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How much should I sell my website for?

by markethacker
8 replies
One of my online product is making $25K-$30K/month in automated passive income. I own the products on the site (digital products), and I have a killer SEO rank for a bunch of increasingly high traffic keywords related to iPhone and iPad design. I spend less than 2 hours/week answering customer emails.

The product/website is 1.5 years old, and I am proud of the revenue it's generating, but I believe someone who's marketing savvy can buy it and make 2x-5x the revenue (profit margin is more than 95%, since I am selling my own products with very few affiliates).

I am considering selling the website because I am no longer passionate about the product/topic.

How much should I sell the website for? 3x revenue? 10x revenue?
#sell #website
  • Profile picture of the author Deezle
    Without knowing more full in detail about your site, just based off of what you have said I would say anywhere from 10-15 months earnings if it is a product that can be sold for a long time into the future without dying out.
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  • Profile picture of the author imdomination
    You're looking at probably around 12 months earnings for this site online if you look hard. Because of the physical nature of the product you may have trouble finding a buyer at that price (most online marketers like to buy websites that don't involve any physical work) but if you try and sell it to someone who's in the offline business, you may actually find that you can get as much as 24 months earnings, since prices tend to be higher in the offline world and you have a ridiculous conversion rate.

    Personally, I'd try and find someone offline who wants to buy your business. It'll definitely take longer, but you'll probably make a lot more money that way.


    edit: whoops, I apparently can't read and didn't realize that it was a DIGITAL product and not a physical one. In that case, ignore everything I wrote in the second paragraph. Try and sell it on flippa for 12-18 month's revenue. Don't let it go for less than that if you think it's a product that will continue to grow.
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  • Profile picture of the author Anonymous Affiliate
    The normal rate is between 6-and-12 times the average monthly revenue. The fact that it runs almost on autopilot should increase the bid a bit. I would certainly be asking for 12x monthly revenue minimum.

    By the way, according to your figures, you're certainly looking into a 6-figure deal here. For a site this big, you do NOT want to sell it yourself. Contact an experience website broker (his cut will be 10%) who will manage the whole process for you.
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    • Profile picture of the author skorpion
      Originally Posted by Anonymous Affiliate View Post

      The normal rate is between 6-and-12 times the average monthly revenue. The fact that it runs almost on autopilot should increase the bid a bit. I would certainly be asking for 12x monthly revenue minimum.

      By the way, according to your figures, you're certainly looking into a 6-figure deal here. For a site this big, you do NOT want to sell it yourself. Contact an experience website broker (his cut will be 10%) who will manage the whole process for you.
      I agree 100% with what he said.

      I'd hire a website broker for a site with that kind of monthly revenue.

      Some people are saying to keep it and enjoy the monthly revenue.

      I'd say the opposite:

      Why not just cash out and get a 1-2 yrs revenue in one lump sum?

      Then you have liquid cash to invest into another project. I'm assuming if you got this site to make that much, you can create another.

      I'd sell it and move on. There will always be more opportunities.

      Plus, something could always happen and you could lose that income.
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  • Profile picture of the author Eddie Titan
    Originally Posted by markethacker View Post

    One of my online product is making $25K-$30K/month in automated passive income. I own the products on the site (digital products), and I have a killer SEO rank for a bunch of increasingly high traffic keywords related to iPhone and iPad design. I spend less than 2 hours/week answering customer emails.

    The product/website is 1.5 years old, and I am proud of the revenue it's generating, but I believe someone who's marketing savvy can buy it and make 2x-5x the revenue (profit margin is more than 95%, since I am selling my own products with very few affiliates).

    I am considering selling the website because I am no longer passionate about the product/topic.

    How much should I sell the website for? 3x revenue? 10x revenue?
    The amount of money you will be able to get for your website (or portfolio of websites) depends on the amount of money you have been making, the popularity of your website(s), and the amount of potential there is left to maximize profits.

    If your website targets the MMO or Internet Marketing niche, it will not sell as well as as other websites targeting other niches.

    From what you have explained, you can sell it for $150,000 to $400,000. I suggest you get in touch with a good broker.

    You will need to put much more effort than you might think. People who are willing to spend this much money want to see first hand what they are buying (i.e. getting involved in your business during escrow to confirm your sales numbers).
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  • Profile picture of the author ak1lz
    Keep it! 2 hours per week... Hire someone to take care of emails and continue SEO on it.

    Might be hard to find such help but I think it would be the best thing to do until you can sell it.

    Sell it for 6 months profit in advance. I thinks that's safe, the market is constantly changing so selling for the profit you would make over the course of 1-2 years would make anyone second guess the purchase.
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  • Profile picture of the author jmsheldon
    Banned
    [DELETED]
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    • Profile picture of the author markethacker
      Focused niche with a simple idea and lots of hard work for 6 months. The products are selling between $27 and $197.
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  • Profile picture of the author sbucciarel
    Banned
    Who needs to be passionate about a product/topic that is making $25K-$30K/month in automated passive income?

    I'd keep it.
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