best way to split/license domain name


i currently own a domain name in the name of an LLC. ideally, we'd like to license subdomains (e.g.,, to developers to develop applications that generally relate to the same category of services.

my question is what is the best way to go about this. we want to keep the domain with the LLC itself, and give developers access to as much of any profits as possible with a small percentage being kicked back to the main LLC for subsequent development/investment.

my initial thought was for developers to be members of the LLC and then license the use of subdomains to individual members essentially creating a contract where the LLC gives up the subdomain and the developer in turn agrees to give the LLC a small portion of the profits.

i was wondering if anyone had any insights as to whether this way is feasible or whether there is another more common way (perhaps simply contracting with developers without adding them as members?)

LLC Licensing

asked Mar 28 '12 at 04:51
103 points
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1 Answer


That strategy seems extremely complicated - you wouldn't want them involved in the LLC.

The best route would be to do a little custom web development where when they subscribe they can have a web admin panel to control the DNS of the subdomain they bought so they could point it to the hosting of their choice, or whatever. Or you could provide hosting but that might be a little more of a headache for you as developers need certain platforms.

Let them sign up on the site, have some terms of service they agree to, maybe collect an initial fee to join, then have something put in place to maybe track their sales or where they have to send you a check initially based of % of sales. But, then make it more complex and trackable later on. OR looks like you might be doing the opposite which is you should collect all the money yourself. Get PayPal information from each of your members, and just send them money as needed.

No need to complicate things and bring them in on the LLC.

Many companies due commissions, and profit payouts and that type of thing. That would be a nightmare to be adding / removing / adjusting actual company 'members.'

answered Mar 29 '12 at 11:19
Ryan Doom
5,472 points
  • agreed on the member route being way too complicated. although the interaction between me and the developers would be face-to-face, i think licensing the subdomains (similar to the sign up) would be the way to go – Aosik 12 years ago

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