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How to valuate a website?

Discussion in 'General Business' started by shahaab, Jul 24, 2013.

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  1. #1
    Guys, I was recently approached buy someone bidding to buy one of my websites. He has offered $110k. The website serves more than 10 million pages a month and has an Alexa rank of 14,000, has been online since 2012 and gorsses anything from $40k to $90k a year. Having a business education background I know that the amount offered is not fair! Now my question is how would you valuate such a website?
     
    shahaab, Jul 24, 2013 IP
  2. VukasinI

    VukasinI Well-Known Member

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    #2
    People most commonly value their website by some unwritten rule that website worth one year earnings.. Well, I don't work like that, I always try to get more for my website.. If you really have a site like that, you have big power in your hands and you also should reconsider not selling it.. You can invest some of that money in other projects and also keep something for yourself.. With that kind of money you can expand your business to the maximum.. Anyway, if you really want to sell a website, use Flippa, make it featured and write some nice sales letter.. Expect at least 200k...
    I hope I helped..
     
    VukasinI, Jul 24, 2013 IP
  3. coolcode007

    coolcode007 Well-Known Member

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    #3
    if it makes around 90k profit per year dont sell it for 110k :)

    let me know the domain name, will have a closer look
     
    coolcode007, Aug 12, 2013 IP
  4. terrymason

    terrymason Well-Known Member

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    #4
    At the same time, if it makes $40K a year then You may do well to get $110K for it. Especially if it's the type of site that my be affected by a Google / Panda update.
     
    terrymason, Aug 12, 2013 IP
  5. SERPpoint

    SERPpoint Active Member

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    #5
    Taking help of any tool is not good, there should be individual/manual valuation....... however if you need a tool to get estimation then I would suggest websiteoutlook.com
     
    SERPpoint, Aug 13, 2013 IP
  6. Branko Zecevic

    Branko Zecevic Active Member

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    #6
    Generally I check this link http://www.worthofweb.com/calculator/
    If I want to test the value of a site!

    I made some comparisons with prices of 'just sold' websites on Flippa!
    The results were that majority of sites sold for higher prices
    than prices I got with this tool!
    But it's only one test; and it's highly likely not the rule!

    So, DP members what you think about using this tool
    for measuring site's price!
     
    Branko Zecevic, Aug 13, 2013 IP
  7. Branko Zecevic

    Branko Zecevic Active Member

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    #7
    onlinesolutions1985 You're welcome!
    Glad that I can help! :)
     
    Branko Zecevic, Aug 13, 2013 IP
  8. SliceOfLife

    SliceOfLife Well-Known Member

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    #8
    Useless, as is any other tool for the sole reason that the tools cannot have any kind of estimation about what the revenue of a site is, and the revenue is the deciding factor when putting a pricetag on a site.
     
    SliceOfLife, Aug 13, 2013 IP
  9. Helge Sverre

    Helge Sverre Prominent Member Affiliate Manager

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    #9
    If a website is making you money I would not sell it.
    On the other hand if it is a website you know is going to be penalized, drop in popularity or siimply die out in a couple of months then it might be worth selling it for the price you earn this month, multiplied by 12.
    Add a good sales pitch, and there you go :3
     
    Helge Sverre, Aug 13, 2013 IP
  10. Dionne Taylor

    Dionne Taylor Active Member

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    #10
    Take monthly income and multiply by 12
     
    Dionne Taylor, Aug 17, 2013 IP
  11. adbash

    adbash Active Member

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    #11
    Often measured way based on its earnings. It is assumed that it is worth as much as 3 to 6 months of its earnings.
     
    adbash, Aug 18, 2013 IP
  12. dede tea20

    dede tea20 Greenhorn

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    #12
    I need site hq pr1-6

    please send to me

    dederupendi20(at)gmail(dot)com
     
    dede tea20, Aug 19, 2013 IP