A domain name drop catching service founded in 2014 is for sale and the asking price is $1,500,000.
The service is described as “well-known and highly profitable business in the domain speculation and backordering niche.” with a “proprietary software which secures dropped domains with an impressive success rate.”
The company claims a yearly revenue of $818,600 (probably in 2015) and a yearly net profit of $500,000. Established in 2014, the business grew from 5-figures in sales to a forecasted $1M in sales in 2016.
The company also claims to have a portfolio of domains est. at $2.3M by Estibot.com.
The company is for sale on FE International that asked me to sign an NDA to provide more details. I won’t be signing anything.
Update: After a few comments I read and from the links posted the most probable company is now park.io that was founded in 2014. The numbers seem to match also.
At first I thought it was Pheenix:
(After eliminating the major players in the domain name backordering scene, both due to revenue and the year they were founded, the only active and newly founded backordering service left was Pheenix. Pheenix was actually founded in 2013 by FreshDrop founder Tan Tran but maybe the company was not formed until 2014. (If you think of a different service that matches the company please let me know.) In May 2016, Pheenix announced it started accepting domains for auction but this move was accepted with great skepticism by many people.)
Here is the description of the company on FE International:
- 125% CAGR since founded in 2014
- Multiple diverse revenue streams
- Portfolio of domains est. at $2.3M by Estibot.com
- Strong net margin of 61%
- Ability to reinvest profits into multiple opportunities for growth
For sale is a well-known and highly profitable business in the domain speculation and backordering niche.
Established in 2014, the business grew from 5-figures in sales to a forecasted $1M in sales in 2016. This growth has been achieved in an established market, inferring that the business has been taking market share aggressively thanks to its proprietary software which secures dropped domains with an impressive success rate.
With growing revenues, a diversified income profile and a scalable model, this business is poised for future growth. A new owner with the ability to scale 7-figure businesses would likely attract interest in years to come from a firm looking to enter/expand in the domaining niche.
(Thanks for the tip Edward!)
If this is Pheenix my guess as to why it is being sold is because it just can’t compete with Namejet/Snapnames and Dropcatch. These 2 are getting the best domains every day.
Can it be park.io? I heard it is for sale too. https://www.indiehackers.com/businesses/park-io
Could be. It was founded in 2014. But .io dropcatching is a very small niche and park.io is not even well known among domainers. If they make that kind of money then congrats!
If Pheenix, they made a lot when the Chinese market was hot so good to use those stats to sell the site now.
Perfect time to sell, pheenix has gone downhill in the last year in terms of catching, chinese market is off as well, still a good little business for a single operator for sure.
$1.5M in the bank is nice also, along with the $500K in net already banked.
Yep NJ and Snap to hard to compete against.
Anyone that has software that can beat these guys is not going to sell it. They keep it to themselves. That is where the real money is.
If I could beat these guys with a self designed program that could beat them 1 out 10 times I sure would not sell it. $$$
Park.io just had an artical about them on several sites how they make like 125K a month. Prob not them…?
Maybe they started 2016 at $70k and they are now making $125k per month. That would be on track to more than a million this year. Could be them.
Pheenix revenue would be way over $818K, heck I spent over $10K there alone
That $818k is supposed to be from 2015 alone.
Now that I think of it, Actually that could be accurate, because the market didn’t really catch fire until Sept 2015, other than that, pheenix wasn’t as active.
Backordezone is my guess
Isn’t Backorderzone dead?
For sale as far as I know
They were selling all the backordering technology and their registrars etc just a month or so ago
Who will buy a dead service? Unless it is just for the registrars…
Snapnames for example)))
I can offer them a good deal. 70% of net income every year goes towards paying off the purchase and after
paying off full $1,5 millions 2 more payments at the same rate as a goodwill gesture. They will never get a better deal
this is definitely park.io. It’s confirmed by Mike Carson on this thread at HackerNews: