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Thread: website value

  1. #1
    SitePoint Member
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    website value

    Can anyone give me a better idea on how to price up a website to see whats its really worth?
    I want to buy a couple of sites but i want to make sure im paying what i should be and not being conned.

    Is it 12 x monthly revenue still?

  2. #2
    SitePoint Wizard HarryR's Avatar
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    Hi,
    Personally I consider the '12x monthly revenue' figure to be a very rough guideline.

    Consider this situation, you are considering buying two sites that both make the same in revenue, you decide to do a little market research before hand to make sure it'll be a good investment.

    Site #1 is in a highly competitive market with everybody jumping on the bandwagon and is fairly high-maintainance.

    Site #2 is a well established niche site, but is expected to skyrocket in the next 12 months due to large corporations investing heavily in areas that complement that site's niche.

    Which one would you pick?

    It all comes down to your perception of how stable it is, and how much it's expected to grow in the 12 months after you buy it, and then ofcourse how much space you're going to allow for risk and unforseen factors.

    Just my 0.02p,
    - Harry

  3. #3
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    Well the websites im looking at , i know have good potential, and with some extra work i think could beat competitors. I think the sites that i want are more stable then ones on the market for the business im thinking of going into so i thanx for the advice on price.
    I think ill put an Auction bids in and stick to the 12 x rule loosely as you say and just make that my max bid. At the moment bidding isnt anywhere near that so im hoping to get some very good bargins


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