Actually I sold my mainstream company for 4 x last YEAR's revenue. This was back in the crazy days of year 2000 though. And the corporation which bought us went chapter 11 in the meantime. And their executives face serious legal actions from the SEC
Today, in "our" industry I believe it's very difficult to achieve a fair price for your business. Because ...
1) Most businesses are too small for a serious due-diligence.
2) It's very difficult to verify traffic figures (and that they are not just the result of a short-term ad campaign)
3) The adult industry as a whole is very unstable, and so are it's businesses (remember the new VISA rules
)
4) People in this industry seem to be unwilling to use the phone. They insist in using ICQ ... this behaviour prevents any serious negociations
