, I love what you guys are doing and I'm not in need of a 'fast fix', I just don't want to tie the names up for such a long period of time without knowing that they are being put to work, so to speak.
Danny: Don't look at it as 'tying up'. Look at it as attempting to unleash a great domain name to become a great business. I can show you annual parking income on a set of 100 domain names I represent for Rick. Turn one into a lease and it can out-perform the other 99 in the next 12 months, with nothing but more upside down the road including annual built-in increases, possible buyouts, possible equity share royalties etc. We're whale hunting. Don't give us anything to work with that you expect you can make something great happen for without us or without any effort in the next 4-24 months. Let me put in the work, and we WILL. Our efforts will either fly or die but it will not be for lack of effort or vision.
3. In the end, you guys are taking on a whole lot of domains for this venture and like you said, some good, some bad and some great.
Danny: Not as many as we could. 30,000+ submissions and 95% totally unsuitable in timing for what we're trying to do. Combing through the remainder to find the ones that we can make a stand behind that we believe can make corporate America and the press sit up and take notice this year...was not a job for the marketing guy (me) but the seasoned domain investor. When Rick took that job on himself I was very glad! The bottom line is, we don't need to make bad deals or take quantity inventory. Scale planned for my operation was for 100 domains of Rick's, now we'll have 400 domains represented this year . It will take some ramp up but it can be done.
4. I'm trying to understand how individual names from that great pool will be highlighted to appropriate buyers.
Danny: Direct targeted marketing via multiple media using plans spearheaded by me and carried out by a team (caveat: as mentioned, the team WILL have to grow to scale our planned 2013 operations to represent 400 domain names instead of the 100 of Rick's. That's my #1 priority in coming weeks). Marketing for your properties will be targeted to companies that should be interested and may be qualified to get a 5 figure per year deal to use a 6 or 7 figure value asset. Primarily niche targeted is easier, as you know. It's no secret who ought to want a certain domain name. I'll be going to those people with a custom 'angle' designed mostly just to get the news into the hands and minds of the right people. Rick gave ONE example of 100+ on his blog with a blurb about our plan for SoccerBalls.com as an example. The rest I'm sorry but I'll have to keep those to myself.
5. Can you give me any examples of names which you have successfully leased under your model? Rick's personal past and current leases have ranged anywhere from $400 to $125,000/mo. So you can set your own price range and so long as Rick thinks it's reasonable we will work for that. No recent deals you'll be reading about on the higher end of that spectrum but the $1000/mo deals are 30-100x parking and more so for me that's plenty of empirical evidence. How much does a domain make parked? How many multiples will $3000/mo lease to start be if we succeed?
6. Obviously, I'm well aware of the Candy.com and other JV deals you (Rick) have done, but I'm more interested in the lease model and successes on that front.
Danny: Read the Ricksblog.com over the next few weeks. Transparency is key, I agree. Just know that Rick isn't dumb and wouldn't jeopardize his reputation without proof these deals have become MUCH easier to negotiate and begin in recent months than EVER before.
7. Will either of you be in Santa Monica for WebFest?-----
Danny: Not unless my mentor and partner goes, which I'm doubting. See you at T.R.A.F.F.I.C. in Vegas!
Danny: Thanks for your time. I'm a nice guy but business is business. It's a better use of my time to reassure a guy who's a player that this is THE game he wants to be in for 2013-4, than respond to hundreds of non-qualified inquiries. What you get with me is a guy who'll do both and treat them equally as important in how I communicate with them. Within reason, anyway. Come 2/1 all this is over and I can run to the market and shout what we have to the end users that want your very best assets, let them know the terms under which they can get their hands on the one they want and change their destiny forever.
Guys, all I can say is this nails it. When I say we've turned the corner and the mainstream is being attracted far faster than they ever could have been chased, this is what happens. The waiting and the 20 year plan is shifting on a tipping point as we speak. This is so exciting! Let me have Danny Welsh, my partner with JointVentures.com share a a few things with you in his series of posts that will articulate and then demonstrate what we see unfolding before our very eyes and it is happening RIGHT NOW!....
By Danny Welsh
What's it mean when you can extract more money per MONTH in leasing income from a domain name than all the money the domain name has made in the last DECADE parked?
What's it mean when you can extract more money per MONTH in leasing income from a domain name than all the money the domain name cost in registration fees over a DECADE of waiting?
What's it mean when the company you're negotiating with is grateful for the opportunity to run with their idea and pay only $1000/mo to try out using an asset instead of gambling $1,000,000 to acquire an asset they believe is incredibly valuable but aren't quite as sure as you are HOW valuable?
It means, the times...they are a changing.
No longer can someone come along and try to tell you that your best domain names are somehow worth a multiple of what they earn 'parked' in the lowest common denominator of monetization. No longer do you have to wonder when the mainstream will 'get it' just how influential the domain community has made itself...one $100 or $8.99 bet on the future at a time over the course of now almost 2 decades.
The sales resistance for domain leasing is getting smaller by the day.
The alternatives to the best .com domain names all have flaws that anyone SERIOUS about their business is going to see when you point it out to them. The evidence is just not debatable anymore, and has been carefully compiled by investors like Rick Schwartz and many others with real numbers over more than 18 years.
And if any company is dumb enough despite all evidence to build a thriving business on a .net or .co or a dashed domain or whatever, DESPITE our complete transparency about what traffic leakage is that they can expect...you can rest easy knowing one day as they succeed more and more they'll be knocking at your door hat in hand...all the while you have a silent partner driving confusion traffic to your .com making you money while you sleep.
But the domains for leasing have to be the BEST. They don't need to be Candy.com value, but it needs to have MEANING.And they have to give a company a shot at building a GREAT domain into a GREATER business, with all the advantages that me and you and Rick all know are there, unexploited in a parked domain earning as little as $100 per year. Like a tiger in a cage, capable of destroying all challengers, just as soon as you remove the iron bars.
I want to publicly thank our JointVentures.com clients for ARMING us with an amazing group of domain names.
After reviewing tens of thousands of submissions...maybe 30,000+, and 95% of those totally unsuitable according to Rick's criteria at this time...we have endeavored to choose the 300 third party domain names that I believed I could market and tell the value proposition to end users, and that Rick believed he can help negotiate into a sweet deal.
As of this minute, we have exclusively signed to represent I believe _______##_______ premium assets we can take to the marketplace and show an entrepreneurial community of investors has come together to make a STATEMENT to Corporate America that those assets will be exchanged only for a fair price including residuals,make a STATEMENT to Madison Avenue advertising agencies on the opportunity they missed forever, and make a STATEMENT to small business on the opportunity they still have to align their company with one of if not THE best generic domain names for their category and have the wind at their back forever.
We have no time to waste, a team to continue building, and many kinks to work out as we scale a process that was created FOR RICK SCHWARTZ so that we can serve dozens of others and be a good steward of the trust many have placed in us to kick ass and take names in 2013.
Right now, implementing those scaling procedures is my #1 priority just as soon as I rest and recover a few days from the busiest 3 weeks I can remember in some time.
Over the year you'll be hearing all about our marketing tests and what's worked...and what has not.
That's right, folks. I think it's going to be interesting to build a business with the best minds--
and let's be real here...also the biggest mouths ;) -- in an entire industry watching.
Maybe a little stressful, for some, but I know that pressure makes diamonds. I'll accept that reality and you know damn well it ain't gonna lose Rick Schwartz any sleep.
We may even hire a few folks as sales brokers that want to go on the journey with us, from right here among this blog's readership. Diamonds in the rough that love domains as much as we do, and in today's economy will know a GREAT opportunity when they see it in front of their f@ce.
But with that part about 'full transparency' said and understood....I do have three small requests to make from folks as we go about 2013, and I sincerely hope you'll agree.
1. Give me the same chance Rick gave me to earn his respect and trust
(believe me it was not easy).
2. If you see something, say something
(we have already implemented a dozen ideas or more input by the readers of this blog, with a number filed away for use when we're ready).
3. Expect to see and here more of me here on RicksBlog in the last and next couple weeks than the next couple months. Starting February 1, the phase shifts and the message and focus returns where I want it to be for me and for Rick Schwartz...on the CEO, marketing executive and/or start-up entrepreneur increasingly seeing the great domain name they are interested in using weaved into the JointVentures.com lease and/or profit-share value proposition and thinking to themselves 'this is a hell of a deal'.
I hope you'll do the respectful thing in #1, see the benefit for yourself and your peers in #2, and recognize that for #3...well
As Rick says 'Danny and I will demonstrate with DEALS why the solution for ME is also the solution for YOU!'
My most important business goal for 2013 is not small, but it is not impossible. It's to demonstrate that Rick's solution is the solution for 'the 500.'
And to do so emphatically
not with words alone but deals.
That won't give me much time to joust with folks on a blog.
But as a 2 year reader I do plan to become more active on this forum and I'd like each of you 'regulars' to know that I appreciate the warm welcome you've given me and my ideas.
Being more active, however, means engaging with the people who matter, cheering anyone that wants to participate in what we are doing in spirit but not in letter with a 'mirroring' plan that will pave public acceptance of these types of deals more and more...and for the most part ignoring the jerks that offer no real value to anyone.
Is that fair or is that fair?
Have a great week!-----