Three Business Documents You Need to Buy and Sell Domain Names

By | January 4, 2012

Buying and selling domain names have become so commonplace that we might even venture to call it “easy.” That’s a good thing for us, since we are, but for some buyers and sellers of domains, this ease of use does come with a small caveat: when something becomes too easy, it’s tempting to not pay too much attention to the process.

Generally, using business documents in order to execute a process applies only to major things like tracking expenses or authorizing a major purchase. But if you’re in the business of buying and selling domain names for yourself, it might be hard to see how in-house business documents could help make things easier. After all, the advantage of being in business for yourself is that there’s absolutely no bureaucracy in your way.

But you should try out a few business documents if you want to buy and sell domain names; at the very least, they’ll help you track your activity on the web. And it doesn’t hurt that we’ve already put together this short list of potential documents to use to make things easier.

Expense Reports

Yes, we know – the expense report is the bane of the traveling salesman and just about anybody who has to deal with a business’ expenses on a regular basis. But there’s a reason the expense report exists: it’s quite necessary. If you’re going to keep track of all of your tax-deductible expenditures, the only way to do it is to keep track of it yourself.

In some cases, this will be easy. If you operate on just one website, you’ll often be able to view and export all of your business activity quickly and easily – the records were kept on your behalf automatically. But if your business is more ambitious than that, you might have to take things into your own hands.

Purchase Agreements

For the larger domain names you buy or sell, it’s important that you sign a purchase agreement that explains the details of the transaction. This will help prevent fraud, which is especially important as you deal with people who you haven’t met before.

It’s easy to download a template purchase agreement form that you can then use to fax or email the people you’re buying from and selling to – just turn to this template and fill in the details whenever you need to make a new transaction. Once the purchase is complete, simply put the purchase agreement in your files and you’ll be squared away.

Formal Offers

This might not be necessary for all of your domain name purchases, but it’s important that if you’re making a large purchase, you formalize the offer in some way. It doesn’t even have to be more than one page with your business letterhead on it – but if you want to keep it for your records, you’ll want to make sure that you have a copy as well. Formalizing your offers is a great way to make sure that no one tries to raise the price on you unfairly, potentially cementing a great deal you’ve found on a domain.