Someone's willing to pay $1k for my website/FB group. Should I sell?

10 replies
I have a facebook group called (ID removed by mod) with nearly 40k active members, as well as a website that I just made not long ago. Due to life circumstances I can't continue. A friend of mine offered $1k stating that there's lots of potential in my FB art group.

I just don't know the value of these things, but would this be a fair deal?
#$1k #group #pay #sell #website or fb
  • Profile picture of the author Kay King
    If you 'can't continue' and someone is willing to pay you without you having to advertise or anything else....seems a no brainer.


    No one here can estimate the value of your online business (though some will probably try).....


    What was your plan when you made a site 'not long ago' and decided not to continue?
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  • Profile picture of the author RMRC
    Hello,
    Here are some ideas to help you make a decision.

    First, do you want to sell it? If the only reason you're selling it is because of life circumstances and you wouldn't otherwise sell, you could always negotiate a partner deal with your friend, where he operates the site and you get a percentage of all the profits. Something like that.

    Or you could list your site on somewhere like Flippa and see what bids you get.

    Lastly you could just take the deal. If you don't mind giving it up. $1000 is an easy out.

    Hope that helps.
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  • Profile picture of the author dave_hermansen
    Well, other than the obvious answers others have posted I have to know ... are you generating any income from the website? If not - and especially if you have no time for it - it would be pretty stupid NOT to sell it.

    If you have monetized the site and it is generating decent money, it seems like there would be other options such as hiring a cheap VA to handle the day to day operations.
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    • Profile picture of the author JohnJames
      Originally Posted by dave_hermansen View Post

      Well, other than the obvious answers others have posted I have to know ... are you generating any income from the website? If not - and especially if you have no time for it - it would be pretty stupid NOT to sell it.

      If you have monetized the site and it is generating decent money, it seems like there would be other options such as hiring a cheap VA to handle the day to day operations.
      It's not generating any income yet, but it was only created a few months ago. I think the buyer is more interested in the hobby Facebook group which numbers over 38K
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  • Profile picture of the author Jason Kanigan
    Originally Posted by JohnJames View Post

    I have a facebook group called (ID removed by mod) with nearly 40k active members, as well as a website that I just made not long ago. Due to life circumstances I can't continue. A friend of mine offered $1k stating that there's lots of potential in my FB art group.

    I just don't know the value of these things, but would this be a fair deal?
    "A dollar today is worth more than a dollar tomorrow". That's an accounting maxim. It's true because of the interest rate.

    How long can you afford to hold onto the group and not make money from it?

    What are your chances and avenues of finding a buyer at over $1000 in the next few months? If you have no path to finding a buyer at $1500 or more in the next 3 months I'd take the offer.

    What could you do with the $1000 in the short term? Could you make more money with it? Or would you just spend it on bills? This is another factor in choosing whether to keep or sell.

    Every group has a mix of buyers and nonbuyers depending on how well you've curated it and trained the expectations of the audience. If you've never sold anything in the group and never made any money off of it, it is worth less than if you know "The average revenue per member is $2.50 (or $202.50) per year".

    The offer you've received is at about $0.025 or two and a half cents per group member. That to me seems a low valuation. Though if you've never tried selling anything into it, the valuation could be fair.

    Let's assume we offer a $97 art course or similar thing to the group. They've never seen an offer before and some indulge in public outcry at the unfairness of it all. Some buy. Most do nothing. To make that $1000 investment back and a very little profit, your buyer has to sell 11 courses.

    11/40000 is 0.0275% and that is an absolutely horrible conversation rate. That's not 2%. That's 0.000275, or 10000 times worse! A typical cold traffic conversion rate we might shoot for is 0.25% or one quarter of one percent (1 in 400 people who see the offer buy). 0.5% is more acceptable, or 1 in 200 people buying.

    If your buyer got a 0.25% or 1/400 conversion on a $97 offer, they'd make $9700.

    If things sucked and it was 1 in 1000 who bought that's still 40 buyers X 97 = $3880.

    I share this eye-glazing math to show you that your buyer is likely to be able to recoup their investment and make some money. But nobody really knows how your group will perform until they put an offer in front of it. And it could be an offer that's a poor fit or a better fit for the specific audience. There have been cases of Instagram influencers who had hundreds of thousands of to over a million followers and not been able to sell a single t-shirt.

    Don't be mad at your potential buyer They're taking the risk. The price is heavily discounted as offered, however...though, of course, they can very reasonably counter with the truth that this group is completely untested regarding offers. It could take them some time to warm up the group to ready it for an offer.

    The question is...can you do better? I would counter with a valuation of at least ten cents per group member, maybe 25 cents. Though, again, what buyers do you have lined up willing to hand you money today? And can you find better buyers quickly?

    Now having done some quick googling about the issue, I have found a case study. The pay price for three groups quoted was "$0.046 to $0.533 per member. It's a wide range but a starting point for negotiations".

    There are no rules about this. 4.6 cents is clearly above 2.5 cents, but 53 cents is a long way above that. To me, it depends on how active your group is, how proven they are to be buyers, and your desire to speedily sell. You are being given a discounted offer for fast sale and it may be your only offer if you don't know where else to go and aren't able to invest the time & energy in finding another buyer.

    Myself, I might find someone to hire or revenue split to develop the group for you.
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    • Profile picture of the author JohnJames
      Originally Posted by Jason Kanigan View Post

      "A dollar today is worth more than a dollar tomorrow". That's an accounting maxim. It's true because of the interest rate.

      How long can you afford to hold onto the group and not make money from it?

      What are your chances and avenues of finding a buyer at over $1000 in the next few months? If you have no path to finding a buyer at $1500 or more in the next 3 months I'd take the offer.

      What could you do with the $1000 in the short term? Could you make more money with it? Or would you just spend it on bills? This is another factor in choosing whether to keep or sell.

      Every group has a mix of buyers and nonbuyers depending on how well you've curated it and trained the expectations of the audience. If you've never sold anything in the group and never made any money off of it, it is worth less than if you know "The average revenue per member is $2.50 (or $202.50) per year".

      The offer you've received is at about $0.025 or two and a half cents per group member. That to me seems a low valuation. Though if you've never tried selling anything into it, the valuation could be fair.

      Let's assume we offer a $97 art course or similar thing to the group. They've never seen an offer before and some indulge in public outcry at the unfairness of it all. Some buy. Most do nothing. To make that $1000 investment back and a very little profit, your buyer has to sell 11 courses.

      11/40000 is 0.0275% and that is an absolutely horrible conversation rate. That's not 2%. That's 0.000275, or 10000 times worse! A typical cold traffic conversion rate we might shoot for is 0.25% or one quarter of one percent (1 in 400 people who see the offer buy). 0.5% is more acceptable, or 1 in 200 people buying.

      If your buyer got a 0.25% or 1/400 conversion on a $97 offer, they'd make $9700.

      If things sucked and it was 1 in 1000 who bought that's still 40 buyers X 97 = $3880.

      I share this eye-glazing math to show you that your buyer is likely to be able to recoup their investment and make some money. But nobody really knows how your group will perform until they put an offer in front of it. And it could be an offer that's a poor fit or a better fit for the specific audience. There have been cases of Instagram influencers who had hundreds of thousands of to over a million followers and not been able to sell a single t-shirt.

      Don't be mad at your potential buyer They're taking the risk. The price is heavily discounted as offered, however...though, of course, they can very reasonably counter with the truth that this group is completely untested regarding offers. It could take them some time to warm up the group to ready it for an offer.

      The question is...can you do better? I would counter with a valuation of at least ten cents per group member, maybe 25 cents. Though, again, what buyers do you have lined up willing to hand you money today? And can you find better buyers quickly?

      Now having done some quick googling about the issue, I have found a case study. The pay price for three groups quoted was "$0.046 to $0.533 per member. It's a wide range but a starting point for negotiations".

      There are no rules about this. 4.6 cents is clearly above 2.5 cents, but 53 cents is a long way above that. To me, it depends on how active your group is, how proven they are to be buyers, and your desire to speedily sell. You are being given a discounted offer for fast sale and it may be your only offer if you don't know where else to go and aren't able to invest the time & energy in finding another buyer.

      Myself, I might find someone to hire or revenue split to develop the group for you.

      Thanks for the perspective. Overall, I just don't have the time for this group anymore. I've moved on to a very profitable vocation (film stunts) so that's where I'll be investing all my time and energy. I guess that basically means selling the group/site is a good idea since it would just be sitting there gathering dust otherwise.
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  • Profile picture of the author Dale83
    To sell - yes possible , if someone will see potentional , maybe you can continue to make it better and possibly price will be higher , anyway your choice.
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  • Profile picture of the author Devilfish168
    How old is your site and Fb group?

    if not say years , I feel keep it and continue to grow.
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  • Profile picture of the author PlatinumPen
    By the sounds of it, your group isn't making any money currently and you were pretty much ready to give it up for nothing before your friend offered you $1k.

    With that in mind, you could just accept your friend's offer and see it as a $1000 "bonus".

    But if you think you might actually be sitting on a goldmine and could end up deeply regretting accepting $1000, you could look to strike another deal with your friend...

    If you're anything like me, you'd not feel good about selling the group publicly when you only got the idea to sell when a friend offered you money...

    With that in mind, you could hand "management" of the group over to your friend and agree on a profit share going forward. With this deal, you get to hand the group over but without the regrets that you might've lost cash. If he/she really sees potential in the group, they will probably accept your offer.
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  • Profile picture of the author Kay King
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    • Profile picture of the author JohnJames
      Originally Posted by Kay King View Post

      I do not understand why people post 'keep it' with no ideas to back up the 'opinion'.


      The OP's focus is elsewhere - not interested in working more in this niche - site is new and produces no income as yet.....very good time to cut, take the money, and move on.


      I don't understand those who want to 'hold on' to everything even when it doesn't make sense to do so. Take the money and invest it for the future if you don't need it now. Sometimes walking away is the smartest thing to do.



      Couldn't u take the suggestion of hiring someone to run it for you, test it, season it, for buyers? Use some of the money you're making from stunts to hire them?

      I'm always practical about my health in the future, so I ask... what if I'm injured with stunts? What if I age and can't work on stunts anymore, wouldn't I want something to fall back on? Could be your (in the future money-making) FB group would give
      you something to fall back on.

      (Either hire them or just do profit sharing, as someone else suggested).

      It's an asset! A potential money-making asset. I wouldn't give it up just yet.



      yes this is what i was talking about. especially if your friend knows how to season the group for buying
      I thought about those questions. My wife is a CPA and always needs tax help so I always have that to fall back on. Plus, honestly, I'm simply not busneiss/marketing-minded. Every time I've tried to do online business I spend way too much time for what it's worth. Now with my new job, I have tons of free time and still get passive income (in the form of royalties/residuals).

      As of this writing, my friend went through a bit of bad financial luck, so he can't buy my group/site anymore.(edited to remove any promotional aspect).
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