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How much does it worth?

should i sell or not?

         

tabish

4:31 pm on Jun 11, 2007 (gmt 0)

10+ Year Member



Hello,

I have a website (i can not disclose the niche) and it is very popular and good rating site. It is very well maintained site and well developed.

It is giving me $1500 as revenue per month, and revenue is increasing day by day.

One of my client told me to sell it to him, he told me to give the price but i dont know if i should sell it or not? if yes then how much?

Regards

LifeinAsia

4:41 pm on Jun 11, 2007 (gmt 0)

WebmasterWorld Administrator 10+ Year Member Top Contributors Of The Month



Figure out its value to you: what is the amount you will accept to forever give up any rights to the site and its associated income, without any regrets? If he matches that price, sell. If not, figure out if you really need that price, or if you can accept lower.

chrisranjana

9:05 am on Jun 18, 2007 (gmt 0)

10+ Year Member



I'm not sure what the thumbrule while estimating a worth of the business .. Is it 12 X monthly profit or something like that?

vincevincevince

9:22 am on Jun 18, 2007 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Only you know how secure the income is. The sale price should be based upon how much you think you will get out of the site. If it is worth more to you if you keep it and collect the money - then keep it. If he offers more than you think you are likely to get out of the site by keeping it, then sell it.

Forget about all the 12x monthly income, 24x monthly income, etc. which you might find around. The only person who can value your site is you.

Another thing to think about is what you will do with the money when you sell the site. If you believe you will use the money to invest in a new site, then you need to weigh the cost of not investing in that site now against the income lost over a longer period of time.

BradleyT

8:29 pm on Jun 19, 2007 (gmt 0)

10+ Year Member



There's lots of things to consider.

How much time does it take to maintain and update the stie? The more time the you'll get. Nobody wants to pay $20,000 to buy themselves an $18,000 a year full-time job.

Has revenue been increasing or decreasing? You said it's going up so that's a positive in your favor. If it had been going down for the past 8 months it's likely to continue the downtrend and the site should be devauled.

Have you done any revenue testing? Such as replacing adwords with yahoo or adbrite or azoogle or whatever other advertising there is. Maybe your site could double it's income just by switching ads or ad positioning.

How is your search engine placement? Are you low ranking yet still getting traffic and money? If so, a bit of time tweaking your SEO could really pay off. Are you getting natural inbound links without asking? If so, SEO is going to improve over time and income will likely increase.

Do you need the money now? I think you could probably grow the site quite a bit in 1 year and possible increase revenue a lot in that time, making the site worth 3x or more what it's worth now - not to mention the additional revenue for those 12 months.

Just some brief things off the top of my head...