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Question About Buying A Website +Rep

Discussion in 'General Business' started by Matagascar, Oct 16, 2008.

  1. #1
    Hey,

    I am interested in purchasing websites, but I am not sure how many months revenue is a good amount? I've seen people sell for as little as 2 months revenue, while others are expecting a lot more.

    I also realise that revenue shouldn't be the only thing a buyer looks at when purchasing a website, but that's all I am interested in at the moment.

    So the question: How many months revenue do you think is a suitable amount to pay for a website or what's the average?

    +Rep to all helpers. Thankyou.
    SEMrush
     
    Matagascar, Oct 16, 2008 IP
    SEMrush
  2. Bigman012

    Bigman012 Peon

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    #2
    I believe the general rule is three months of revenue, although I've seen many larger sites go for 6-12 months of revenue. Best you can do is see what similar websites are selling for and use your best judgment when buying/selling.
     
    Bigman012, Oct 16, 2008 IP
    Matagascar likes this.
  3. Noc

    Noc Active Member

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    #3
    I think that with a good theme and a nice and unique site. 10 months revenue is fair. It mostly depends what your buying. For example a really nice proxy might only go for 3 months revenue, because a proxy might die and is usually unreliable consistent source of revenue.
    Hope that helped a little,
    Noc
     
    Noc, Oct 16, 2008 IP
    Matagascar likes this.
  4. Matagascar

    Matagascar Well-Known Member

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    #4
    Thank you for your input. A few more opinions would be great.
     
    Matagascar, Oct 16, 2008 IP
  5. thespotter

    thespotter Member

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    #5
    1) In demand topic
    2) Premium theme
    3) Unique content
    4) Easy Maintenance

    Can or cannot have revenue.

    Depends on what you want to do with the website.
     
    thespotter, Oct 17, 2008 IP
  6. akdiver

    akdiver Well-Known Member

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    #6
    Depends on the type of site.

    Generally it is 10 months revenue but there are a few exceptions

    Proxies 3-6 months
    Directories 4-7 months
    Blogs 6-10 months
    Forums 10+ months

    But obviously there are many many variables with that.
     
    akdiver, Oct 17, 2008 IP
  7. kiteguy123

    kiteguy123 Guest

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    #7
    It depends. From observing the 'Sites' section for some time, I've realised that smaller sites can go from just 2 months of their revenue while big sites can go for 12 months, and even more. Basically, if the site is going to carry on making a good and constant revenue then it will go for more.
     
    kiteguy123, Oct 17, 2008 IP
  8. Chios

    Chios Well-Known Member

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    #8
    If the site is a clone of a clone (everyone has one) then 2-3 months revenue might
    be OK but if the site is actually a new idea or custom made and you can see potential
    then I don't see why it can't be sold/bought at 12x or even more
     
    Chios, Oct 17, 2008 IP
  9. Seqqa

    Seqqa Well-Known Member

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    #9
    Websites normally sell for 12-24 months revenue sometimes less, a websites value is normally based on assets such domain, PR, Backlinks and revenue.

    The raw code the website itself has no value what so ever really.
     
    Seqqa, Oct 17, 2008 IP
  10. ceweqsakti

    ceweqsakti Banned

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    #10
    1.earning
    2.unique
    3.old of this site
    4.Price
    Good luck for you
    Buy a good website
     
    ceweqsakti, Oct 17, 2008 IP
  11. fireurimagination

    fireurimagination Active Member

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    #11
    Somehow this xyz month's revenue doesn't go inside my head, what I will look for is

    (1) Amount of content, also quality
    (2) Basics of the site (backlinks, age, SEO, reputation)
    (3) Potential i.e. what you want to do with the site
    (4) Amount of work gone in the site by the seller
    (5) Competion and life of teh business

    I beleive suppose you get a site for 12 months revenue then keep it for a year, you will get your money back and then sell it, great 100% return in a year
     
    fireurimagination, Oct 17, 2008 IP
  12. MTbiker

    MTbiker Well-Known Member

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    #12
    Those figures are probably the most common methodology when it comes to sales on forums like DP. New sites without much history usually fall under those guidelines.

    But a good, stable site will be worth 2-5 years revenue, or more. For example, DMOZ is a directory, but I have a feeling it would sell for more than 4-7 months revenue.

    Likewise, TechCrunch is a blog, but it's worth a lot more than 6-10 months revenue.
     
    MTbiker, Oct 17, 2008 IP
  13. netpox

    netpox Active Member

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    #13
    Revenue sometimes has nothing to do with it. I'm selling a website right now for $7000 and after hosting expenses you break even.
     
    netpox, Oct 18, 2008 IP