Trusthebrokers.com Review

Based on checking the website Trusthebrokers.com, it appears to be a digital asset brokerage specializing in the buying and selling of digital properties like e-commerce sites, lead generation websites, social media accounts, and online communities.

They also offer a training program for building digital assets, particularly in the dropshipping niche.

Here’s an overall review summary of Trusthebrokers.com:

• Service Offering: Digital asset brokerage buying and selling, and a digital asset training program dropshipping V2.0.
• Website Language: Primarily Hebrew, with some English terms.
• Key Features: Facilitates connections between buyers and sellers, provides asset valuation, offers a due diligence period, and claims a partnership with Flippa.
• Pricing: A 15% + VAT brokerage fee for deals up to $1M is explicitly mentioned for sellers. No clear pricing for buyers or the training program is readily available on the main page.
• Transparency: Provides a detailed step-by-step process for both buying and selling, along with testimonials. However, specific details on the “dropshipping V2.0” training are limited to a separate landing page.
• Ethical Consideration Islamic Perspective: The core business of brokering digital assets, like e-commerce sites or content platforms, is generally permissible, provided the assets themselves deal in halal products or services and do not involve interest riba, gambling, or other forbidden activities. However, the mention of “dropshipping” warrants further scrutiny. Dropshipping, while not inherently forbidden, can involve practices that might be problematic if not managed correctly, such as selling products not yet owned or engaging in transactions with high levels of uncertainty gharar or delayed fulfillment that could lead to consumer harm. The training program also raises questions about its content and whether it promotes ethical business practices in detail. The lack of explicit declarations about adherence to ethical financial standards or product categories on the homepage is a point of concern for a Muslim audience.

The platform aims to simplify the process of acquiring or divesting digital properties. For those looking to enter the digital asset space, Trusthebrokers.com presents itself as a facilitator. However, for a Muslim audience, the broad nature of “digital assets” and the inclusion of “dropshipping” require a deeper look into the type of assets being traded and the specifics of the dropshipping model taught. It’s crucial to ensure that any digital asset acquisition or dropshipping venture aligns with Islamic principles, avoiding transactions that involve interest, excessive uncertainty gharar, or the trade of impermissible goods or services. Without clear assurances on these fronts, dealing with platforms that don’t explicitly highlight ethical guidelines can be risky.

Here are some alternatives focused on ethical and permissible business ventures, moving away from potentially ambiguous digital asset trading or general dropshipping:

• Etsy: A global marketplace for handmade and vintage items, and craft supplies. It promotes ethical consumption and supports small, independent creators who can focus on permissible goods.
• Shopify: A leading e-commerce platform that allows individuals to build and manage their own online stores. This gives users full control over the products they sell, enabling them to ensure adherence to halal guidelines.
• Amazon Handmade: Similar to Etsy, it’s a category on Amazon specifically for handcrafted products, allowing artisans to sell their goods directly to a large audience.
• Udemy: An online learning platform where individuals can create and sell courses on various skills. This promotes knowledge sharing and allows creators to offer beneficial and permissible content.
• Skillshare: Another online learning community where users can learn and teach creative skills through video classes. It provides an avenue for income generation through educational content.
• Fiverr: A global online marketplace for freelance services. Individuals can offer a wide range of services e.g., writing, graphic design, web development that are permissible and skill-based.
• Upwork: A platform connecting freelancers with clients, offering opportunities for various professional services and allowing individuals to build ethical businesses based on their expertise.

Find detailed reviews on Trustpilot, Reddit, and BBB.org, for software products you can also check Producthunt.

IMPORTANT: We have not personally tested this company’s services. This review is based solely on information provided by the company on their website. For independent, verified user experiences, please refer to trusted sources such as Trustpilot, Reddit, and BBB.org.

Trusthebrokers.com Review & First Look

When you first land on Trusthebrokers.com, the immediate impression is that it’s a brokerage aimed at facilitating the buying and selling of “digital assets.” The site’s primary language is Hebrew, which might be a barrier for a U.S.

Audience, though key terms and some sections have English equivalents or are understandable through context.

The design is clean, focusing on a clear call to action: “Sell a digital asset” or “Buy a digital asset.” They position themselves as connectors in the burgeoning market of online properties.

Understanding Digital Asset Brokerage

A digital asset brokerage acts as an intermediary, much like a traditional real estate agent, but for online properties.

These can range from fully operational e-commerce stores generating significant revenue, to content websites with strong organic traffic, or even well-established social media accounts. Aistibaqitravel.com Review

The broker’s role is to value the asset, market it to potential buyers, and facilitate the transaction process, including due diligence and legal transfer.

This niche has grown significantly as more businesses establish a substantial online presence.

The appeal lies in acquiring an existing income-generating asset rather than starting from scratch, potentially saving years of effort in building an audience or product line.

Initial Website Navigation and User Experience

The site uses intuitive navigation with clear buttons for buying and selling.

There are sections highlighting “new assets on the shelf” and testimonials from clients. Itineraryticket.com Review

While the core functionality seems clear, the extensive use of Hebrew makes a challenging without translation tools.

For a global audience, this is a significant hurdle, limiting immediate understanding of the finer details, specific terms, and conditions.

The site also includes a blog section that delves into topics like “what is digital asset trading” and “how to establish a digital business,” which are valuable for educating potential clients.

Trusthebrokers.com Pros & Cons Only Cons from an Islamic Perspective

From an Islamic perspective, the nature of a service like Trusthebrokers.com, which deals with buying and selling digital assets, requires careful examination. While the concept of trading assets is permissible, the details of what is traded, how the transactions occur, and what specific services are offered are critical. Here, we’ll focus on the potential cons and areas of concern based on Islamic financial and ethical principles.

The Ambiguity of “Digital Assets”

The term “digital assets” is very broad. Petshelps.com Review

It can encompass anything from a website selling permissible goods to a social media account promoting questionable content, or an e-commerce store dealing in non-halal items.

• Lack of Explicit Halal Compliance: The website does not provide any clear filters or assurances that the digital assets listed or brokered are compliant with Islamic principles. For instance, an e-commerce store could be selling alcohol, non-halal food, or products involved in gambling. A social media account could promote podcast, immoral content, or financial scams.
• Due Diligence Responsibility: While the site mentions a “due diligence period,” the responsibility for ensuring the asset’s halal compliance ultimately falls on the buyer. This can be a complex and time-consuming process, requiring deep scrutiny of the asset’s revenue streams, product offerings, and content history.
• Uncertainty Gharar in Performance: While historical performance data might be provided, the future performance of a digital asset is inherently uncertain. While some level of commercial risk is acceptable, excessive uncertainty or misleading projections about future profits could be problematic.

Concerns Regarding the “Dropshipping V2.0 Training Program”

The mention of a “dropshipping V2.0 training program” is a significant red flag from an Islamic finance perspective if not explicitly structured to be compliant.

• Issues with Dropshipping Bay’ al-Salam vs. Gharar: Traditional dropshipping models often involve selling goods that the seller does not yet possess, or where the goods are shipped directly from a third-party supplier to the customer without the seller ever taking possession or even knowledge of the specific item’s condition. This can lead to excessive uncertainty gharar concerning the product’s existence, quality, or delivery, which is generally impermissible in Islamic contracts unless structured as a Bay’ al-Salam forward buying with specific conditions or Murabaha cost-plus financing, where the seller takes ownership before resale.
• Lack of Ownership and Control: In many dropshipping models, the seller acts merely as a middleman, profiting from the price difference without assuming the typical risks and responsibilities of ownership. This can violate the principle of ghunm bil ghurm gain accompanies risk, where one should not gain without bearing corresponding risk.
• Product Permissibility: The training program does not specify that it guides users on identifying and selling only permissible halal products. A dropshipping business could easily be set up to sell forbidden items.

Brokerage Fee Structure

The stated 15% + VAT brokerage fee for transactions up to $1M, while a standard business practice, needs to be considered within the ethical framework.

• No Riba Interest Explicitly Mentioned: There’s no direct mention of interest-based practices in the brokerage fee itself, which is good. However, if the underlying digital asset or its operation involves interest-based loans or riba, then brokering its sale would still be problematic.

Overall Transparency on Ethical Standards

The website focuses on commercial viability and ease of transaction, but lacks any explicit declaration of ethical or Sharia-compliant standards.

• Absence of Ethical Disclosures: For a Muslim audience, the absence of clear statements regarding adherence to ethical financial principles, prohibition of riba, or endorsement of halal business practices is a significant oversight. This leaves the user to assume or extensively investigate, which contradicts the transparency expected in such matters.
• Focus on Profit Maximization: While profit is permissible, a sole focus on financial gain without regard for the means of earning that profit can lead to engagement in impermissible activities.

For these reasons, a Muslim considering using Trusthebrokers.com would need to exercise extreme caution and conduct thorough independent due diligence on every single digital asset and every aspect of the dropshipping training to ensure full compliance with Islamic ethical and financial principles. Without this individual effort, the risks of engaging in impermissible transactions are substantial. Cefalu.net Review

Trusthebrokers.com Alternatives

Given the ethical considerations and the broad nature of “digital assets” and dropshipping as presented by Trusthebrokers.com, it’s essential to explore alternatives that explicitly prioritize ethical and permissible business models.

These alternatives focus on tangible skills, ethical product creation, or services that align with Islamic principles.

Ethical Alternatives for Digital Business & Skill Development

1. Etsy

   

   • Key Features: A global marketplace for handmade, vintage items, and craft supplies. It empowers artisans and creators.
   • Pros: Focuses on unique, often handcrafted goods, promoting ethical production and consumption. Low barrier to entry for creators. Supports small businesses.
   • Cons: Can be competitive. Requires consistent product creation and marketing effort.
   • Why it’s a good alternative: Allows individuals to sell permissible physical or digital products e.g., printable art, patterns that they genuinely own and create, removing the gharar concerns of dropshipping. It promotes craftsmanship and supports direct sales, which aligns with transparent trade.

2. Shopify Lirves.biz Review

   • Key Features: A comprehensive e-commerce platform that enables individuals and businesses to create and manage their own online stores. Provides tools for website building, product management, payments, and marketing.
   • Pros: Full control over products, inventory, and supply chain, allowing complete adherence to halal product and operational guidelines. Scalable platform.
   • Cons: Requires more effort in setting up and managing inventory unless using a compliant fulfillment model. Monthly subscription fees.
   • Why it’s a good alternative: Gives the user complete control over what they sell and how they sell it. This means one can ensure all products are halal, all marketing is ethical, and all transactions are free from riba or gharar. This model strongly supports direct ownership and responsibility.

3. Amazon Handmade

   • Key Features: A dedicated section within Amazon for artisans to sell unique, handcrafted goods directly to Amazon’s vast customer base.
   • Pros: Access to a massive audience. Leverages Amazon’s trusted platform and fulfillment network FBA for handmade items.
   • Cons: Requires approval to sell. Amazon’s fees. Competition within the marketplace.
   • Why it’s a good alternative: Similar to Etsy, it promotes the sale of physical, owned, and ethically produced items, bypassing the complexities and gharar issues associated with certain dropshipping practices. It supports tangible, permissible trade.

4. Udemy

   • Key Features: An online learning and teaching marketplace offering thousands of courses on a wide range of subjects, from programming to photography and personal development.
   • Pros: Empowers individuals to share knowledge and skills. No upfront costs for creating a course. Revenue sharing model.
   • Cons: Courses can be highly competitive. Income is royalty-based and not guaranteed.
   • Why it’s a good alternative: Focuses on sharing beneficial knowledge ilm nafi’ which is highly encouraged in Islam. It’s a service-based model where intellectual property is created and sold, avoiding issues of riba, gharar, or trading impermissible goods.

5. Skillshare

   • Key Features: An online learning community with thousands of classes in creative fields like illustration, design, photography, video, freelancing, and more.
   • Pros: Community-focused learning. Subscription model for creators. Encourages practical skill development.
   • Cons: Primarily subscription-based income. Requires high-quality video content creation.
   • Why it’s a good alternative: Similar to Udemy, it centers on education and skill development, providing a halal means of income through teaching beneficial crafts and knowledge.

6. Fiverr

   • Key Features: A global online marketplace where freelancers offer services Gigs to clients worldwide. Services range from graphic design and writing to programming and video editing.
   • Pros: Wide variety of permissible services can be offered. Low barrier to entry for freelancers.
   • Cons: High competition, especially for popular gigs. Fiverr takes a commission.
   • Why it’s a good alternative: Represents a service-based economy. Individuals sell their skills and time for a direct fee, which is a straightforward and permissible transaction in Islam. Users can ensure they offer only halal services.

7. Upwork Nextsmm.com Review

   • Key Features: A leading freelance marketplace connecting businesses with independent professionals for various services, including web development, writing, marketing, and customer service.
   • Pros: Access to diverse projects and higher-paying clients. More structured project management tools.
   • Cons: Takes a commission from earnings. Requires building a strong profile and proposal writing.
   • Why it’s a good alternative: Similar to Fiverr, Upwork facilitates direct service exchange, which is a permissible form of income generation. Freelancers can choose projects that are ethical and halal, ensuring their earnings are blessed.

These alternatives empower individuals to build and operate businesses or provide services that can be explicitly aligned with Islamic principles, ensuring transparency, ethical practices, and the avoidance of problematic financial models like certain forms of dropshipping or the trade of non-halal assets.

The Broad Definition of “Digital Assets” and Islamic Finance

When Trusthebrokers.com refers to “digital assets,” it’s a term that covers a vast spectrum of online properties.

This broad definition, while commercially inclusive, presents significant challenges from an Islamic financial perspective.

Islamic finance principles require clarity, tangibility or clear contractual terms for services, and ethical permissibility in all transactions.

The inherent ambiguity of “digital assets” necessitates meticulous due diligence to ensure compliance. Loveheartsdesign.com Review

What Constitutes a Digital Asset?

According to general market understanding, digital assets can include:

• E-commerce Stores: Online shops selling physical or digital products.
• Content Websites/Blogs: Sites that generate revenue through advertising, affiliate marketing, or subscriptions.
• Lead Generation Websites: Sites designed to capture leads for businesses.
• SaaS Software as a Service Companies: Businesses providing subscription-based software.
• Mobile Applications: Apps generating revenue from sales, subscriptions, or ads.
• Social Media Accounts/Communities: Pages or groups with large followings that can be monetized through sponsorships or direct sales.
• Online Courses/Educational Platforms: Platforms selling knowledge or skills.

The Islamic Perspective on Asset Permissibility

For a digital asset to be permissible halal for trade in Islam, its core function and revenue generation must adhere to fundamental principles:

• Halal Products/Services: The asset must not deal in or promote anything forbidden haram such as alcohol, gambling, interest-based financial services, pornography, podcast/entertainment deemed inappropriate, or non-halal food. For example, a website selling artisanal halal skincare products would be permissible, while a site selling tickets for a gambling casino would be forbidden.
• Absence of Riba Interest: The asset’s revenue streams or its operational model should not be based on interest. If an e-commerce site primarily generates revenue from interest-based loans to customers, it would be problematic.
• Avoidance of Gharar Excessive Uncertainty/Ambiguity: Transactions must be clear and transparent, with all material facts known to both parties. If the asset’s value or future income is based on extreme speculation or unknown factors, it could fall under gharar.
• Ownership and Risk: In sales, the seller must genuinely own the asset or have the legal right to sell it. The principle of ghunm bil ghurm gain accompanies risk applies, meaning one should not profit without bearing corresponding risk.
• Ethical Conduct: The business conducted through the digital asset must not involve deception, fraud, or exploitation.

The Due Diligence Imperative

Because Trusthebrokers.com does not explicitly filter for halal assets, potential Muslim buyers or sellers using their platform must perform extensive and stringent due diligence on each specific digital asset. This goes beyond financial metrics and includes:

• Content Review: Scrutinizing all content on the website, social media pages, or app for any impermissible material.
• Product/Service Review: Verifying that all products sold or services offered are halal. This includes ingredients for food/cosmetics, nature of services, and ethical sourcing.
• Revenue Model Analysis: Understanding exactly how revenue is generated to ensure no interest-based, gambling, or other forbidden income streams are involved.
• Operational Practices: Checking for any practices that might be unethical or non-compliant, such as misleading advertising or exploitative labor.

Case Study: An E-commerce Dropshipping Site

If Trusthebrokers.com lists an e-commerce site operating on a dropshipping model, the buyer must investigate: Sagelancer.com Review

• Product Catalog: Are all products halal? e.g., no non-halal meat products, no inappropriate clothing, no gambling paraphernalia.
• Dropshipping Method: Does the specific dropshipping model involve the seller taking constructive possession or at least a clear agency agreement before sale, to avoid gharar? Or is it merely passing orders without accepting any risk?
• Supplier Ethics: Are the suppliers themselves ethical and do they deal in permissible goods?

Without such rigorous checks, engaging in the purchase or sale of a “digital asset” through a general brokerage platform like Trusthebrokers.com could inadvertently lead to involvement in transactions that violate Islamic principles.

Understanding the Dropshipping Model and its Islamic Compatibility

Dropshipping, as highlighted by Trusthebrokers.com’s training program, is a popular e-commerce fulfillment method.

However, its compatibility with Islamic finance principles is a complex and often debated topic due to inherent aspects of ownership, risk, and uncertainty.

How Dropshipping Typically Works

In a standard dropshipping model:

1. Customer Places Order: A customer orders a product from an online store.
2. Seller Forwards Order: The online store the dropshipper does not keep the product in stock. Instead, they forward the order details and shipping address to a third-party supplier manufacturer, wholesaler, or another retailer.
3. Supplier Ships Directly: The supplier ships the product directly to the customer.
4. Seller’s Profit: The dropshipper earns a profit margin, which is the difference between the price they charged the customer and the price they paid the supplier.

The key characteristic here is that the dropshipper never physically handles the product. They act as a middleman. Saltaim.com Review

Islamic Concerns with Conventional Dropshipping

The main issues that arise from an Islamic perspective with conventional dropshipping are related to:

• Absence of Possession Qabd: A core principle in Islamic sales is that a seller must possess the item before selling it. This possession can be physical or constructive e.g., having control over the item, even if it’s stored elsewhere. In many dropshipping scenarios, the seller does not possess the goods at the time of sale. The Prophet Muhammad PBUH forbade selling what one does not possess. This is to avoid gharar excessive uncertainty and to ensure the seller bears the risk of the goods before passing it on.

  • Hadith: The Prophet PBUH said: “Do not sell what you do not possess.” Narrated by Abu Dawud, Tirmidhi, and Ibn Majah.

• Gharar Excessive Uncertainty: The transaction might involve significant uncertainty regarding the product’s existence, quality, delivery, or even the supplier’s reliability. If the dropshipper sells a product that is out of stock with the supplier, damaged, or never delivered, this creates gharar for the buyer and potentially for the seller who bears no risk.

  • Implications: When a seller takes an order for something they don’t own, there’s a risk they might not be able to acquire it or deliver it, leading to disputes and injustice.

• Riba Interest in Financing: While not directly part of the dropshipping model itself, if the dropshipper uses interest-based credit to finance their operations or payments, this would be impermissible.

Potential Islamic-Compliant Alternatives/Structures for Dropshipping

Scholars have discussed ways to make dropshipping more compliant, often involving structures that align with Bay’ al-Salam or Murabaha. Allhandsglobal.com Review

1. Bay’ al-Salam Forward Buying: This is a permissible contract where the buyer in this case, the dropshipper pays the full price in advance for a specified commodity to be delivered at a future date.

   • Application: The dropshipper could enter into a Bay’ al-Salam contract with their supplier before selling to the customer. This would involve paying the supplier upfront for a clearly defined product, with clear specifications and delivery dates. Once the dropshipper “owns” the right to that specific product through Bay’ al-Salam, they can then sell it to their customer. This is complex to implement in a large-scale dropshipping operation with diverse products.

2. Wakalah Agency Agreement: The dropshipper acts as an agent for the customer to purchase the product from the supplier, or as an agent for the supplier to sell to the customer.

   • Application:
     • Dropshipper as Customer’s Agent: The customer explicitly appoints the dropshipper as their agent to purchase the product from the supplier. The dropshipper charges an agency fee commission rather than a profit margin from resale. This is more transparent but changes the business model.
     • Dropshipper as Supplier’s Agent: The supplier appoints the dropshipper as their agent to sell products, and the dropshipper earns a commission. The sale contract is directly between the supplier and the customer.

3. Murabaha-like Structure Cost-Plus Sale: This involves the seller acquiring the goods first taking possession and then selling them to the customer at a pre-agreed mark-up.

   • Application: While not strictly dropshipping, this model could be adapted by requiring the dropshipper to purchase the item from the supplier first even if it’s constructive possession through a trusted warehouse or fulfillment partner before reselling it to the end customer. This would remove the gharar of selling what one does not own. This typically involves having clear title to the goods before selling them.

Conclusion for Trusthebrokers.com’s Dropshipping Training:
Unless Trusthebrokers.com’s “Dropshipping V2.0” training explicitly teaches and facilitates one of these Sharia-compliant models, and emphasizes dealing only in permissible products, a Muslim should approach it with extreme caution. The conventional dropshipping model, where one sells what they do not possess, is generally considered impermissible by the majority of contemporary Islamic scholars due to the issue of gharar and lack of possession. It is always safer to engage in business models where one clearly owns the goods before selling them or where the transaction is clearly an agency or a compliant Bay’ al-Salam contract.

Identifying Scam Indicators in Online Brokerages

When evaluating an online brokerage like Trusthebrokers.com, especially in a relatively nascent market like digital assets, it’s crucial to be vigilant for scam indicators. Immunowars.io Review

While the website presents itself professionally and shows some level of operational transparency, certain elements are always worth a closer look.

Red Flags to Watch For

1. Unrealistic Guarantees of Profit: Any brokerage that guarantees specific, high returns on investment or promises “surefire” profits should raise immediate suspicion. All investments carry risk, and legitimate brokers will always disclose this. Trusthebrokers.com does state, “The sky is the limit” regarding income, which is a common hyperbole, but doesn’t explicitly guarantee specific profits. However, the testimonials, while positive, don’t delve into the specifics of returns, which is typical for reviews.

   • Data Point: The Securities and Exchange Commission SEC often warns against schemes promising guaranteed returns, stating that “investment products that promise high returns with no risk are a sure sign of fraud.”

2. Lack of Regulatory Information: In the U.S., financial brokerages are typically regulated by bodies like the SEC or FINRA. While digital asset brokerages are in a gray area, reputable platforms will usually highlight their adherence to relevant financial laws, anti-money laundering AML policies, and Know Your Customer KYC procedures. Trusthebrokers.com is based in Israel and doesn’t provide explicit U.S. regulatory information on its homepage, which is expected since it’s not based here. However, for a U.S. audience, understanding where they are regulated and what protections exist is crucial.

   • Checklist: Look for details on licenses, registrations, and regulatory bodies overseeing their operations.

3. Vague or Hidden Fees: Transparency around fees is paramount. Trusthebrokers.com does state a 15% + VAT brokerage fee for sellers up to $1M. This level of transparency is a positive sign. However, details for buyers or additional fees associated with the training program are not immediately clear on the main page.

   • Action: Always demand a comprehensive breakdown of all potential costs before engaging.

4. Pressure Tactics and Urgency: Scammers often try to rush individuals into making decisions, emphasizing “limited-time offers” or “once-in-a-lifetime opportunities.” Trusthebrokers.com doesn’t overtly display these tactics on its homepage, though the “hot assets on the shelf” phrasing implies some urgency. Influpay.com Review

   • Strategy: Legitimate opportunities will allow sufficient time for due diligence and thoughtful decision-making.

5. Over-reliance on Testimonials Without Verifiable Claims: While testimonials are present on Trusthebrokers.com and sound positive, it’s often difficult to verify their authenticity. Scammers frequently use fake or exaggerated testimonials.

   • Tip: Look for testimonials that include specific, verifiable details e.g., “I sold my e-commerce site for $X through TTB, which generated Y revenue prior to sale”. Generic praise is less convincing.

6. Lack of Physical Address or Contact Information: Trusthebrokers.com provides a physical address Ezra Gabai 3, Petah Tikva, an email address, and a phone number. This transparency in contact information is a positive sign of legitimacy.

   • Comparison: Scammers often operate with minimal or no verifiable contact details, making them difficult to trace.

7. Unusual Payment Methods: If a platform insists on payments via cryptocurrencies, wire transfers, or gift cards, these are significant red flags, as such methods are difficult to trace and reverse. Trusthebrokers.com doesn’t specify payment methods on the homepage, but for any large transaction, secure and traceable methods are expected.

   • Standard: Reputable businesses use established banking channels.

While Trusthebrokers.com presents itself professionally and offers some transparent operational details, potential users from the U.S.

Should still apply a cautious approach and conduct their own thorough due diligence, especially given the cross-border nature of the service and the broad definition of “digital assets” which necessitates ethical scrutiny. Lifejacketskinprotection.com Review

How to Conduct Due Diligence for Digital Asset Acquisition

Acquiring a digital asset, whether it’s a website, an e-commerce store, or a social media presence, involves significant risk and requires meticulous due diligence.

This process is even more critical when ensuring the asset’s alignment with Islamic principles.

Key Areas for Due Diligence

1. Financial Verification:

   • Revenue & Profitability: Request detailed Profit & Loss P&L statements, bank statements, and payment processor records for at least the past 12-24 months. Cross-reference these with analytics data.
   • Expenses: Understand all recurring expenses hosting, software subscriptions, marketing, inventory, salaries.
   • Traffic & Conversion Data: Access to Google Analytics, CRM data, and e-commerce platform reports e.g., Shopify, WooCommerce. Look for consistent traffic sources, conversion rates, and average order value.
   • Halal Revenue Streams: Crucially, examine the source of all income. Ensure no revenue comes from forbidden activities e.g., interest, gambling ads, non-halal product sales. If a site uses affiliate marketing, verify all affiliate partners and their products are permissible.

2. Operational & Technical Due Diligence:

   • Platform & Technology: Understand the underlying technology e.g., WordPress, Shopify, custom code. Assess its stability, scalability, and ease of transfer.
   • Security: Check for any past security breaches, existing vulnerabilities, or unusual traffic patterns.
   • Intellectual Property: Verify ownership of all content, trademarks, logos, and domain names. Ensure there are no copyright or trademark infringements.
   • Supplier Relationships for e-commerce/dropshipping: If applicable, scrutinize supplier contracts, reliability, product quality, and return policies. For dropshipping, ensure the supplier relationship supports a Sharia-compliant model e.g., clear terms, quality control.
   • Fulfillment & Logistics: Understand the entire fulfillment process, including shipping, returns, and customer service.

3. Legal & Compliance Review: Cloudysole.com Review

   • Terms of Service & Privacy Policy: Ensure these documents are robust, legally compliant, and transferrable.
   • Data Privacy: Verify compliance with data protection regulations e.g., GDPR, CCPA if applicable.
   • Contracts: Review all existing contracts with vendors, employees, or partners.
   • Business Registration: Ensure the current owner has a legitimate business registration and all necessary permits if applicable to the asset’s operations.
   • Liabilities: Identify any outstanding debts, legal disputes, or pending litigation related to the asset.

4. Content & Niche Assessment Islamic Compliance Focus:

   • Content Audit: Manually review a significant portion of the website’s content, blog posts, social media updates, and product descriptions for any haram elements e.g., explicit content, promotion of forbidden acts, blasphemy.
   • Product/Service Vetting: If it’s an e-commerce site, go through every product category and a sample of products. Check ingredients, usage, and marketing. For services, understand the nature of the service offered.
   • Audience & Community: Analyze the nature of the community if a social media asset and ensure it’s not promoting or engaging in impermissible discussions or activities.

5. Marketing & SEO Analysis:

   • Traffic Sources: Verify the primary sources of traffic organic, paid, social, direct. Ensure ethical marketing practices have been used no spamming, black-hat SEO.
   • Keyword Rankings: Review current SEO rankings and search visibility.
   • Social Media Presence: Evaluate the authenticity and engagement of social media followers.
   • Email List Quality: If an email list is included, assess its size, engagement, and lead generation methods.

Utilizing Professional Assistance

For complex digital asset acquisitions, especially those with significant financial implications, it’s highly advisable to seek professional assistance:

• Accountants/Financial Analysts: To verify financial records and projections.
• Digital Marketing Experts: To assess traffic, SEO, and advertising effectiveness.
• Legal Counsel: To review contracts, intellectual property, and compliance.
• Sharia Scholars/Consultants: Crucially, to provide guidance on the permissibility of the asset’s operations, revenue streams, and any specific contractual elements e.g., for dropshipping models.

By systematically conducting this comprehensive due diligence, potential buyers can significantly mitigate risks and, more importantly, ensure that their acquisition aligns fully with Islamic ethical and financial principles.

Trusthebrokers.com Pricing and Brokerage Structure

Understanding the fee structure is crucial for anyone considering using a brokerage service, and Trusthebrokers.com provides some clarity on this for sellers. From an Islamic finance perspective, the way fees are charged and what they are charged for are as important as the amount itself. Appliedhearingaz.com Review

Seller’s Brokerage Fee

The website explicitly states:

• “The agreement includes exclusivity for brokerage for a period of six months, and the brokerage percentage is 15% + VAT for a transaction of up to $1M.“

Analysis from an Islamic Perspective:

• Commission-Based Fee: Charging a percentage-based commission for facilitating a sale is generally permissible in Islamic finance, provided the underlying transaction itself is halal. This falls under the concept of ujrah fee for a service. The broker is providing a service of connecting buyers and sellers, valuing the asset, and guiding the transaction.
• Exclusivity Period: The six-month exclusivity clause means that if the seller sells the asset through any other means during that period, they might still be liable for the commission to Trusthebrokers.com. This is a common commercial practice and is generally permissible, provided it’s clearly agreed upon.
• VAT Value Added Tax: VAT is a government-imposed tax, and its inclusion in the fee is standard.

Buyer’s Fees

The website does not explicitly state any brokerage fees for buyers on its main page. This could mean:

• Buyers do not pay a direct brokerage fee to Trusthebrokers.com, or

• Any buyer-side fees are incorporated into the asset’s asking price, or

• Fees are disclosed later in the process.

• Transparency: For complete transparency, it would be beneficial for buyer fees if any to be clearly stated upfront. However, in many brokerage models, the seller pays the commission, and the buyer’s costs are typically related to the purchase price itself and any due diligence expenses.

Valuation and Sales Process

The website outlines a three-step process for selling:

1. Free Valuation: The seller provides P&L statements, and a team of analysts assesses the value.
2. Brokerage Agreement: If the valuation is agreed upon, the brokerage agreement including the 15% fee is signed.
3. Marketing & Sale: Trusthebrokers.com markets the asset to its network of potential buyers and other brokers, facilitating the transaction through to closing.

• Valuation Process: The use of P&L statements for valuation is a standard and acceptable financial practice.
• Marketing Scope: The mention of working with brokers in the U.S., Europe, and Asia indicates a broad reach, which is commercially advantageous for sellers.

Dropshipping Training Program Pricing

The main page mentions a “leading training program in Israel for establishing a digital asset, using the only method in the country adapted to the Israeli market in the style of Dropshipping V2.0.” It features a “Click Here” button leading to a separate landing page.

• Pricing Absence: The main page does not provide pricing details for this training program. Potential participants would need to navigate to the landing page or contact them directly for this information.

• Transparency: The absence of pricing for a key service on the main page is a minor transparency concern. For any educational service, it’s essential to understand the full cost upfront.

• Permissibility of Training: As discussed earlier, the content of this dropshipping training program is critical. If it teaches and encourages impermissible forms of dropshipping or the sale of haram products, then even if the fee structure itself is permissible e.g., a one-time payment, the overall service would be problematic.

In summary, Trusthebrokers.com’s commission structure for sellers appears generally permissible from an Islamic finance standpoint, as it’s a fee for a legitimate service.

However, the critical caveat remains the underlying nature of the digital assets being traded and the ethical compatibility of the dropshipping training program.

The lack of explicit buyer fees or training program pricing on the main page is a minor transparency point.

Trusthebrokers.com vs. Other Digital Asset Marketplaces

When considering a digital asset brokerage, it’s useful to compare Trusthebrokers.com with other prominent players in the market.

While Trusthebrokers.com positions itself strongly in the Israeli market and offers a hands-on brokerage service, platforms like Flippa, Empire Flippers, and Acquire.com offer different approaches and global reach.

Trusthebrokers.com: The Niche Brokerage Approach

• Focus: Strong emphasis on the Israeli market, with an explicit partnership to be the official representative of Flippa in Israel for Israeli clients and assets. This indicates a specialized, localized service.
• Service Model: Full-service brokerage, guiding both buyers and sellers through the process, including valuation, marketing, and closing. They claim to work “hand in hand.”
• Digital Assets: Deals with a range of digital assets including e-commerce, lead generation sites, social media, and online communities.
• Training Program: Offers a “Dropshipping V2.0” training, indicating a focus on business building alongside brokerage.
• Fees: 15% + VAT for sellers up to $1M.
• Pros Commercial: Localized expertise, hands-on support, potential for finding specific Israeli-market assets. Partnership with Flippa adds credibility and reach for local assets.
• Cons Commercial: Primary language is Hebrew, which can be a barrier for international users. May have a smaller inventory of assets compared to global marketplaces.
• Cons Islamic Perspective: Lack of explicit halal filtering or compliance checks for assets. Dropshipping training may promote impermissible models.

Flippa: The Global Marketplace

• Focus: World’s largest marketplace for buying and selling online businesses, websites, apps, and domains.
• Service Model: Primarily a self-serve platform where sellers list their assets, and buyers browse. Offers some brokerage services for higher-value assets.
• Digital Assets: Extremely broad range, from small content sites to large e-commerce businesses and SaaS.
• Fees: Varies, often a listing fee plus a success fee percentage upon sale, generally lower than full-service brokerages.
• Pros Commercial: Massive inventory, high liquidity, global reach, diverse asset types. Good for both small and large deals.
• Cons Commercial: Due diligence is heavily on the buyer/seller. Many listings, so quality varies.
• Pros Islamic: Wide selection means higher chance of finding explicitly halal businesses, though manual due diligence is still critical.
• Cons Islamic: No built-in halal filters. Requires extensive manual screening for permissible assets and practices.

Empire Flippers: The Curated Brokerage

• Focus: High-quality, vetted online businesses, typically generating significant monthly net profit minimum $50k-$100k annual profit.
• Service Model: Full-service brokerage with a rigorous vetting process for listings. Provides extensive due diligence data.
• Digital Assets: Focus on content sites, e-commerce, Amazon FBA, SaaS, and app businesses.
• Fees: Generally higher success fees often 10-15% or more reflecting the high level of service and vetting.
• Pros Commercial: High-quality listings, extensive financial verification, expert support, strong reputation.
• Cons Commercial: Higher entry barrier for both buyers and sellers due to minimum profit requirements. Limited inventory compared to marketplaces.
• Pros Islamic: Rigorous vetting can make due diligence easier in terms of financial data, but still requires manual ethical checks.
• Cons Islamic: No explicit halal vetting. Still possible for listings to involve impermissible revenue streams or product types.

Acquire.com formerly MicroAcquire: Startup Acquisition Marketplace

• Focus: Specializes in small, bootstrapped, and profitable startups, often SaaS and app businesses.
• Service Model: A marketplace for founders to list their startups directly for acquisition. Less hands-on brokerage than EF, more curated than Flippa.
• Digital Assets: Primarily SaaS, D2C, e-commerce, and agencies.
• Fees: Typically lower, often a flat fee or smaller percentage for successful acquisition.
• Pros Commercial: Good for founders looking to sell smaller ventures, focus on profitable startups.
• Cons Commercial: Newer player, less established than some. Inventory may be smaller.
• Pros Islamic: Opportunity to acquire businesses with clear, often service-based revenue models, making ethical assessment potentially simpler.
• Cons Islamic: No specific halal filtering.

Overall Comparison for a Muslim Audience:
While Trusthebrokers.com offers a localized, hands-on service, none of these platforms explicitly vet digital assets for Islamic compliance. This means that regardless of the platform chosen, rigorous personal due diligence on the specific digital asset, its revenue model, and its products/services is absolutely non-negotiable for a Muslim buyer or seller. Platforms with more detailed financial vetting like Empire Flippers can simplify some aspects of due diligence, but the ethical and halal compliance check remains the responsibility of the individual. For building new businesses, platforms like Shopify or Etsy offer more direct control over product permissibility.

FAQ

What is Trusthebrokers.com?

Trusthebrokers.com is a digital asset brokerage service based in Israel that facilitates the buying and selling of various online properties, including e-commerce websites, lead generation sites, and social media accounts.

Is Trusthebrokers.com legitimate?

Based on the website’s presentation, it appears to be an operational brokerage with stated processes for buying and selling, testimonials, and a physical address.

They also claim an official partnership with Flippa in Israel.

However, legitimacy in operations doesn’t automatically equate to ethical compliance, especially from an Islamic perspective, which requires separate scrutiny.

What kind of digital assets does Trusthebrokers.com deal with?

Trusthebrokers.com deals with a range of digital assets including international e-commerce businesses, lead generation websites, online communities, and Instagram accounts. They market these as “hot assets.”

What are the fees for selling a digital asset on Trusthebrokers.com?

For sellers, Trusthebrokers.com charges a brokerage fee of 15% + VAT for transactions up to $1 million. This includes an exclusive brokerage agreement for a period of six months.

Does Trusthebrokers.com charge buyers a fee?

The website’s main page does not explicitly state any direct brokerage fees for buyers.

It is common for the seller to bear the brokerage commission in such transactions, but buyers should always clarify all potential costs before proceeding.

Is dropshipping permissible in Islam?

The conventional dropshipping model, where one sells goods they do not physically or constructively possess, is generally considered impermissible by most Islamic scholars due to the issue of gharar excessive uncertainty and the prohibition of selling what one does not own. However, certain structures like Bay’ al-Salam forward buying or acting as an agent wakalah can potentially make it permissible if structured correctly.

Does Trusthebrokers.com’s training program teach halal dropshipping?

The website’s homepage does not provide details on whether their “Dropshipping V2.0” training program adheres to specific Islamic finance principles or focuses solely on halal products.

A potential participant should thoroughly investigate the curriculum to ensure it aligns with Islamic ethical guidelines, particularly concerning possession and the types of products sold.

How does Trusthebrokers.com value digital assets?

Trusthebrokers.com’s process for sellers includes an initial free valuation based on financial documents like Profit & Loss P&L statements for the past two years, along with other relevant information provided by the seller.

Does Trusthebrokers.com offer international services for buying and selling?

Yes, Trusthebrokers.com states that they work in cooperation with brokers in the U.S., Europe, and Asia, which allows for broader exposure for listed assets beyond Israel.

What due diligence does Trusthebrokers.com perform on listed assets?

The website mentions that listed businesses have undergone “verification and reliability checks.” However, the extent and specific criteria of these checks, especially regarding ethical or Sharia compliance, are not detailed on the main page.

Buyers should conduct their own thorough due diligence.

Can I cancel my agreement with Trusthebrokers.com?

The website mentions a “six-month exclusivity for brokerage” agreement for sellers.

Details on cancellation policies or withdrawal from the agreement would typically be outlined in the full brokerage contract provided to the seller.

Are the testimonials on Trusthebrokers.com real?

The website features several positive testimonials from individuals with names.

While these appear on the site, as with any online testimonials, independent verification is always advisable for complete assurance.

What are good alternatives to Trusthebrokers.com for ethical digital business?

Ethical alternatives for digital business include platforms like Etsy and Shopify for building e-commerce stores with full control over product permissibility, or platforms like Udemy and Fiverr for selling beneficial skills and knowledge through services.

How long does it take to sell a digital asset through Trusthebrokers.com?

The website states that they are committed to closing a deal “as quickly and easily as possible.” However, the exact timeline can vary greatly depending on the asset’s nature, price, and market demand.

What information do I need to provide to sell my digital asset?

Sellers are asked to fill out a valuation document and provide Profit & Loss P&L statements for the past two years.

Additional information may be requested by their analyst team as needed.

Is investing in digital assets a good idea?

Investing in digital assets can be highly profitable, but it carries inherent risks, similar to traditional investments.

The key is to thoroughly understand the asset’s business model, market, and financial performance, and for Muslims, to ensure complete ethical and Sharia compliance of the asset and its operations.

What is the significance of Trusthebrokers.com’s partnership with Flippa?

The website states that Trusthebrokers.com is the official representative of Flippa in Israel for Israeli clients and assets.

This partnership grants Trusthebrokers.com a level of credibility and expands their reach within the Israeli digital asset market, potentially benefiting local sellers by connecting them to a global marketplace.

What should I look for in a digital asset before buying it?

When buying a digital asset, you should look for clear financial records, consistent revenue and profit, diversified traffic sources, strong intellectual property, a stable technical platform, and an ethical business model.

For Muslims, verifying that the asset deals exclusively in halal products/services and avoids interest-based transactions is paramount.

Does Trusthebrokers.com offer support for transferring digital assets after a sale?

While the website emphasizes facilitating a “quick and easy closing,” it doesn’t explicitly detail post-sale transfer support.

Typically, in such brokerages, guidance is provided for asset migration, but specifics should be confirmed in the brokerage agreement.

How can I ensure a digital asset is halal before purchasing it?

To ensure a digital asset is halal, you must conduct comprehensive due diligence. This includes reviewing all products/services sold for permissibility, analyzing all revenue streams to ensure no riba interest or other forbidden income, scrutinizing website content and marketing for any haram elements, and understanding the operational model to avoid gharar excessive uncertainty. Consulting with a knowledgeable Sharia scholar or Islamic finance expert is highly recommended.

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