Value of an affiliate site?

7 replies
TL;DR - I'm looking to eventually sell one of my affiliate websites, but I'm having trouble calculating its actual worth. Has anybody sold an affiliate site before, and how do you go about calculating its worth?

Long description: It's an authority site, with tons of good quality content. Not a usual crappy review site. It's made 70k+ so far, and projected to make approx 100k by the end of this year from Amazon alone. There's AdSense, too, and you can also utilize the platform for selling your own stuff, easy. Since it's an affiliate site, most of the traffic is from organic searches, and it's all passive income. But recently I've been investing a lot into creating more content, huge buying guides, videos and that type of stuff which will only be worth more in about 6 months to a year when they start ranking better.

I can see how I can easily double net profit figure just from Amazon alone by the end of next year with all the content that I've put out over the course of the last few months. Utilizing additional affiliate platforms, selling ads, selling your own digital and physical products would bring this site's profits to a much higher figure. I'm not doing this because of lack of time.

So how do I calculate the actual worth of this website? Just going by how much the site is making right now doesn't make sense to me, because the content that still isn't ranking is worth a ton, and it's original. It's simply a matter of time. Also, it's in a pretty competitive niche that keeps growing, and ranks for great keywords that if one would exchange affiliate links for their own products, it would be a whole different ball game.

Finally, we have seasonal items that convert and rank better during summer, so the sales have dropped a little now and will pick up by spring. How does that impact the site's worth?

I want to get rid of it because I have other sites that are doing better, and I want to focus on those. I can't find any more time to do this, and I don't want to outsource management of the site because nobody can ever do it right.

Any advice would be very helpful! Thanks!
#affiliate #site
  • Profile picture of the author William2010
    Depends..usually, a few years ago, a good established site was being sold for 24x up to 36x monthly revenue..but today.. people don't pay as much..
    The 70k you did them in 1 year? 6 months? Less , more?
    With a huge site like that you should get a broker.. and yes even if you will pay some fees you will get top dollar for your site..
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  • Profile picture of the author Luke Dennison
    Usually the website will go for around 6X monthly profit on Flippa and that's even with a solid background of making money. (You want at least 12X monthly income though).

    Your best bet is to find a broker on the web, or preferably an offline broker so you can monitor everything face to face and make sure your happy with everything.

    Or just get better at outsourcing and keep it. Is there no way you could cut down the time you spend with your other sites, and put some more work into it?
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  • Profile picture of the author Alex The Lion
    Teaming up with a broker is probably your best bet. The broker should be able to give you a good amount of advice and if they are earning a percentage based commission, they will be interested in getting you a good deal too.
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  • Profile picture of the author Mark Hess
    Personally, I would keep it off Flippa and talk to these guys - https://empireflippers.com/

    A partner of mine just got done selling a high value site through them and had a great experience.
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    • Profile picture of the author Alex The Lion
      Originally Posted by Mark Hess View Post

      Personally, I would keep it off Flippa and talk to these guys - https://empireflippers.com/

      A partner of mine just got done selling a high value site through them and had a great experience.
      Yeah, Justin and Joe have been doing great things since the launch of Adsense Flippers.
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  • Profile picture of the author mikeyman120
    I would say go to Flippa and check the just sold section for your sites monthly income to get ideas of what others are getting for their sites. It really can vary as mentioned you can get 6x monthly income up to 24x or even up to 36 I have seen.

    However the site Mark recommends look very interesting. I have been flipping start up PLR and unique sites on Flippa for years and didn't even know about empireflippers.com(unless their new). I just keep learning new things and resources on warrior forum.

    See if empire flippers has a just sold section or similar where you can compare their site sales to Flippa and choose which site suites you and your site best.

    I can tell you that sites earning money can sell easily you just want to get fair market value or better.
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  • Profile picture of the author agmccall
    If your site is making 100k per year and can be documented then I would not sell it for less than 500k, that is just me. My business partner and I had a broker approach us to buy out ecommerce site and when we asked how they determine the price, he said it was at least 5 years of sales. In the case of a affiliate site I would say that 5 years of commission would be the lowest

    al
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    "Opportunity is missed by most people because it is dressed in overalls and looks like work." Thomas Edison

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