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How much is my Online Business Worth?

by Re-cycle
5 replies
Hi guys, I just want to hear your opinions real quick on this.

I have a website that makes $3,000+ net profit every single month on autopilot. Without getting into much details, the site sells a single pdf file and the only expense is $200 per month for advertising. The site is in spanish language.

I need to sell the business to get some funds for another project, how much should I ask for realistically? How much is acceptable these days for this type of online business?

Thanks in advance!
#business #online #worth
  • Profile picture of the author Eddie Titan
    You should go to Flippa.com and do some research. Look for websites (selling an information product) that have been sold in the past on Flippa.

    If you can show proof of income, for a few months, you will be able to increase the value of your website. Make a video showing proof of income and feature it in your Flippa auction.

    If the website is in the internet marketing or MMO niche I would pay less for the website. If the website has not been making around $3000 every month for at least 4 months, I would pay less for the website.

    I would need to see the website, proof of traffic, proof of income, and the pdf guide your website sells to be able to tell you how much I would pay for it
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  • Profile picture of the author Jhangora
    Never sold a site myself. However, from what I have read on various sites, blogs, and forums : if the site has been making consistent revenue for the past 6 months - then you can get 6 to 10 times the monthly revenue, as the selling price. Good Luck!
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  • Profile picture of the author Thomas Smale
    The Spanish market is a tough one, so due to the fact your number of buyers is much lower than normal (majority of investors want English sites) the multiple would reflect that.

    Can't really give a valuation without knowing how long it's been earning $3k a month, knowing how sustainable traffic sources are (or are not) and knowing the niche.

    The multiple itself can vary hugely. People will tell you 10x but there's way too many variables to use that for every site. Business/website valuation is not as simple as using the same multiple for every site/business.
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  • Profile picture of the author Ben Gordon
    How long has the business been earning that profit?

    If it's been earning that profit consistently for over one year then it can definitely sell for about 8x its profit per month ($24K in your case). If it's been running for over a year, you will be able to sell it for even more.
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  • Profile picture of the author Dana Gaus
    Sites earning that much that are selling an original product (especially if you sell full rights to the product with the site) typically get as high as 10-12 x monthly earnings on Flippa.
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