Business is business, and start ups are start ups. Certain simple rules apply to all of us when we do our start ups, and one of the rules is to know our budget. If we ever hope to turn a profit, ww must do our due diligence in the area of calculating the financials. When it comes to buying and selling domain names, it really is best to start out slow. Small purchases,and frugal investing at first should be the strategy, while also understanding that when income begins to flow, one must press the accelerator. Selecting a profitable market is important. Choosing a niche in an area where domain names sell, as well as choosing a niche you have knowledge in, it the way to go. It is quite important that your domains have keywords relevant to your future customers. And so locating such hot keywords is very much part of the business.
It really is a sound idea to choose niche topics that have at least 10,000 searches a month online. To pick such a keyword it is best to go to the google keyword planner, or to use software designed to find hot niches for you. When hot keyword hunting, it’s a great idea to use generic names. A word such as Chicago, or Chiropractic, would be great because domains connected to such generic words have the ability to really describe a new place or a new service being offered, and these types of domain names usually sell easily. Business names that are melded with corresponding geographic names, are always a hot item. A new salon, a new pizza joint, a new dental clinic. Domains relevant to such new places, have a chance to sell.
Do not shy away from buying domain names that already exist. Good, solid, current domain names always have a chance of selling well, especially if you have verified traffic numbers to quote for potential buyers. You may want to stay away from domain names that have numbers in them or goofy typing characters because the potential group of buyers would be too small for you to tie up your money with them. That type of buy and sell is for the big wigs in the business who can hold a domain six years with no sweat. The whole idea is to buy, and then sell for a better price, and enjoy a profit. That is what flipping is all about.
Lastly check out Sedo. Sedo seems to be number one world wide for buy and sell of domain names. Also, read all you can on this subject. Yes website articles and posts are very helpful, but they mostly help to direct people, not to completely educate people. Read up, before you dive in.