1. Quickly find sites and domains for sale in the marketplace based on criteria that interests you.

    Enter Marketplace
  2. Advertising
    y u no do it?

    Advertising (learn more)

    Advertise virtually anything here, with CPM banner ads, CPM email ads and CPC contextual links. You can target relevant areas of the site and show ads based on geographical location of the user if you wish.

    Starts at just $1 per CPM or $0.10 per CPC.

Please help me evaluate the website, which makes 2K monthly?

Discussion in 'Sites' started by maybach, Mar 25, 2006.

  1. #1
    I am very interested to sell my website, which makes 2K USD per month thru GA and Vibrantmedia context advertising.
    How can I evaluate its price?
    Your advices?
    Is there any formula, let's say - site income * 12(24,36) months?
    SEMrush
     
    maybach, Mar 25, 2006 IP
    SEMrush
  2. aaron_nimocks

    aaron_nimocks Im kind of a big deal Staff

    Messages:
    5,563
    Likes Received:
    627
    Best Answers:
    0
    Trophy Points:
    420
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #2
    Normally sites sell for monthly income X 10

    But there are also tons of other factors.

    How long has the site been making money?
    How long has the site been up?
    Is it seasonal?
    ect.
     
    aaron_nimocks, Mar 25, 2006 IP
  3. maybach

    maybach Peon

    Messages:
    69
    Likes Received:
    2
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #3
    Thank you for your reply, Aaron.
    Site is in adsense for 3rd year, and it makes 2K for 1 year
    It's up from 2001
    Automotive, no seasons )
     
    maybach, Mar 25, 2006 IP
  4. aaron_nimocks

    aaron_nimocks Im kind of a big deal Staff

    Messages:
    5,563
    Likes Received:
    627
    Best Answers:
    0
    Trophy Points:
    420
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #4
    Without looking at it I would guess 20k then. Maybe even more if its all US based and YPN can be used on it.
     
    aaron_nimocks, Mar 25, 2006 IP
  5. alvarez16

    alvarez16 Well-Known Member

    Messages:
    1,315
    Likes Received:
    26
    Best Answers:
    0
    Trophy Points:
    150
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #5
    It makes 2K per year or per Month?
     
    alvarez16, Mar 25, 2006 IP
  6. maybach

    maybach Peon

    Messages:
    69
    Likes Received:
    2
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #6
    monthly, as stated in thread headline
     
    maybach, Mar 25, 2006 IP
  7. sji2671

    sji2671 Self Made Mind

    Messages:
    1,991
    Likes Received:
    144
    Best Answers:
    0
    Trophy Points:
    170
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #7
    I think you mean profit.

    The stability/history and source of your traffic would be factors, if you can show a stable traffic source for a long period it increases value.
     
    sji2671, Mar 25, 2006 IP
  8. aaron_nimocks

    aaron_nimocks Im kind of a big deal Staff

    Messages:
    5,563
    Likes Received:
    627
    Best Answers:
    0
    Trophy Points:
    420
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #8
    Your right. :eek:
     
    aaron_nimocks, Mar 25, 2006 IP
  9. EGS

    EGS Notable Member

    Messages:
    6,078
    Likes Received:
    438
    Best Answers:
    0
    Trophy Points:
    290
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #9
    $24,000+ IMO. Profits can only rise, right? :D
     
    EGS, Mar 25, 2006 IP
  10. sji2671

    sji2671 Self Made Mind

    Messages:
    1,991
    Likes Received:
    144
    Best Answers:
    0
    Trophy Points:
    170
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #10
    No, as Aaron rightly stated it depends how long the site has been earning well, the stability of the income and the traffic. How much of the traffic is reliant on free search rankings - they could change overnight, how much of the traffic is bookmarks etc.

    Broadly speaking $20k but if there were other factors that added security to a buyer it may be more, further if its traffic/earnings do not have enough history/reliability it could well be less.
     
    sji2671, Mar 25, 2006 IP
    Seiya likes this.
  11. Seiya

    Seiya Peon

    Messages:
    4,666
    Likes Received:
    404
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #11
    Exactly, it depends on how much traffic history and profit history you can proof... and on the potential buyers bids... good luck.

    My price range would read $15k to $20k
     
    Seiya, Mar 25, 2006 IP
  12. KA1

    KA1 Peon

    Messages:
    451
    Likes Received:
    11
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #12
    Any of the monthly $2000 earned through paid advertising by yourself, like adwords? If so, how much?
     
    KA1, Mar 25, 2006 IP
  13. DirtyDog

    DirtyDog Well-Known Member

    Messages:
    383
    Likes Received:
    18
    Best Answers:
    0
    Trophy Points:
    108
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #13
    10 x is a decent starting point but there are a lot of other factors. I have seen domain names go for 75k and sites with no income at all go for over 400k. I think that site whatismyip.com sold for over 400k on Ebay last year and I don't believe that it had any revenue at all - but it had huge traffic.

    If I saw a fantastic site in my niche that had no revenue at all, the quality content might be worth 10k or more to me.
     
    DirtyDog, Mar 25, 2006 IP
  14. aaron_nimocks

    aaron_nimocks Im kind of a big deal Staff

    Messages:
    5,563
    Likes Received:
    627
    Best Answers:
    0
    Trophy Points:
    420
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #14
    Which is definetly true. For a recent example on these forums a recipe site sold for $5600 that wasnt monetized. Basically people bought the site/traffic.
     
    aaron_nimocks, Mar 25, 2006 IP
  15. maybach

    maybach Peon

    Messages:
    69
    Likes Received:
    2
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #15
    No, absolutely no paid advertising.

    Mainly Google traffic, then Yahoo! and MSN.
    Website is included in Yahoo! Directory

    As for traffic history - it is available thru independent counters with data from 2001.

    As for profit history - I can show google adsense table with all income from the moment of joining adsense. As for vibrantmedia - the same.

    Ok, thank you very much, you were very helpful.
     
    maybach, Mar 26, 2006 IP
  16. Foggy

    Foggy Link and Site Buyer

    Messages:
    924
    Likes Received:
    159
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #16
    Some major issues seem to be missing from most peoples' evaluation. Stability of income is important, yes. But two points this thread really needs.

    1. When you're talking multiple of income it's net income after all expenses. Since you don't advertise there are costs like hosting, software licences etc. that need to come out of the profit before you get to net income.

    2. Salary: Salary needs to come out too. You don't pay yourself a salary? It doesn't matter. If you spend your own time working on the site you have to deduct a fair salary. more
     
    Foggy, Mar 26, 2006 IP
  17. DirtyDog

    DirtyDog Well-Known Member

    Messages:
    383
    Likes Received:
    18
    Best Answers:
    0
    Trophy Points:
    108
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #17
    1. Net income IS profit and that was mentioned here already.

    2. So if a site is making 70k per year and your "salary" is 60k per year then the "net income" the sale is based on will be 10K? That is absurd. A salary is exactly what people are buying here. You know - the ability to make money?
     
    DirtyDog, Mar 26, 2006 IP
  18. Foggy

    Foggy Link and Site Buyer

    Messages:
    924
    Likes Received:
    159
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #18
    Salary and "ability to make money" are two different things. Salary is compensation for time spent. Profit is compensation for money invested/risk taken. Maybe you should speak to an accountant or business broker one day to see how it really works. ;)

    If people are "investing money" to buy salaries that's their own stupidity.

    Two sites come up for sale
    Site 1: Makes $10K, runs itself, BIN $10K
    Site 2: Makes $11K, requires your full time attention (minimum 50-60 hours per week), BIN $10K

    You are saying that Site 2 is the better deal!
     
    Foggy, Mar 26, 2006 IP
  19. DirtyDog

    DirtyDog Well-Known Member

    Messages:
    383
    Likes Received:
    18
    Best Answers:
    0
    Trophy Points:
    108
    As Seller:
    100% - 1
    As Buyer:
    100% - 0
    #19
    Time spent is obviously a factor in the value of a site. However, I could pay myself a "salary" of 60k per year for 5 hours of work per month or 200 - it's completely arbitrary.

    Investing money in a salary is stupidity? Why do you think people buy businesses?
     
    DirtyDog, Mar 26, 2006 IP
  20. Foggy

    Foggy Link and Site Buyer

    Messages:
    924
    Likes Received:
    159
    Best Answers:
    0
    Trophy Points:
    0
    As Seller:
    100% - 0
    As Buyer:
    100% - 0
    #20
    I already know. I've bought and sold more than my fair share. After working for years as an accountant I specialised in M&A work and dabbled in everything from MBOs to IPOs to asset stripping.

    You account for a reasonable salary on which you are taxed in a certain way. The remainder is profit which is usually taxed less. You really should speak to a good accountant ... or at least read that page I linked you to.

    Yes. Especially when you can get a salaried job without risking any of your own money. Yes, yes, yes, and maybe one day you'll thank me for teaching you a valuable money lesson.
     
    Foggy, Mar 26, 2006 IP