Squadhelp now offers an ability for domain sellers to sell their domains at wholesale prices to other domain investors.
How Does It Work?
- From your Marketplace Listings Dashboard, you can now set a wholesale price for your Premium Listings.
- If a Wholesale price is set, the domain will be visible in a special Wholesale Marketplace, which is only visible to authorized wholesale buyers. See the criteria below for qualifying as an Authorized Wholesale Buyer.
- The wholesale buyer will be able to purchase the domain at the Wholesale price set by the seller.
- Squadhelp will keep the funds in an Escrow account, and transfer the ownership of the Listing to the wholesale buyer.
- Once the buyer confirms the transfer of domain by seller, they can close the transaction, and the seller will be paid the funds as per our commission structure (see below).
- In case of Squadhelp Registered domains, the domain will not be transferred to the wholesale buyer. Only the Marketplace listing ownership will be transferred to the buyer. Since the commissions on SH Registered domains are typically lower, please be careful while purchasing Squadhelp Registered Domain Listings.
Squadhelp will charge a small fee to process the payment, as well as to handle the escrow transaction as per the schedule below:
- For Sellng Price Below $100: Sellers Pay $5
- For Sellng Price Above $100: Sellers Pay 5% of Selling Price
Note: These are introductory commission rates, and SH may revise these rates at a later time, depending upon the level of resources and costs required to operate this Marketplace.
- Wholesale Buyer purchases your Marketplace domain for $50. As a seller, you will receive $45 into your account (after deducting $5 Squadhelp Commission)
- Wholesale Buyer purchases your Marketplace domain for $120. As a seller, you will receive $114 into your account (after deducting 5% Squadhelp Commission)
After purchase, the Marketplace listing will continue to be visible in the wholesale buyer's account. All commission terms will continue to stay the same as the original seller.
For example, if the domain was approved for 35% Squadhelp Commission, the domain will continue to be listed with 35% SH commission with the new buyer.
Frequently Asked Questions
How do I become an Authorized Wholesale Buyer?
There are two ways to become an Authorized Wholesale Buyer.
a) Automatic Qualification
Your SH account automatically qualifies as an Authorized Wholesale Buyer if you meet any of these conditions:
- Minimium of 10 approved and live premium listings in SH Premium domain marketplace
- Minimum of 3 approved and live listings in SH Premium domain marketplace, PLUS a Tier A creative status.
- Minimum of 3 approved and live listings in SH Premium domain marketplace, PLUS one or more contest wins.
b) Manual Qualification
If you do not meet the automatic qualification criteria above, you can manually apply to become an Authorized wholesale buyer, as long as you have a minimum of 3 approved and live listings in SH Premium domain marketplace. In this situation, you must send us additional supporting information that shows you are an active Domain Investor. For example, you can send details of your NamePros account, or link/screenshots that show your active domain Portfolio.
An approval is entirely up to SH's team discretion. Also, your account must stay in Good standing at all times to retain this status.
If I purchase a SH Registered domain in the wholesale section, will the domain ownership be transferred to me?
No. Only the Marketplace listing will be transferred to you. The Domain ownership will continue to stay with Squadhelp. If the domain sells, you will receive the commission from the sale (which is typically 25% but can be up to 35% in some cases). Therefore, while buying a SH Registered domain from the wholesale section, we do not recommend paying more than $25-$30 for these listings.
If the seller refuses to transfer the domain after payment, how will SH handle the situation?
As a buyer, you will have an opportunity to approve the transaction (after the seller has transferred the domain to you). Until that time, we hold the seller's funds in an Escrow. If the seller does not transfer the domain to you, simply let us know and we will communicate with seller on your behalf. If the domain can not be transferred to you, you will receive a full refund for your payment.
Can I also offer my Basic or Basic Plus listings at wholesale price?
Absolutely. The same rules apply as listing a seller owned premium domain at wholesale price.