It is 2 boards for starters and for the "player" comment, I have no reason to act like one.

How long have people been paying $35 for a $2.99 transaction?

Have any major programs changed hands in the last 7 years?

Anytime I see anyone use the term EBITA
I must say I get impressed-


It just tells me there are some REAL businessmen this left in this business.

Thanks Marty you gave me some hope going into this tradeshow that I will meet and talk to some old schoolers who know about business and don't do business with people just because they bought them a drink...

:-))

SORRY, quoted the wrong guy :)

Actually he wasn't...if I remember correctly is was the thread where pichunter was trying to sell for some insane $$ amount. Lens was just putting his 2 cents in.

Like I said this business is very volatile, its not like you're buying general electric or coca cola where you can have a realistic 10 year business plan/outlook.
We don't even know what's going to happen in this business next year.

You're right that it would be insane to sell for 6 months profit, unless you're just ready to retire and don't want to let the business die....but that's why there's not lots of people buying and selling in this business. (Pierre of worldsex being the exception to the rule of course)

Lenny, it's a lot harder to start up then you think.
You will soon find out Grasshopper! :jester

Walking into a profitable business that has so much content
that you can open lots of sites is great!

We have enough video to make 40 - 70 min DVD movies.

Traffic and daily sales in place are a huge factor.


I am not selling anything, but if the right offer comes my way I may consider.

I have been all business for years and years, its just when i came to GFY, things turned around...I started dealing with surfers telling me off for sig placements.

lol

Are you saying you think programs will continue to pay $35 for a $2.99 SU in the future?

Well, speaking for myself, I doubt that I could build back up to 850 affiliates any quicker than that, unless it was the same people that followed me to a new program.

Yes, this business is very volatile.

** 50 MILLION **


Buy me out!

Selling a TGP that makes $1000 a month compared to selling a program with 30,000 active recurring members.

3-6 months makes sense for the TGP but those active rebills in the program can go on and on, declining of course, for quite some time.

If the sites were well promoted then there would still be a nice amount of traffic hitting the sites regularly.

Really, how do you just BUY an affiliate program

Yes and no need to show me that spreadsheet from Alex.

If you find a significant business that someone is willing to sell for only 3 to 6 months earnings I'd run like hell from that deal cause I guarnatee you, there will be lots of unpleasant surprises once you take over.

You'd have to be a complete lame brain as a seller to sell a solid moneymaking business for so little.

Just my 2 cents and speaking from years of experience looking at deals . . .

The funny thing is there are some players that would probably let go of their goldmines for 2 to 3 years earnings and you'll get a really good business.

Yeah but you forget, I've got my MOJO baby....YEAH :xmas-smil

And I was there when you started.....with that shitty, black background, one page members area that converted like 15% of trials...LOL

I know what I'm getting into.

Your are very correct,

I have been around since 1997 and have seen a few deals.
I have worked for 2 major programs, 1 was the largest program
known to mankind in 1998/1999 ( Xpics )

Well, with all due respect to Lensman, he is crazy . . . or thinks the seller must be.

Honestly Lenny,

If it can be done, you will be able to do it!

I have faith in you.


I had help Lenny, the BUSTY AMATEURS complete members list :small-smi
I went from 300 members to 5,000 in 2 weeks in 2001.

Interesting thread, let's of great opinions. It's funny reading threads like this though, you can really see who has a good grasp of BUSINESS and who has money and common sense. I'll be that last person to judge either of them, but the different perspectives are certainly intriguing.

Carry on. :thefinger

I wish I could still buy Pichunter for 250k JEEEEEEEEZ!

It would be paid off in 5-6 months.... :Buck:

DH

Usually by wire.

Two things

1) Nobody keeps members for more than 6 months (oh maybe you have one or two guys that have been there for years but we need to look at averages)

2) Alot of times when paysites are sold the previous owner keeps the rebills for all of the members that were there when the site was sold, the new owner gets credit for all of the new sales/rebills etc.
Basically in a deal like this you're buying the sites/domains/traffic/content and that's it.....if you're going to buy the members too then you'll pay per member based on the average retention of the site which is probably no more than.....you guessed it....3 months.

:2 cents:

Agreed. I am brokering the sale of a paysite that has been around since '98 and I keep getting these idiots that want to offer 3-6 months income like my client should consider it a serious offer.

We get a good laugh from it anyway.

That's a deal I would not entertain.

Its possible that my memory is failing me but I'm 90% sure that's what he said.

But its just like the old saying...a business is worth whatever you can get someone to pay you for it.
Sometimes the DOW is worth 35 times earnings and sometimes its only worth 20...its all a matter of what the market will bear at a given time.

We have over 600 members that have rebilled over 12 months.

We have over 200 members that have billed over 18 months.

I guess 3 months is for the shitty sites that are not exclusive or niche.

:bigears

Which one?
The previous owner keeping the rebills or you buying them?

I bet you a loy of people would have sold real cheap when the 2257 scare was hotter a bit before the elections.

Previous owner keeping the rebills.

Rebills should go with the site :2 cents:

Agreed.


If you don't' sell the rebills, the price should be much lower.

Well, it sure seems that potential buyers were trying to use that as leverage.

In the case of the site I am brokering it is too bad they overlooked the opportunity as the price has gone up significantly since then.

No doubt.

Xpics is certainly a good example of caveat emptor.

No question.

The companies that keep their members long term are numerous and they aren't for sale for that reason.

Active recurring will go on and on. There will be a steady decline only if promotion stops and no new joins are taken but there will still be more then 1/2 even at the 6 month mark.

Alot of webmasters have no real idea on the value of programs
or perhaps their own programs.

Value should be depicted from:

Revenue (rebills)
Daily Revenue ( average new joins )
Traffic ( webmasters and surfers )
Content ( if its niche/exclusive )
Webmaster Database
Members Database

One important fact often overlooked, Has the program
maintained any growth or have the held steady for a significant
amount of time ?

This shows security in the site.

I run a large adult affiliate company. I was entertaining selling it but I don't really know what it would be worth.

I am very secretive about what I do here so privacy must be assured before I can give any details.

If you are interested in hearing about it email me.

james at yank me dot com