Forum Moderators: LifeinAsia
I am a web developer and created a toolbar that has now become very popular with over 100,000 users and 40,000 active daily users.
Being very bad in marketing, promotion and revenue generation, the only thing I did with the toolbar was use Google adsense referrals on it and that generated $4,500 in a single month. But then I found it was against Google adsense policy and so I had to take it off.
Now, I feel the toolbar can generate a lot of revenue in the hands of a good marketer and think the best I could do is sell it. Here comes my question.
How much is it worth? How do I valuate it? The only metrics I have are the total number of users, active users per day and the revenue it generated with one campaign in one month.
The best feature of the toolbar is the owner can modify it on a server on the fly and a user, the next time he loads his browser can see different links and features as the owner chooses to modify it. This way one can dynamically show ads, links and other promotions and take them off as needed.
Could someone help me on this and get me a fair valuation? As well as good places to sell it?
Thanks & regards
Envieme
The user numbers are a good way to start, the campaign numbers are also a good way to start. What you need to do is estimate the cashflow your company can generate in the future.
Other stuff you should find out:
What is the total market worth?
What competitors are you up against?
Anticipate future risks (such as a decline in the general economy will cause companies to buy less ad-space, and so on).
I don't really know where you can sell your company though. If you want to get serious there are bunches of venture capital firms out there, but then you need a solid business plan. I've seen some selling their businesses on Ebay as well..
