www.ghillie-suit.net I am considering selling this website. I am updating it as we speak and just wanted to get an opinion on its worth before I try to sell it. It is a dropshipping website focused on a unique camoflaged clothing, called ghillie suits. I kind of threw the site together pretty quick and I am making it more presentable now before I try to sell it, so dont let the amatuer design through you off too much. It has been online for a year and has been doing surprizingly well. It makes between $500-$1100 dollars a month for an average of $750.00 a month for the past six months and that is pure profit. Total sales run around $2500-$4000 a month. For me the best feature is that it is listed on yahoo and msn's first page for almost any keyword related to my site and is curently 1 or 2 for my main keyword, ghillie suit, on yahoo. Plus it is listed at the top for all the common misspellings. So basically most of the traffic is free although I do run a small adwords campainge on google because google does not list me too well. My dropshipper is excellent and for the few hundred orders I have done I have only had one return (becuase the wrong item was shipped) and they took care of it immed. The site takes no longer that 30 min - 1hr a day to run, update and process orders. There is lot of room for growth. The product literally sells itself (it is that unique) so the more sells you make the more they will sell. I don't like to do international orders because my dropshipper does not, so I have to ship it to me and then ship out. There is a big market for them internationally that I have not taken advantage of. Also if anyone could figure out how to get it listed higher on google that would highly increase my sells. Higher profits could also be made if you bought bulk directly from the manufactuers. Any ideas for what I can expect to sell this site for would be greatly aprreciated along with any other suggestions. Thanks.
I would say it is worth 1 years profits plus whatever else you want to tack onto it. Sites that make that much money can be sold for 6 figures easily if you find the right buyer.
Thanks... I think you meant five figures. I would be very happy to get around 10,000 for it. I guess I will post it here and at site point to see if I get any bites.
no, I meant 6...if your site is making over $1000/month, why sell it for less than a year's worth of profit?? You can make some really good money *if* you find the right buyer.
I was reading somewhere that you should sell a website based on how much profit you make during one year multiplied by 3. So basicly if you average $750 per month this is about $5400 per year and multiplied by 3 it would be $16.200. But I guess you should prove to the buyer that your website is really making this money.
I heard that it would 1 year of profit value. e.g. if profit are 750$/month that would be 9,000. Proof of revenue required, of course. There is nothing testing on a marketplace to see what people are willing to pay.
Thats a brick and mortar equation.. (learned it in my business degree) If you sell a brick and mortar, its 1 years profit times 3 to 5 for newer businesses and 5 to 10 for old, established businesses. For websites, a lot can change in a year. I would say 1 years profit x 2. I think 3 might fly in the right conditions, but 2 is probably a safe bet.
I don't really want to sell it but I just really need the cash for a new project and to buy a engagement ring for my girlfriend. I guess if I dont get a good price for it, it would be smarter to bite the bullet and keep this steady money maker. I am going to list it for sale in a couple days. I will consider offers in the low $xx,xxx range.
site that relies totally on search engine rankings is always vulnerable to their whims, plus what if your dropshipper bails, so buying for more than a years profit would be risky.
With PPC you can always get traffic if organic traffic starts suffering (which typically the older the site the better the SE rankings...so this is unlikely). There is avery high click through and conversion rate with niche products so PPC does not really cut into profits much. Also I have relations with all the manufactuers if my dropshipper ever bailed. But I am sure they wont. They are very professional and reliable. Anyways I put the site up for sale here: http://forums.digitalpoint.com/showthread.php?t=228472 I allready have 1 offer for $10,000 through eBay but I think I can get more than that if I am patient.
shieldsty Internet sites are completely different from traditional store front businesses (coffer shop, clothing store etc..etc.) Unfortunately they Will never be worth as much as a storefront. Not because they are not making as much money, or in some cases more..but because the majority of websites for sale online generally are being sold by 35 and under owners. In addition, 95% of those interested in buying a INTERNET business are generally under 35, most under 28. This is an issue because they are not worth as much as the storefront buyer is, who are generally over 45 and older and 9/10 will not buy an internet business no matter how good it looks (this has been my exp. selling websites, they are "scared" of the internet) So in other words traditional business for sale pricing DOES NOT apply for internet businesses such as: 1 year net x3,or 12x net, or 24 x net... The main categories you price your internet business on our -Years est (Over 3 years..VERY good) -Month/NET earnings -Rankings -Time spent maintaining business (less time, more its worth) -Competition Taking those into consideration, and looking at your revenues, you could get around 5-7k for your business. To sell within 7-10 days I would ask aroung 5k. Anything more, you will not sell. Just being realistic, and to save you time if you need to sell in a hurry. List for over 10k and no one buy. Mike G
Well I am not sure you really know what you are talking about. I have had offers for 10k and 12k. They are not traditional offers but look more like a 5k down payment and then after a month of the webiste proving itself the rest is paid (which will not be a problem becuase the stats shown are accurate and sells continue to increase). If you make 100% of your investment back in a year you are making a good investment. It is just important for the buyer to do thier research to make sure the website will be around for that long and for an e-commerce site like mine there is no reason it would not be.
You can get an engagement ring for $8 at Wal-mart Seriously though, because you are selling actually products, have an inventory, and are pretty well established I would say $12,000. Good luck with the site and with your engagement!
Thanks, Having second thoughts on selling the site. Since I updated the site and made it look more presentable conversion rates have shot up. Almost $2000 in sales for the last 8 days and over $700 in profits. Imagine if I could get this puppy listed higher on google. My sales would increase enough to live off of. "Sorry honey no ring yet"!!!!
No one will pay 6 figure for a site that makes $1000 a month. Why would someone pay 10 years of revenue. Most people will only pay around 9 to 18months of revenue. And 18 months of revenue is if the site is unique and they have big plans for it.
Since you have had such a huge spike, I would wait 2-3 months to see if it is steady and then sell it so you can advertise it as making $6k a month. In the mean time just keep optimizing it to try and squeak out some more profit.