What is a domaining business and how to start a domain name business? (5 Easy Steps)

Learn buying and selling domain names for profits

domaining business model

The domaining business goes a long way back since the start of the first domain name on the web.

Many people have been using the techniques to make money with domain names and you are about to learn a business model.

This guide will explain the history and what is a domain business and how to start doing it turns it into a career online.

From a cornflake shaped like Illinois (which costs $1,350) to unicorn meat and belly button lint, there is a long, long list of absurd things being sold online.

Well, the Internet does make it super simple to buy and sell just about anything.

If you are thinking of setting up shop online, making some sales, and raking in some money, here is a unique (but not weird!) idea: you can start a domaining business.

Domaining business? As in selling domain names?

Yes, absolutely. Domains are a hot asset that you can buy and sell online to make money.

Bustling with questions?

Whether you just need a side hustle that can help you save for a holiday home or you want to become the Don of The Domain Street, I’ve laid out the perfect guide for you.

In this piece, I will be discussing:

  • What is domaining?
  • Ways to monetize your domain
  • Things to do before starting a domaining business
  • A how-to guide to starting your own domain name business

Let’s get started now.

What is domaining?


Domaining is defined as the act of investing in domain names with an intention to make a profit out of it.

Since the beginning of the dot com age, people have made tons of money out of selling domains. Don’t believe me?

Well, in 2015, the domain sold for $8 million.

In 2019, sold for $30 million.

And the next domain name in this list could be the one that you buy now and sell later.

Wondering why domains sell faster than hotcakes?

Well, more people are getting online.

More businesses are setting up shops online.

And people need short, simple, and memorable domain names.
The availability of more domain extensions further strengthens the position of the domaining landscape.

Everyone needs the right domains and you CAN buy and sell them to make huge sums of money. It is just like the real estate business. Domain names are people’s and businesses’ addresses online and the market is booming today.

Now, while selling or leasing the domain for more than you purchased it is the simplest way to book your profits, there are several other ways to monetize your domain names. Let’s take a look at a few of them.

Ways to monetize your domain

1. Domain Parking

Domain parking means buying a domain name but having no business, website, or email associated with it. This method involves monetizing domain names by offering cost-per-click or other types of ads to web visitors.

Ads related to your domain name will be run on your domain and whenever a visitor clicks on it, you get paid.

A lot of domainers are involved in the practice and they use their parked domains as a source of revenue.

2. Typosquatting

Sometimes also called URL hijacking, sting sites, or domain mimicry, typosquatting banks on people who directly type in business websites in their search bars instead of search engines.

Often these people make typing errors and land on other sites. In typosquatting, you buy domains that are misspellings or common typos of big brands and businesses. This ensures your domain gets a lot of traffic, which you can easily monetize.

3. Domain Tasting

ICANN-regulated domains come with a five-day grace period. If the registry is cancelled in five days, you get a full refund for the domain you purchased.

Domain tasting is the practice of using the grace period to try and test out multiple domain names for profitability. You can buy many domain names at once, check ones are more profitable, keep them and get a refund for the rest.

4. Speculative Domaining

This is probably the simplest-to-understand and most commonly used domaining business model. You buy for-sale and unregistered domains to sell in the future at a profit. It involves buying domains that are believed to have potential in the future.

The purchase is based on an assumption that the domain will become valuable in the future.

Pro Tip: A good domain is one that is short, sweet, simple, easy to spell, and memorable. Also, location-specific keywords as domains sell very well.

5. Domain Snipping

Also called domain drop-catching, domain snipping is a practice where you buy a domain immediately after it has lapsed.

Domain snipping is usually done with an intention of selling the domain back to the original owner, albeit at a higher cost and thereby making profits in the process.

You can choose either of these methods of making money by buying and selling domain names. But before you do, here are few things to consider and do.

Things to do before starting a domaining business

1. Decide how much money you want to make and invest

It is always wise to decide how much money you want to make out of your domaining business and how much would you want to invest in the trade.

When you have an outline in monetary terms, you can better decide the business model and plan your domaining business better.

2. Decide how much time you want to dedicate to domaining

Do you want to spend just a couple of hours a week working on your domaining business?

Or are you ready to quit your job and go full-time?

Depending on how much time you invest in your domaining business, you can pick a monetization method.

3. Check out the competition

Just like any other business, there is a lot of competition in the domaining field. While competition should by no means deter you from getting started, you should know who you are up against.

Checking out the competition will also help you identify saturated niches and niches that can be exploited easily.

Once you have pondered over these aspects, it is time to get started.
Here is a quick guide to help you make money and not falter anywhere along the way.

A how-to guide to starting your own domain name business

1. Gather information

Here’s a quick tip, not just for your domaining business, but for life, in general – Information is your biggest asset.

So it is best if you start by gathering as much information about domain names as possible. The more you learn, the better you will be at what you do.

2. Get a dedicated host

If you are going to be in the business of buying and selling domains, you need to select a dedicated host.

SeekaHost offers a wide range of domains with multiple extensions at the most competitive rates in the industry. You can visit here and check the registration rates for different domain extensions.

Also, my team at SeekaHost will make sure that all your questions are answered. We offer robust customer support to ensure that if you get the information or guidance that you need.

3. Find ways to manage all your domains

When you are running a domaining business, you won’t be dealing with just one or two domain names. And managing, keeping an eye on, and renewing multiple domain names won’t be simple.

You will need a unified dashboard for managing your domaining business.

The SeekaHost panel is the right tool here. With one single platform, you can handle everything about all your domains.

4. Don’t shy away from experimenting

You can start your domain name business by using any one of the monetization methods that we discuss. But later on, you can always experiment and expand to other options. And whatever questions you have, you can email them to me, and I will try my best to guide you.

5. Beware of scammers

The digital world is full of scammers and rogues. And you would definitely not want to fall prey to their schemes. It would mean a loss of reputation in the market as well as revenue.

So while you should be trusting people, don’t do it blindly.

Taking the first step today

That was all the basic information that you needed to get started with your domaining business. Now visit, register your first domain, use the to manage everything, and start making money.


What do you think?

Fernando Raymond

Written by Fernando Raymond

Founder & CEO - ClickDo Ltd. & SeekaHost Ltd. Writes about business, startups and how to get online with domain names and web hosting. Creating the world's best hosting platform with

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