Websites are low capital investments, you can create a website with little to no investment at all. All you need is a hosting account and domain name, which can be purchased from any providers available in the market. This has become an effective business model for those with plenty of time in their hands, but only a few bucks in their pocket.
To take your website towards success first you must choose the right niche topic. If you write about topics that interest your target audience, you can take your website from no returns to $2000 to $5000 per month in less than 15 months. Many have made this a business, they would build websites from scratch and sell them for profits and use that money to repeat the process.
When is the right time to sell?
Not every website sells for large amounts of money, some make big cuts, while others will give more than your initial capital. If you’re are website owner and you’re website is making good money, the question here is when is the right time to sell your website? There cannot be one perfect answer to that question.
There can be many reasons why a seller would sell his website. It can be that the owner is not enjoying writing about that particular niche. The particular blog is not matching with the nature of the owner’s business, or his website has attracted buyers interest and they’re willing to pay a hefty amount for it. Whatever the reasons are one cannot say when is the right time to sell your website. But one thing is sure, your website will not become a star overnight, there is a lot of effort put in to make your website successful. It would take more than 12 months to earn money from it, Imagine how much time and effort it would take to bring it to a stage, where you can sell for profit.
How to value the website?
If you’re a full-time blogger, it takes double the efforts to make your website successful. Don’t forget that your website is also a business asset. So you must value it like all your other assets. But how do you calculate the worth of your website? You must understand the difference between what you think you’re website is worth and what the market is willing to pay.
If you want to increase the price investors are offering for your website, then you must focus on diversifying your traffic sources, maintain detailed traffic stats and clean history, improving your business in the market, stable growth of your website over the years, and growth potential of business even after the sale. Consider all the factors before finalizing a deal and accepting a price to your website. After analysing all the factors if you feel the prize is not adequate for your website, then wait till you find the right buyer. And there are many value calculation tools available on the internet, use them to calculate the worth of your website.
Factors involved in selling a website
Some of the factors you must assess before selling your website are yearly profits, sales, business growth trends, your market position, time taken to achieve your present position, internal and processes within your business, scalability of your business, customer acquisition channels. The buyer will look into all these areas before deciding to purchase your website, they will also help the investors in proposing a price to the website. Out of all these factors, the net profits and your website growth trend are really important, as the investors will look at current earnings and the future of the website. They would compare your business to peers in the industry to determine the price of your business. To maximise the investors offer, your website should perform well and have low relative risk and provide a great rate of returns. Any business with low risk will provide high premiums in the market.
Where to sell?
The market is vast and you would find more than one buyer if you go through the right channel. It also depends on the revenue it generates and it’s worth.
Broker: Brokers will not only help you in finding the investors, but they will also even help you in negotiating the price and finalizing the deal. It is better to have professionals handle it.
Market: There are platforms in which you can list your website for sale. If there are any interested buyers they would reach you and you can discuss price and finalize the deal.
Auction: On such platforms, the potential buyers will place bids on the business. It is best for small websites and startup projects.
Buyers
Who are the buyers who will buy your website? The buyers can be first-time buyers, brick-and-motor entrepreneurs looking to enter into the internet industry, private equity companies that purchase big businesses and maintain the management to grow that business. Investors have been in the industry for a long time and they have a good understanding of running a digital business. They buy websites to add one more website to their portfolio and grow their business. They purchase such businesses and help them in growing and flourishing in the market.
Conclusion
For a website to make more money you must show the investors that your website is worth purchasing and it has a future value that is a plus point for the investors. If you want your website to sell for a good value, then you must produce quality content and drive more traffic to your website. Your traffic stats play a huge role in bringing big buyers. Blogging is the easiest way of making money writing about the things that interest you. See that you’re site is both search engine optimised and provides content that is useful to the users. Build websites that have low risk and offer a high rate of return in the market. If your website is running on profits and it has future then investors are even willing to pay a premium price for your website.
