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  1. #1
    SitePoint Enthusiast
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    Mar 2006
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    profit share rather than sale?

    currently have a site on auction and have had a couple of offers where I would get something like a payment every month or a share of the site profit etc., rather than an upfront sale payment. I was wondering if anyone had any experience with this and what the risks are etc.?

  2. #2
    King of Paralysis by Analysis bronze trophy
    Join Date
    Jul 2004
    Location
    Ottawa, Canada
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    It's a risk because there are a ton of things that can go wrong with this kind of deal.

    The new owner might be clueless and run the site into the ground.
    The new owner has no great incentive to improve the site because it didn't cost them anything.
    The new owner can fudge the numbers to decrease how much you're getting paid.
    The new owner could just not pay you at all.

    If you're going to go this route, make sure you're dealing with someone trustworthy, ethical and experienced.

  3. #3
    Resident Grump BillyParadise's Avatar
    Join Date
    Apr 2005
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    Subic Bay / Toronto
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    what tke said. and get a good percent (50%+) upfront.
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    a more relaxed lifestyle. Mention SitePoint for special pricing.

  4. #4
    SitePoint Member
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    Jul 2010
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    If this is 5 years old and above 75% of your monthly earnings x 5 would be a good deal.


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