We all can see how many website are for sale here and on sitepoint and other forums. So for someone who buys them regularly I have couple of questions. 1) Are most of the sites you bought bring profit like seller stated or way low ? (I wouldn't asking about way more) 2) Did they recoup whole investment ? I mean let's say site which bring let's say $1k per month and was bought for $10k-$15k already paid himself and still bring $1k per month or earnings dropped cause of some reasons like decrease in traffic, no more interest of others in your product/services , etc. 3) Are you still able to reinvest (buy other sites from profit of current sites) ? 4) Do you see a lot of potential in this ? Based on price they sell you get 50%-100% annual profit or I am dreaming in the clouds ? 5) Even if some of your investment fails completely what is percentage of success anyway ? Of course I understand if all so good (or bad) my questions will not get answers, but anyway I'll try. P.S. I am not talking about creating sites but about investment in them.
I think investment on your site depends on the return of investment of earlier investment and that should be worked out when you plan for further investment for ad, promotion or branding etc.
Yes, that's what I mean, of course I will try to check sites that are for sale and based on pure profit will think about reinvesting in future (plan to reinvest really a lot - up to 100%). And looking for someone who already doing this "when you plan for further investment for ad, promotion or branding etc" that will be really depends whill I be cheated by sellers of site or no That's why I also searching for service who provide evaluation of websites.
I had purchased an established website and it has been fine. Profit wasn't quite as high as originally stated but it was close and probably had nothing to do with the site itself but rather my marketing experience. The buyer was helpful in helping me setup a successful marketing system that they had been using previously. I bought a fairly new site (it was only a couple of months old) but I wouldn't recommend this. I think you should look for sites that have a wide variety of sales or time. Ensure that you know what the seller spent on advertising and compare it to the income. Then you can justify what price you should be paying for it.
Yes, I am looking for sites that are more like 1 year alive. Wouldn't go for 3 or less monthes old for sure. Lot of risk.
We occasionally buy websites but primarily develop our own. Of the three we bought one was a dog, one performed as expected, and one far exceeded stated revenue. Overall we came out ahead. I like your business model but purchasing is a little risky. Not like buying a brick & mortar where there's books, tax returns etc.
I would say that the revenue has been as stated by the seller most times. (been scammed once, seller used a click team) Most investments have paid for themselves many times over and the revenue of the sites I bought have usually grown after a year. But I don't buy many sites and only buy those I see real potentiall in.