Buying out established websites that aren't "FS"

Who has experience with this?

[Bates]

I am considering an attempt at buying out a large national website in my niche that I feel I could really improve and monetize properly. However I am reluctant to approach the owner at this point as I'd like to make sure my pitch is as compelling as possible. Have any of you done this, and if so how did you go about convincing the owner to sell without making them realize that their site is worth alot more than they realize?

[merlin23]

You already kinda answered your own question.....

If they dont realise how much their site is worth....that means they dont know.....and if they dont know...and you dont tell them...then they will remain not knowing.....lol

Just say your expanding your business......

Dont try and convince them to sell to you....just make an offer and play cool and luke....

[blueheelers]

Last year, the software company I own bought a website for a low 5-digit price from the owners who did not actively have it for sale. The site is over 10 years old and has lots of inbound links from sites (including .edu's and .org's) and had a reputation as an information source and business directory.

We knew the owners, who at one time lived in the same town as our company was headquartered. We noticed over a year's time that the site was not being kept up with the same level as it had been in the past.

We approached the owners and mentioned that we noticed the site had not been updated much and how we saw a huge value it served to the industry. We asked them if they would be interested in selling and at what price.

The owners started the site as a "service to the small business owners in the industry" and had a lot of emotional value on it. We knew that we would have a better chance at purchasing the site if we assured them that we would be well taken care of. Later, we found out they had previously turned down much higher offers from others who simply wanted the domain and put a redirect to their competing website.

A few days later, the deal was done. We purchased the site with an "Asset Purchase Agreement" rather than buying out their small company.