hitmeasap
Level X5
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I've never used Flippa myself and I have slim to none knowledge and experience which is why I reach out to you..
I stumbled across a quite interesting discussion yesterday where one guy claimed that most sites on flippa sells for 18 times the monthly income. - In that discussion there was literally 20-30 people who was angry and upset about this, and most of them agreed that this was in fact true.
What I started to think was this..
If a website earns $100 per month, they will sell it for $1800 according to the discussion. - But why would anyone get angry and upset about that?
Seriously, if I can buy a website that will make me $100 per month, each month, then I'll buy it for $1800 right now. The next thing I would do, is to wait 18 months and buy another site. And then another.. And another.. After 2 years I'd get $200 per month from 2 different websites and sure, I bought them for a total of $3600.. But these sites will bring me $200 each month.. So why not? - I can't see the reason why people get angry and I can definitely not see why people don't buy websites on a daily basis if it's that easy to make money.
So, for any of you with experience.. - Is it that easy and is this true?
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Great discussion Andre! And one I'm sure that many webmasters or bloggers would like to know. Especially those that would like to sell their websites! I've been buying and selling websites for 14+ years and have some Flippa trading experience. So I'd like to try and answer your question by restating and modifying your opening title/question a little. :)
Sites on Flippa [u][i]can go[/i][/u] for x18 of the monthly profits [b][i][u]if and only if[/u][/i][/b], the site has been trading and earning revenue for 18+ months or more. Although some sites that have been operating and trading for less than that, can sometimes sell for that much. That's because some sites have a lot of appeal to them. Or the domain is in a hot industry right now. Think PokemonGo domains at the time PokemonGo took off. And if the Flippa description does a good job of "pitching" that site. Even if the site has only been earning for 1 month so far.
However, in all my time in buying/selling domains and websites. The general consensus on how to value the domain/site from the start, has always been [b]6 months revenue worth[/b]. So if the site had been earning [b]$100 a month[/b] consistently for [b]6 months[/b], then the site would be worth [b]$600[/b]. However, some sites are older than that and have/are earning more than that for a longer time. Say a site that's been up for [b]1 year[/b], but has only been earning [b]$100 a month[/b] for [b]6 months[/b]. Then the average value of that site would be around 6 months worth of revenue still at [b]$600[/b]. However for older sites, for sites that have been operating / trading / earning for longer than that, say for 2 years or more (more than 18 months) then it is fair to value that site and ask for $18 months worth of revenue for it. So say $1800.
In fact, the older the site, the more money it's made, the more you can ask for it. Let's say you had a site that was 5 years old and was earning [b]$100 per month[/b] consistently for around [b]4.5 years[/b]. Then you could ask for up to 24 months revenue, or more for it. This is simply because sites that have been earning money for the longest, have the highest sustainability. Where as sites that have only been earning for a short period of time don't come with the same guarantee of sustainability. Basically, there isn't much to tell if it will continue earning for the same amount of time again and more so that you can earn your money back and more.
That was and is the rule of thumb I go by when valuing and selling and buying websites with and has done me well to this day. But to be honest and straight talking, you can value a domain/site at any value you want. Hell, you could list it up for $250k or even $1kk if you wanted! And by doing so would add some value to it in the eyes of people too (well some people). But you have to do your research when buying and investing in domains / websites to make sure the claimed earnings are legit and that they are sustainable!
So yeah, it's true, it happens. But people like to buy for as cheap as they can regardless! :)
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| SELECT * FROM members_ledger WHERE ip = ? AND added>=unix_timestamp(NOW())-86400 | 1 | SELECT querystring, added
FROM members_ledger
WHERE
ip = ? AND added>=unix_timestamp(NOW())-86400 | /opt/clerks-staging/docroot/include/functions/includes/security.php 398 fetchMemberLedger() include_once() |
| SELECT * FROM `questions` as q JOIN categories_faq as c ON q.catid=c.CATID WHERE (q.status=1 OR (q.status=2 AND userid='') ) AND q.quesid='20390' | 1 | SELECT q.*, c.seo as CatSEO, c.name as CatName, c.parentid
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| SELECT * FROM ratings_faq as r, seoclerks.members as m WHERE r.USERID=m.USERID AND r.upvote=1 AND r.PID=20390 LIMIT 5 | 1 | SELECT m.username FROM
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