How do you put a value on a paysite?

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  • onlytease
    Confirmed User
    • Sep 2003
    • 1553

    #1

    How do you put a value on a paysite?

    Just interested how you would put a value on a site.

    We are looking at possibly buying another established site, that has been running for a few years with a solid customer base (and is successfull in their niche).

    We know their turnover and also their net profit. So ballpark figures of how you work out a value, what multiple of the net profit would you be looking at?

    Cheers all

    Paul
    Paul L - OnlyTease / Only-Opaques / Only-Secretaries / OnlySilkandSatin / Art-Lingerie / Layered-Nylons
    Sponsor program at www.otcash.com
  • SGS
    Confirmed User
    • Dec 2002
    • 5176

    #2
    Is it exclusive content?
    See sig...

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    • onlytease
      Confirmed User
      • Sep 2003
      • 1553

      #3
      Originally posted by SGS
      Is it exclusive content?
      Yes it is.
      Paul L - OnlyTease / Only-Opaques / Only-Secretaries / OnlySilkandSatin / Art-Lingerie / Layered-Nylons
      Sponsor program at www.otcash.com

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      • TheDoc
        Too lazy to set a custom title
        • Jul 2001
        • 13827

        #4
        It depends on a bit of things, on going content costs and such is important. But I would say atleast from 2 years net to 2 years gross, in that range. If the owners have put in a rather large amount of money in content, then add another year or two.
        ~TheDoc - ICQ7765825
        It's all disambiguation

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        • SGS
          Confirmed User
          • Dec 2002
          • 5176

          #5
          Originally posted by onlytease
          Yes it is.
          And is it video / DVD content too?
          See sig...

          Comment

          • TheDoc
            Too lazy to set a custom title
            • Jul 2001
            • 13827

            #6
            Oh, and the more inhouse sales, the more the site is worth. If most sales are webmaster based, it's worth a lot less.
            ~TheDoc - ICQ7765825
            It's all disambiguation

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            • SilentKnight
              Megan Fox's fluffer
              • Oct 2005
              • 24812

              #7
              One way of lookin' at it is base the value on a year's gross revenues for the site. Some folks will add an additional amount depending on factors such as exclusive content, namebrand recognition of the site, copyright ownership or licensing issues, etc.

              I'd also ask a few experienced webmaster pals who's judgement I trust to offer their opinion on what they think the site's worth.

              Comment

              • onlytease
                Confirmed User
                • Sep 2003
                • 1553

                #8
                cheers all for comments
                Paul L - OnlyTease / Only-Opaques / Only-Secretaries / OnlySilkandSatin / Art-Lingerie / Layered-Nylons
                Sponsor program at www.otcash.com

                Comment

                • EroticySteve
                  Confirmed User
                  • Mar 2005
                  • 4365

                  #9
                  A solid history of financials that can be audited are a good start.

                  From there, look at current revenues along with projections for the upcoming years and months.

                  Add assets.

                  Subract liabilities


                  Most businesses then have a multiplier by which the value is factored with.

                  That's a simple formula but along the right lines.
                  You deserve to make more money. I'll help you do that.
                  Our affiliates earn up to $3/email or $107/sale

                  email steve <at> eroticy.com - icq 290153464

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