Domain names for all extensions are eligible for consideration as long as they are capable of being transferred to Epik or a participating registrar partner.
Each domain name and portfolio is unique. As such, there is no minimum or maximum. In general, domains that are more obviously liquid can expect to see more borrowing capacity. The lending value will typically be a discount to the wholesale value.
Domain Equity is designed to create a fair market with attractive risk-adjusted returns for lenders, while providing affordable capital to borrowers. As such, the maximum interest rate is capped at 15% per year.
Visit the home page and click on “Request a Loan” and complete the online form. Once submitted, an underwriter will review the submission, confirm eligibility, and set the level of loan guarantee. Once approved, your loan request will be invited for offers.
DomainEquity was created to help domain owners achieve partial liquidity from their investments, to help as an added financial resource to provide an alternative source of positive funding. We understand that sometimes things happen, which is why each loan has a 5 day grace period for your scheduled payments. If the loan payment goes past the grace period, the lending agreement will go into default, at which point the backstop is invoked.
One of the unique features of DomainEquity is that the loan has a Guarantor from its parent company, Epik Holdings, Inc. This Guarantor serves to protect the Lender in the event of a default, in order to assure an orderly resolution between the Lender and Borrower. Our objective is always to see a successful completion on each of the loans that are facilitated. In the event a solution to reestablish payments is not possible, the domain name or portfolio utilized as collateral would be subject to forfeiture. At that point the Guarantor would ensure payment continuance to the Lender, or facilitate a balance payoff depending on the individual circumstances of each transaction.
The DomainEquity platform is available and accessible by all accredited investors who recognize domain names as its own unique asset class for participation. At a time when banks and timed deposits (such as CD’s) are offering low or negative returns, many investors are seeking higher rates from their savings with the opportunity for better risk mitigation. To become approved as a Lender, contact us to be included in our network of approved Lenders.