Domain name

What it means

A domain name is the name by which people and computers find a company, such as firma.sk, and on which its website and email run. Technically it is an entry in the DNS system translating a readable name into the addresses of the servers that provide hosting for the website and mail.

A company does not buy a domain for ever but registers it with a registrar for a period, usually a year, and renews the registration. The .sk extension follows the rules of the Slovak domain administrator; .eu, .com and others follow those of their own administrators.

The domain is part of the company’s identity alongside its business name and trademark. On its own, however, it is not protected like a brand, and a domain dispute turns on who has the stronger right to the name and whether someone registered it in bad faith.

How it works in practice

We recommend registering the domain in the company’s name, not the director’s or the web developer’s, and keeping access to the registrar account. Otherwise, in a dispute with a web agency or after an employee leaves, the company can find itself without its own website and email.

Registration and renewal fees are an ordinary expense. If several years are paid in advance, the part relating to future years is deferred as prepaid expenses. A domain bought for a high price, for example from a previous owner, may be an intangible fixed asset.

Email credibility also depends on the domain. Properly configured SPF, DKIM and DMARC records and an SSL certificate for the website reduce the risk of invoices landing in spam or of someone sending email in the company’s name.

What to watch out for

The most common mistake is a forgotten renewal. When the registration lapses, the domain stops working, the website and email disappear, and after a grace period anyone can register it, including speculators who offer it back at many times the price. Automatic renewal and a current contact email are therefore essential.

Fraudsters register domains resembling the company’s name, for example with one extra letter, and send fake invoices with changed bank details from them. Against this kind of phishing it helps to check the sender’s address and always confirm a change of bank details by phone.