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Looking for help on a valuation (any input welcome)

by jasonallvall
12 replies
I'm looking for a website valuation on a successful website I own.

Its doing very well at the moment but it has a long way to go (and has the potential to do that too)

I'm trying to work out what its current valuation is so i can see what asset value I have at the moment to leverage

I'll not disclose the domain name but here are some stats

30,000 uniques per month
350,000 page views per month
average user spends 11 mins on the site
Monthly revenue $1,000
Social Media Niche.
26,000 members
250 new signups per day

Any rough valuations would be really helpful
#input #valuation
  • Profile picture of the author joaquin112
    Approx 12 - 15 months of revenue. At the end of the day any website is worth what someone is willing to pay for it. I suggest that if you want to sell it, you aim higher such as 16x revenue. if the traffic has been constant for years, then the site is probably worth more. Potential really doesn't matter all that much in this industry. If you think it has potential, develop it yourself and sell it later.
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  • Profile picture of the author jasonallvall
    The site is getting bigger everyday and the traffic has been improving day on day. Its only been running for 6 months though so its not got a lot of history. However, within that time its grown very fast, created a huge brand (currently being mentioned on twitter every 30 seconds) and the future of the site is VERY exciting.

    I am working on a lot of new things to improve the rev on the site as i currently feel its at about 10% of what it could be making.

    The domain name is short and catchy too so that has a premium on its own
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  • Profile picture of the author Ty Spiller
    Congrats on building a very comfortable website.

    A website is worth what people are prepared to pay for it at the end of the day. I would go on Flippa.com and see what websites have sold that are similiar to yours.

    Having said that, if this was me and I had to sell it for whatever reason, I wouldn't sell it for anything less than 30k, but that's me remember. It can be hard to determine what a websites worth.

    Ty Spiller
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  • Profile picture of the author Alex Blades
    I would always say about 10 months revenue, but your site has potential since it has 26k members, and 250 daily sign ups. I think you should keep developing it to raise your income, than sell it for one big pay day.

    I don't think 10k is enough for a site like that, so I think you should keep building it up, so you can sell it for way more
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    • Profile picture of the author jasonallvall
      I agree, i think for now i would just like to know what value sometthing is i've built up.

      Originally Posted by Alex Blades View Post

      I would always say about 10 months revenue, but your site has potential since it has 26k members, and 250 daily sign ups. I think you should keep developing it to raise your income, than sell it for one big pay day.

      I don't think 10k is enough for a site like that, so I think you should keep building it up, so you can sell it for way more
      Thank you so much, your right in what your saying. Do you think flippa is the best place to sell it, or get a broker involed instead?

      Originally Posted by Ty Spiller View Post

      Congrats on building a very comfortable website.

      A website is worth what people are prepared to pay for it at the end of the day. I would go on Flippa.com and see what websites have sold that are similiar to yours.

      Having said that, if this was me and I had to sell it for whatever reason, I wouldn't sell it for anything less than 30k, but that's me remember. It can be hard to determine what a websites worth.

      Ty Spiller
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      • Profile picture of the author Ty Spiller
        Originally Posted by jasonallvall View Post

        I agree, i think for now i would just like to know what value sometthing is i've built up.



        Thank you so much, your right in what your saying. Do you think flippa is the best place to sell it, or get a broker involed instead?
        If you want my advice then DONT SELL for now! Like you said, it's making money and growing daily. Keep doing what your doing. Sounds to me like you have something good in the making
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      • Profile picture of the author sbucciarel
        Banned
        Originally Posted by jasonallvall View Post

        Do you think flippa is the best place to sell it, or get a broker involed instead?
        I think you'd get bigger bucks if you hire a broker to sell it.
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  • Profile picture of the author Alex Blades
    Thank you so much, your right in what your saying. Do you think flippa is the best place to sell it, or get a broker involed instead?
    Flippa has alot of buyers but you have to be careful with the scammers there. It would be good to have a broker involved. You should and get the value up first though, by monetizing the site better to bring up your income.
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  • Profile picture of the author writeaway
    It depends on the niche. If it is rapidly growing in terms of advertisers but not growing in terms of competition, it's worth more. If it is growing mostly in terms of competing pages but not advertiser demand, it's worth a lower amount....
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  • Profile picture of the author brutecky
    There is to little information given to value this site:

    1) Where is the income coming from? Is it ad sales, product sales ?
    1A) If its a product sale what kind of product? Physical or Digital, is it a niche product, is it a 'its hot now' product? Is there support involved?

    2) Whats involved in running the site? Is there support? Is there ongoing maintnance that is needed (such as a site that integrates with other sites, ie a FB app site), is there articles to be written? Whats the costs of these things?

    3) How long as the site been up? How long has it been making money?

    4) Whats the trend? Is the site making more money or less over the course of a year? Does it even have a years + worth of income stream?


    ..and on and on.

    The point is when you buy a website your buying a business. You need to look at it as if your buying a business, traffic stats are cool but you also need to take into consideration income history and cost to run / maintain / update the site.
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    • Profile picture of the author jasonallvall
      Wonderful response, thank you very mych. I'll be sure to work on all these questions

      Originally Posted by brutecky View Post

      There is to little information given to value this site:

      1) Where is the income coming from? Is it ad sales, product sales ?
      1A) If its a product sale what kind of product? Physical or Digital, is it a niche product, is it a 'its hot now' product? Is there support involved?

      2) Whats involved in running the site? Is there support? Is there ongoing maintnance that is needed (such as a site that integrates with other sites, ie a FB app site), is there articles to be written? Whats the costs of these things?

      3) How long as the site been up? How long has it been making money?

      4) Whats the trend? Is the site making more money or less over the course of a year? Does it even have a years + worth of income stream?


      ..and on and on.

      The point is when you buy a website your buying a business. You need to look at it as if your buying a business, traffic stats are cool but you also need to take into consideration income history and cost to run / maintain / update the site.
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  • Profile picture of the author Marc Rodill
    Look up the typical sales valuation multiple for your industry. Some businesses sell at two times sales revenue, others can sell at one times sales, etc. It depends on industry.

    A good broker will usually be able to help you research this information.

    Thanks
    Marc
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