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-   -   Just curious... Whats the going rate for a paysite these days? (https://gfy.com/showthread.php?t=777985)

Anna_O 10-20-2007 02:36 AM

Just curious... Whats the going rate for a paysite these days?
 
Do you calculate it by monthly revenue, and if so, is 12 months revenue a good or bad price? Not selling anything, just asking :)

After Shock Media 10-20-2007 02:42 AM

I think it must be a case by case basis unlike many others.
There is just no fixed multiplication table like some want.

Some examples, what percentage is affiliate traffic, what is internal, is it exclusive or licensed, whats the back end software if any, member base, retention rates, so forth.

Anna_O 10-20-2007 03:11 AM

As always you are a voice of reason here on this board ASM :) Didn't think anything mattered except revenue and maybe traffic. Lets just say it's an average site with average retention. 50/50 between internal and affiliate traffic. Would 12 months revenue be a high or low asking price?

Kolargol 10-20-2007 03:34 AM

it probably depends on how the buyer estimates income from the site in the future. I think that content matters a lot. If the site has lots of excellent quality exclusive content but the current owner is not very good in marketing then selling it for 12 months revenue would be too low. Also it depends what kind of content it is - if it's some micro niche content that is difficult to buy then the buyer may want to ask for supply of content for updates for a few months.

Violetta 10-20-2007 03:47 AM

Lots of factors really... Good luck IF you are selling :)

Anna_O 10-20-2007 03:55 AM

Quote:

Originally Posted by Rockatansky (Post 13262231)
Lots of factors really... Good luck IF you are selling :)

Maybe we are buying? ;)

Anna_O 10-20-2007 05:23 AM

Not easy to get an informative discussion going here...

Kolargol 10-20-2007 05:52 AM

well, you don't give much specific information either...

Brujah 10-20-2007 08:59 AM

Please don't sell, but if you do please sell it to someone who will do a good job running it. You have a great site(s).

After Shock Media 10-20-2007 11:01 AM

Quote:

Originally Posted by Anna_O (Post 13262187)
As always you are a voice of reason here on this board ASM :) Didn't think anything mattered except revenue and maybe traffic. Lets just say it's an average site with average retention. 50/50 between internal and affiliate traffic. Would 12 months revenue be a high or low asking price?

Why thank you.

Now I know you are not selling, there is no way in hell that the VAT tax hit or effected your business that bad. If it is then add a VAT geo ip sign up form that charges in Euro's and has the VAT on it.

You did not mention if it was mostly licensed and or exclusive material and if it is exclusive or patially what percentage of it is?

As for business threads on gfy, some of us have adopted the Lightbulb standard. Place that next to your initial thread as your post icon instead of the default grey note. They are like right below the advanced post text area.

I will be out a few hours, but look foward to your and maybe some others replies.

baddog 10-20-2007 11:07 AM

Lots of variables involved:

Age
income
content (exclusive or not)
if exclusive, can more be had?
verifiable income
scripts

to name a few

very few for one year income, but is a good starting point

digifan 10-20-2007 12:39 PM

Bump for you... don't sell cheap and don't buy too expensive sites lol.

Anna_O 10-21-2007 05:02 AM

Extremely hungover today, just bumping this now without adding any input... Maybe I'll contribute tonight when I feel better ;)

bns666 10-21-2007 08:06 AM

bump for more info :)

digifan 10-21-2007 09:58 AM

Quote:

Originally Posted by Anna_O (Post 13265031)
Extremely hungover today, just bumping this now without adding any input... Maybe I'll contribute tonight when I feel better ;)

Hung is ok.. but hungover?
:party-smi

Anna_O 10-22-2007 03:30 AM

Still feeling like shit, I'm getting too old for this, but here's another bump.

After Shock Media 10-22-2007 03:31 AM

Anna, you have not answered my question.

Anna_O 10-22-2007 03:44 AM

Sorry ASM ;)

It's mostly licensed non-exclusive stuff. Maybe 5% exclusive material.

Anna_O 10-22-2007 03:38 PM

Mump for ASM :)

BOSS1 10-22-2007 04:16 PM

Quote:

Originally Posted by Anna_O (Post 13271940)
Mump for ASM :)

if I buy some spots or partner account will it make you change your mind about selling?

Anna_O 10-22-2007 05:08 PM

Quote:

Originally Posted by BOSS1 (Post 13272262)
if I buy some spots or partner account will it make you change your mind about selling?


Huh? Please elaborate.

After Shock Media 10-22-2007 06:02 PM

Then dependant on sites rarity and time up, I would start around 8 to 12.

baddog 10-22-2007 07:17 PM

Quote:

Originally Posted by Anna_O (Post 13268627)
Sorry ASM ;)

It's mostly licensed non-exclusive stuff. Maybe 5% exclusive material.

If you are the buyer, you had better make sure it is transferable to the new owner.

Juilan 10-22-2007 07:43 PM

Quote:

Originally Posted by baddog (Post 13273094)
If you are the buyer, you had better make sure it is transferable to the new owner.

This is not to be overlooked, most content agreements have an extra fee or a no transfer policy in the initial terms of sale. Sellers very often will omit this kind of condition in a sale.

baddog 10-22-2007 07:56 PM

Quote:

Originally Posted by Juilan (Post 13273181)
This is not to be overlooked, most content agreements have an extra fee or a no transfer policy in the initial terms of sale. Sellers very often will omit this kind of condition in a sale.

I have brokered a few sales over the years. :)

BOSS1 10-22-2007 11:07 PM

Quote:

Originally Posted by Anna_O (Post 13272605)
Huh? Please elaborate.

Never mind, can we arrange for some of my galleries to show up on your tgps?

Anna_O 10-23-2007 02:47 AM

Quote:

Originally Posted by After Shock Media (Post 13272850)
Then dependant on sites rarity and time up, I would start around 8 to 12.

Thanks, that's good to know :)

Anna_O 10-23-2007 02:50 AM

Quote:

Originally Posted by baddog (Post 13273094)
If you are the buyer, you had better make sure it is transferable to the new owner.

Thanks baddog :) To be honest, I'm mostly checking up on what our little empire might be worth. It's going really well right now so it's either time to expand and buy a few more sites, or to sell and do something else...

Anna_O 10-23-2007 02:52 AM

Quote:

Originally Posted by BOSS1 (Post 13273719)
Never mind, can we arrange for some of my galleries to show up on your tgps?

Well, that depends very much of the quality of your galleries. Our spots are full, but if you have good stuff we might be able to find an opening.

After Shock Media 10-23-2007 02:59 AM

Quote:

Originally Posted by Anna_O (Post 13274178)
Thanks baddog :) To be honest, I'm mostly checking up on what our little empire might be worth. It's going really well right now so it's either time to expand and buy a few more sites, or to sell and do something else...

Well crap you also have a major traffic source at very least and probably some other assets that you did not even touch on.
Your program has been around awhile, has a sparkling clean image. However the one downside I would see is others concerned with you not running it. Wrong person buys it and it would fail, though that would not matter as much to you if you were already paid. I could however see some affiliates holding some sort of grudge against you if it did fail with new owners.

Would you be adding in the TGP with the pay sites?
Would you be signing a non niche compete contract?
Would you offer up a given amount of consulting time?
Would you sell it as a package or part it out which can be more profitable by my recent calculations?

Then reality wise how much time does it take you to run your program? When was your last audit to see where you could save some money without cutting quality?

Anna_O 10-23-2007 03:17 AM

Well, as I said I'm not at all sure I wanna sell it... Just feels like we've come to a point when it's time to make a choice. Might just as well expand the empire instead :)

IF we sell it has to be to someone who would take care of the program. This isn't just a biz, it's an empire that have carefully been expanded over a number of years with all the love a young child need. Or something like that ;) Never thought so much about this really, but of course I'd help with some consulting to make the program run smoothly.

We actually have two TGPs, but the other one is only 15-20k. And yes, they'd probably be included since they are a great revenue source for the sites, and if someone buys the program he/she would be pretty stupid not to buy them too.

Non-compete is not a problem. Time depends on how much you want to put into it. As it's set up now just for operation it's not more than an hour. But then you have to add content sometimes, make more fhgs and drive traffic to it also.

After Shock Media 10-23-2007 03:20 AM

Quote:

Originally Posted by Anna_O (Post 13274245)
Well, as I said I'm not at all sure I wanna sell it... Just feels like we've come to a point when it's time to make a choice. Might just as well expand the empire instead :)

IF we sell it has to be to someone who would take care of the program. This isn't just a biz, it's an empire that have carefully been expanded over a number of years with all the love a young child need. Or something like that ;) Never thought so much about this really, but of course I'd help with some consulting to make the program run smoothly.

We actually have two TGPs, but the other one is only 15-20k. And yes, they'd probably be included since they are a great revenue source for the sites, and if someone buys the program he/she would be pretty stupid not to buy them too.

Non-compete is not a problem. Time depends on how much you want to put into it. As it's set up now just for operation it's not more than an hour. But then you have to add content sometimes, make more fhgs and drive traffic to it also.

Honestly sounds like you should just train someone to run it for you so that you can allow that baby to walk on its own while you can concentrate on something new and fresh. Unless you really need the money.

Anna_O 10-23-2007 03:29 AM

Quote:

Originally Posted by After Shock Media (Post 13274253)
Honestly sounds like you should just train someone to run it for you so that you can allow that baby to walk on its own while you can concentrate on something new and fresh. Unless you really need the money.

No, it's not about the money. It's more about finding a new challenge. Either to take it to the next level or quit and find something entirely else to do. If I hired someone I still would worry all day that it isn't being run properly and so on...

This was mostly just trying to get an estimate on how much it's worth so I better can make a edjucated decision :)

After Shock Media 10-23-2007 03:31 AM

Keep it and work on something fresh.

Never kill passive incomes.

Anna_O 10-23-2007 03:37 AM

Quote:

Originally Posted by After Shock Media (Post 13274293)
Keep it and work on something fresh.

Never kill passive incomes.

Not entirely passive, I still write a personal update every day for FBA and adds content manually for that site. The thing is, I just can't do anything half-hearted (can you say so in english?). It's either all or nothing. Hence the expand or sell reflections.

After Shock Media 10-23-2007 03:42 AM

Quote:

Originally Posted by Anna_O (Post 13274311)
Not entirely passive, I still write a personal update every day for FBA and adds content manually for that site. The thing is, I just can't do anything half-hearted (can you say so in english?). It's either all or nothing. Hence the expand or sell reflections.

you said it right.

By training someone it would become passive.
Can you tackle a new niche yet still grow your empire. Something close but not in same realm?

Paul Markham 10-23-2007 03:43 AM

Quote:

Originally Posted by baddog (Post 13273094)
If you are the buyer, you had better make sure it is transferable to the new owner.

Good point. I get a few people every year who are trying to sell a site with "content" unless you own the content you own a license to publish, not the same thing.

It's to stop the content falling into the wrong hands and if people want it cheap it's one of the drawerbacks. We need to make a living. LOL

Paul Markham 10-23-2007 03:49 AM

When buying and selling anything the price is determined by the value of the product to both parties. Convluted answer but it's about right.

What is it worth to you and what is it worth to a buyer?

Anna_O 10-23-2007 03:57 AM

Quote:

Originally Posted by After Shock Media (Post 13274333)
you said it right.

By training someone it would become passive.
Can you tackle a new niche yet still grow your empire. Something close but not in same realm?

No, it's more a matter of expand or quit the biz entirely and do something completely different.

Anna_O 10-23-2007 02:32 PM

Checked with our major content suppliers and it's transferable as long as you sell everything, including domains. That's good to know ;)

Kenny B! 10-23-2007 02:39 PM

I have paid between 6 and 12 months gross sales for some of the sites I've purchased. I try and factor the age and exclusivity of the content as well as current revenues.


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