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Old 03-10-2010, 03:50 PM   #1
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Default How do you value a site for sale?

Hey guys

I know this may have been asked a squillion times .. BUT ..

I have a site i'm looking at selling. I've built a few thousand twitter followers that are in that niche and also created a load of youtube videos that drive targetted traffic to the site.... oh and also joined and contributed to relevant forums for this niche... and built a list of subscribers.

So does this have more value than just the sale of a site, and also, how do you put a value on that?

Cheers

Chris

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Old 03-11-2010, 02:37 AM   #2
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Default Re: How do you value a site for sale?

The value depends on several aspects. Off the top of my head:

* The niche and monetization ease
* The uniqueness and quality of the content
* The design
* The visitors and where they are coming from
* Promotion (SEO and otherwise) made and engine ranking
* Any money it is already making
* The potential for expansion
* How big it is
* The age of the domain
* The niche and the website are stable, are increasing in popularity or decreasing
* How much work it will take to make it make money
* If there is any debt by the website
* Evidence provided by the seller about the answers given to the above questions

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Old 03-11-2010, 03:14 AM   #3
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Default Re: How do you value a site for sale?

I will also add that the amount you receive depends on how you sell it.

Won't get much with Ebay.

Flippa is a step up and can land some big deals, but not often.

Business broker will often get you 4x yearly.

Investment banker will get you a lot if your business is a match for what they are looking for.

It's EASIEST to work with Flippa, but if your site has significant revenue, then look for a broker.

Keith

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Old 03-11-2010, 03:15 AM   #4
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Default Re: How do you value a site for sale?

Hey guys

i always go by what similar sites are selling for and then sell it for a similar price. Then if it is too much you can always reduce it slightly.

kind regards


sam
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Old 03-11-2010, 03:16 AM   #5
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Default Re: How do you value a site for sale?

lol, it's 3:15am and I see that the topic is 'HOW do I value a site for sale'. Not, 'How do I sell my site'.

Even if my post was off topic a bit, I hope it provides some direction.

Keith

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Old 03-11-2010, 03:31 AM   #6
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Default Re: How do you value a site for sale?

I base a websites value on current earnings or potential earnings.

I would typically be prepared to pay upto 10x Monthly net profit for a decent website. Of course you would consider paying more for a better established website or less for a website that has not been trading for so long.

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Old 03-11-2010, 05:30 AM   #7
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Default Re: How do you value a site for sale?

The value of any site is the current money it generates. If it makes ZERO money, the value of this website is ZERO! If it makes 1 million per year, the current value of this website is 1 million a year!

I hate it when people think their website are worth much more than they really generate, but anyone "with just a little bit of work" can make it into a productive business. That's generally not how it works ladies!

Read my incredible story: www.affiliatechamp.co.uk
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Old 03-11-2010, 05:35 AM   #8
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Default Re: How do you value a site for sale?

I have always used the Rule of Thumb figure of 10 x monthly revenue as a rough guide and as a general indicator and i would say that Flippa is the best place to sell or even buy a site but never ever from Ebay.

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Old 03-11-2010, 07:15 AM   #9
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Default Re: How do you value a site for sale?

Revenue helps a great deal, but things like Twitter followers and a list also add value. How much value is just a guess. I have sold many startups with no traffic, no list, no Twits at a good price because people valued the design and content, so value is in the eye of the beholder.

If it's not making any money but has assets, list all the assets and you might get around $300 for it provided the site doesn't look like garbage. If it doesn't sell, reduce the price. You only pay half on Flippa for the next fee for a site that doesn't sell, so test it.

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Old 03-11-2010, 07:22 AM   #10
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Default Re: How do you value a site for sale?

Quote:
Originally Posted by Miguel Oliveira View Post
The value depends on several aspects. Off the top of my head:

* The niche and monetization ease
* The uniqueness and quality of the content
* The design
* The visitors and where they are coming from
* Promotion (SEO and otherwise) made and engine ranking
* Any money it is already making
* The potential for expansion
* How big it is
* The age of the domain
* The niche and the website are stable, are increasing in popularity or decreasing
* How much work it will take to make it make money
* If there is any debt by the website
* Evidence provided by the seller about the answers given to the above questions
I would add one more, if I may.

Does you site have a list, how big is it, and have you monetized it yet?

A good,fresh, responsive list can be worth more than the site itself, without the list.

Peace

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Old 03-11-2010, 07:35 AM   #11
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Default Re: How do you value a site for sale?

IMHO I woudl pay between 3-12 months of the sites profits depending on what site it is

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Old 03-11-2010, 07:47 AM   #12
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Default Re: How do you value a site for sale?

I've never sold a site before, I'm asking myself this question recently. I have a site that sells a unique, self-written ebook. My first sale was in April 22, 2009. Since then, I've made as much as $400 in a month, though as I started to neglect article writing and such, sales have been dwindling.

I'm thinking about off-loading the site. I wonder how much I can sell it for...


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Old 03-11-2010, 09:18 AM   #13
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Default Re: How do you value a site for sale?

Quote:
Originally Posted by allsabqat View Post
domain name & it's age is the most important factor when some one is going to purchase any site. do you site have good reputation & search traffic?
I don't have much experience with this, but I would think that income generated is more important than domain age...


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