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-   -   Whats the formular to figure out what a website is worth? (https://gfy.com/showthread.php?t=218634)

tony286 01-08-2004 11:23 PM

Whats the formular to figure out what a website is worth?
 
What's the formula to figure out what a paysite is worth? I thought I had read on here once but couldnt find it. Thanks :)

[Brian] 01-08-2004 11:24 PM

# of GFY posts x 69

tbabe 01-08-2004 11:25 PM

if your selling on ebay, you just pick a number and then add a bunch of 0's

bhutocracy 01-08-2004 11:25 PM

used to be 6 x monthly profit. probably more like 3 x these days.

Jamie 01-08-2004 11:25 PM

$15 for the domain name

$15 for the transfer fee

Owning a .com, priceless

tbabe 01-08-2004 11:26 PM

Quote:

Originally posted by [Brian]
# of GFY posts x 69
thats a good way too

bhutocracy 01-08-2004 11:26 PM

Quote:

Originally posted by [Brian]
# of GFY posts x 69
haha.

SoundMan 01-08-2004 11:26 PM

well some one here before said 3 months revenue.

i think 6 months revenue

SureFire 01-08-2004 11:30 PM

3x the gross profit based on a year :)

bhutocracy 01-08-2004 11:31 PM

Quote:

Originally posted by SoundMan
well some one here before said 3 months revenue.

i think 6 months revenue

not with visa, acacia et al. It would have to be a pretty good/established site or easy fixer-upper for that kind of mark up. Also not hinge on traffic from a partner/ affiliated site/sites that's going to disappear after change of ownership.

Vitasoy 01-08-2004 11:42 PM

Quote:

Originally posted by [Brian]
# of GFY posts x 69
:1orglaugh

SoundMan 01-08-2004 11:47 PM

Quote:

Originally posted by bhutocracy


not with visa, acacia et al. It would have to be a pretty good/established site or easy fixer-upper for that kind of mark up. Also not hinge on traffic from a partner/ affiliated site/sites that's going to disappear after change of ownership.


well think about it? the buyer has to do jack shit!
as long as the TRAFFIC IS THERE! if there is no Traffic the site is worth shit... in the neg colum.. you need to have the TRAFFIC affiliates to change over to the new owner.

there are to many variables..

bhutocracy 01-11-2004 11:47 PM

Quote:

Originally posted by SoundMan



well think about it? the buyer has to do jack shit!
as long as the TRAFFIC IS THERE! if there is no Traffic the site is worth shit... in the neg colum.. you need to have the TRAFFIC affiliates to change over to the new owner.

there are to many variables..

you think a buyer has to do jack shit?? LOL! if it's not type in traffic or thousands of pages in search engines, ll's etc that aren't going to have referrers changed then there is NO SUCH THING as "the traffic is there" how many of those affiliates are there purely on personal deals with the previous owner or just good contacts the previous owner had? how many of them are going to jump ship to his next project? how many GOOD affiliates stick around forever and not onto the next hottest thing when their traffic gets sick of your sites?
A buyer takes on shitloads of risk and a shitload of work keeping affiliates happy and growing the site KNOWING FULL WELL the whole processing model could change at almost a moment's notice and acacia litigation is only a letter away.

It's not the late nineties. The sky isn't falling but it's not as high as it used to be. There would be very few sites that 6x monthly profit would be a good measure of worth unless they're in their first few months.

EscortBiz 01-11-2004 11:53 PM

depends on tons on things here are a few

does the site have exclsuive content?

are you selling it with X amount of preshot content for upcoming updates?

Does it have traffic on its own i.e. SE or good trades or is it mostly affiliates?

Retention record?

and more.

Gross/Net income for 6 months or since the start of the site?

Why are you selling?

Anyone serious will ask those questions.

KRL 01-11-2004 11:53 PM

Its very hard to calculate right now. There are a lot of factors that have to be considered.

I can't understand the logic though of selling any asset that's generating nice profits for only 3 month's earnings. That is totally foolish to do.

Why?

I wouldn't sell an asset for only 6 month's earnings either.

EscortBiz 01-11-2004 11:55 PM

Quote:

Originally posted by KRL
Its very hard to calculate right now. There are a lot of factors that have to be considered.

I can't understand the logic though of selling any asset that's generating nice profits for only 3 month's earnings. That is totally foolish to do.

Why?

I wouldn't sell an asset for only 6 month's earnings either.

Some people are desperate for cash thats how I found my best deals, not saying he is but ive seen people let stuff go for almost nothing because they needed the cash today.

KRL 01-11-2004 11:56 PM

Quote:

Originally posted by EscortBiz


Some people are desperate for cash thats how I found my best deals, not saying he is but ive seen people let stuff go for almost nothing because they needed the cash today.

I know its a hell of a deal for the buyer at 3 or 6 times monthly earnings.

In the real world that's called bending over time.

:1orglaugh

bhutocracy 01-11-2004 11:57 PM

Quote:

Originally posted by KRL
Its very hard to calculate right now. There are a lot of factors that have to be considered.

I can't understand the logic though of selling any asset that's generating nice profits for only 3 month's earnings. That is totally foolish to do.

Why?

I wouldn't sell an asset for only 6 month's earnings either.

99% of the sites being sold aren't men.com :) they're crappy tgps and small paysites.

EscortBiz 01-11-2004 11:59 PM

Quote:

Originally posted by KRL


I know its a hell of a deal for the buyer at 3 or 6 times monthly earnings.

In the real world that's called bending over time.

:1orglaugh

rarely happens in the real world if it does it usally involves some serious legal issues or some other drama story.

KRL 01-11-2004 11:59 PM

Quote:

Originally posted by bhutocracy


99% of the sites being sold aren't men.com :) they're crappy tgps and small paysites.

Doesn't matter how crappy.

If you have an asset making you $500 a month. To sell that for $1500 is stupid as fuck. Great deal for the buyer.

quiet 01-12-2004 12:00 AM

Quote:

Originally posted by KRL


Doesn't matter how crappy.

If you have an asset making you $500 a month. To sell that for $1500 is stupid as fuck. Great deal for the buyer.

i totally agree.

bhutocracy 01-12-2004 12:14 AM

Quote:

Originally posted by KRL


Doesn't matter how crappy.

If you have an asset making you $500 a month. To sell that for $1500 is stupid as fuck. Great deal for the buyer.

I'm not saying I would sell, as long as the effort to return ratio was ok I would never sell a money generating asset unless the offer was very substantial. But I understand why someone wouldn't buy. Dealing with acacia through your lawyer or getting your sites shut off at host level would be higher than $1500, any non us based webmaster is sitting on a potential total loss of members and money.

bhutocracy 01-12-2004 12:16 AM

Quote:

Originally posted by quiet


i totally agree.

I actually mentioned your sites as one of the few worth 6x + but then edited it out. Your situation is a little different being unique content, non-affiliate and well established.

Rictor 01-12-2004 12:17 AM

A website is worth whatever I'm willing to pay for it. What do you have for sale?

bhutocracy 01-12-2004 12:21 AM

Quote:

Originally posted by KRL


Doesn't matter how crappy.

If you have an asset making you $500 a month. To sell that for $1500 is stupid as fuck. Great deal for the buyer.

I wouldn't pay $3000 for most of the "$500" mo sites on offer. unless the seller was local and could be tracked down.
I'm exaggerating but it's russian MGP's and non transferrable rights paysites.. the only thing of value i've seen recently that was 6x + derived a lot from the domain that could be used for non-adult if things went pear-shaped.


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