how to price my site for selling

[nextway]

I want to sell my site my website. I heard generally you figure out your revenue for a year then the asking price would be half of that? If thats the case what about adding more on the price for potential revenue etc if the site was developed properly targeting the traffic that is already proven to spend lots of money. Can I add that in to the overall sale price as well? Anyway I am hoping to hear some tips and learn so i know when i sell my site both the buyer and myself are getting the right price.

 

[JEsports]

I use the following factors when determining website value (not necessarly in this order):

1) Domain Name
2) Type-In Traffic
3) Incoming Links
4) Search Engine Ranking (Google, MSN, and Yahoo)
5) Search Engine Traffic
6) Referrer Details
7) Origin of Traffic
8) Current Income
9) Potential Income
10) Keyword Bid Amounts
11) Overall Design of the website
12) Google PageRank

I think these are all important factors when estimating value of a website.

Good luck

John

 

[GT Web]

I want to sell my site my website. I heard generally you figure out your revenue for a year then the asking price would be half of that? If thats the case what about adding more on the price for potential revenue etc if the site was developed properly targeting the traffic that is already proven to spend lots of money. Can I add that in to the overall sale price as well? Anyway I am hoping to hear some tips and learn so i know when i sell my site both the buyer and myself are getting the right price.

Very good question.

I don't buy many sites, but when I do, I often disregard revenue figures. I may be in the minority in this, but there are others like me. Basically, your site can still be very valuable even if it generates no revenue. An experienced buyer will look at POTENTIAL revenue as well as current revenue.

Your best bet is to post it for sale and see what kind of offers you get - this will give you a rough indiction of the value of that site.

 

[nextway]

[order):

1) Domain Name
2) Type-In Traffic
3) Incoming Links
4) Search Engine Ranking (Google, MSN, and Yahoo)
5) Search Engine Traffic
6) Referrer Details
7) Origin of Traffic
8) Current Income
9) Potential Income
10) Keyword Bid Amounts
11) Overall Design of the website
12) Google PageRank

I think these are all important factors when estimating value of a website.

Good luck

John[/QUOTE]


Is there anywhere on the net that finds out all that info for you or like a broker who would sell the site like a house or whatever for a commission

 

[insomnia]

I suppose you could get it appraised by some service but that usually isn't worthwhile. Base your price on (in my opinion):
- revenue you'll miss out on
- work you put it on, or $'s invested
- value of domain
- value of traffic and placements in SEO

Revenue is probably the biggest contributing factor to sale price. People want profitable assets, and depending on the type of revenue your site grosses, you base your price on that.

 

[JEsports]

Is there anywhere on the net that finds out all that info for you or like a broker who would sell the site like a house or whatever for a commission

Your webalizer and awstats found in your Cpanel website data would be able to tell you a lot of this information.

You can look up yahoo/ovt keyword bids here: http://inventory.overture.com/d/searchinventory/suggestion/

This will get you started ... If you post the website we might be able to help more even though this isnt the appraisal section.

 

[nextway]

Its more of a semi adult website that has to do with listings of peoples personal webcam sites some of them with members area's so I dont know if i should post it here. Right now I think traffic is about 5 to 6000 uniques a day and revenue has stayed steady through resellers and affiliates. I have really done absolutely nothing to the site in 5 years other then changing banners and affiliate urls. It earns probably just roughly about 500 to 600.00 usd a week. I know one site listed and in 3 months made a total of about 15,000 dollars from the traffic referred from my site so I know my traffic is not afraid to spend money....this is based on the commissions i was paid from the site listing. With my google tool bar it says my pages are about a pr4 last time i looked. this is waht alexa says to if that matters "Traffic Rank for xxxxxxxx.com: 124,931"

 

[DNPlan]

I want to sell my site my website. I heard generally you figure out your revenue for a year then the asking price would be half of that?

If by revenue you mean "Gross Revenue" before expenses, then that is actully pretty common ... but for quality sustainable revenue, that price can sometimes go to 1.5 times revenue ... if that revenue comes from a source that can not easily be duplicated and can reliably be expected to be sustained.

If thats the case what about adding more on the price for potential revenue etc if the site was developed properly targeting the traffic that is already proven to spend lots of money. Can I add that in to the overall sale price as well?

Potential revenue ... probably not ... most buyers will "discount" future revenue based on the "risk" of whether that revenue will actually materialize ...

Quality site development that attracts targeted traffic ... yes ...

Anyway I am hoping to hear some tips and learn so i know when i sell my site both the buyer and myself are getting the right price.

There is rarely a "right" price ... in most cases, a seller sells at a price that is more than they think they could otherwise make from the site and in most cases, a buyer buys at a price that is less than they think they will be able to make from the site ...

In most cases, there will be a large gap between the two ...

Let me give you an example ... I bought a website that the seller was neting about $30 a month ... he was grossing about $60 a month in Adsense fees and spending about $30 a month in Adwords fees ... so in theory, it should make about $360 a year in revenue ... relatively well designed site, almost everything done "right" ... I paid him six months worth of revenue for the site, he got a good deal ...

So why did I buy it? Because a buyer has to believe that they can do better ... right? I looked at it as website that I could write and sell an eBook on ... that I could convert some of those $0.12 adsense revenue clicks into a $7.95 eBook sale ...

There is too much risk in future streams of income ... a buyer is always going to believe that they could do something better to increase the revenue ...

A sophisticated buyer will recognize the quality of a website, you don't need to worry about that.

... you will want to "sell" the potential that a buyer can bring to the website if only they owned it <grin> ... you want a buyer to believe that they can do a better job than you <grin> ...

... if there is nothing that I can do to "improve" the performance of your website, the only thing I can do is discount the future revenue of the website. You want me to think I can do a LOT better thus I will place a premium value on it ...

If you scan through some of the for sale listings ... you should now be able to spot good sales copy ... and you should be able to spot what buyers respond too ... and you should also check out what "questions" people ask over and over again and make sure those questions are answered right up front ...

Find these listings ... and you will find a few people getting 8 months, 10 months, and sometimes 18 months revenue ...

Greg

 

[ERCollins]

Wow, finally there are some people starting to put real thought into their posts on this board.

JEsports: Comments seem to be complete.

You also need to understand how much your domain/website is making now and what the going revenue rate x years is going for that type of domain/website.

 

[SouthernTn]

I want to sell my site my website. I heard generally you figure out your revenue for a year then the asking price would be half of that?

From what I've seen, that is usually for a quick sale/fast money. Most websites that get alot of SE traffic with very little to no advertisement at all and still bring in a nice income with little work also, I wouldn't be surprised at all if you got 18 - 24 months revenue/profit (w/e) for it.

and then again, it always come down to the buyer.. If the buyer just wants it, and won't even take a little time to work on it, then that person isn't into investing that much money more than likely.

 

[nextway]

Thanks all for taking the time to post I appreciate the input Thank you very much.