Taking a loan to buy a website

[fc-dh]

This idea is just playing with fire, there are so many unknowns regarding online marketing and SEO.

What if the worldwide recession really kicks off (and it will kick off seeing the people that are "handling" it) and you get no visitors and no sales at all anymore.

You could lose your job bro, how are you going to pay for that loan then?

 

[thescrrr]

Sounds like a bad plan.

 

[Dark Hat 007]

I can't advise you but I know I'll not try that.... Too too too risky and bad investment imo.

You are probably buying the website at (at least) 30* it's monthly earnings, so 5000/30 that's $166 per month, let's say $200.

To pay of your loan with a 15% interest = 9,200.

So, that's Monthly income * 46 = $200 * 46, so almost four years before you pay off that loan from the site not to talk of ripping the benefits.

Look, the site can go up in income after you add your content, it could also drop drastically.

My calculations is based on it not dropping or increasing and even still, it is not funny.

Please, I don't think you should risk that.

 

[Kinu Actaz]

5 years back I took loan and purchased a website, after a few weeks the traffic stopped coming and lost earnings overnight.
I had to find a day job and it took me two years to settle my loan.
Go for it if you have sufficient fund as a backup. Prepare yourself for the worst case scenario.

 

[Humanize]

you already read all the expert talking.

Prepare yourself for the worst case scenario.

but if u still insist, get ready for this

 

[Merden]

With all this Google core update I can't advice you buy a site on a loan..However if you don't want to start from scratch you buy starter sites from flippa for 80$-150$

 

[Manish Lamrod]

with too many frequent updates, it is very risky ...
i lost lot of amount in may update. i purchased few affiliate sites and most traffic lost in may update.

 

[nSnoopy]

Go for it!
Every investment takes a risk if you know this and still decide its better to have a loan for an already earning website rather than start a new one from scratch the its your call.
Beforehand make sure you have some basic knowledge of that niche and a proper plan to expand.

 

[TheSplinter]

That would be one of the most stupid decisions someone could make. Buying an expensive website alone, even without the loan, is a stupid investment. You're essentially buying something you have no control of. You're dependent on many many variables and companies. Google can ban you. The server can ban you. The alghoritms can change. You can get hacked and your site can get screwed forever. There's just so many things that can go wrong with a website. Plus, this is a world where the rules change every year. What worked 2 years ago might not work now. The digital work moves very fast. It's not the place to make long term investments. Nothing is long term here.

 

[TweetTweet]

websites are cheap and easy to make. debt is dangerous. I wouldn't do it, even with the best business plan. Just make a new website business off similar but not the same business model, it cost like 5 dollars a month. Or you could make a shopify store with a free trial.

 

[yoheyyo88]

considering the times we have ahead of us with a financial crisis most likely to occur i would only invest what i have and not build more debts with loans...

build your own network, put effort and time in your work and make sure to minimize loans/debts

 

[ForTheLegacys]

Simply put: You're not buying a website. You are buying a business asset.

So treat it as such: check who the people behind it are, their proof of revenue, their reputation, the comparable competitors in that market.

 

[shandar]

If the site is worth and you can clear those loan for 100% then you can. It's all depends on your knowledge.

 

[SERP Tank]

I don't trust Google. An update can make you homeless.

 

[ElliotG]

This idea is just playing with fire, there are so many unknowns regarding online marketing and SEO.

What if the worldwide recession really kicks off (and it will kick off seeing the people that are "handling" it) and you get no visitors and no sales at all anymore.

You could lose your job bro, how are you going to pay for that loan then?

considering the times we have ahead of us with a financial crisis most likely to occur i would only invest what i have and not build more debts with loans...

build your own network, put effort and time in your work and make sure to minimize loans/debts

Alright you fuckers convinced me that this is a seriously bad time to take a loan with everything happening around. Will take time to save up money and work on 2 sites from scratch. I guess patience is the key. Thank you everyone for putting this into perspective.

 

[KCBoswell]

Is it crazy to take out a loan to buy a website?

For example, take a 8k loan, buy a niche blog website on flippa or a really good expired domain (up to 5k), invest in content (up to 1k) and the rest in link building.

Grow the website and then monetize it with ads/affiliate or just sell it with profits.

I have only worked with client websites up until now, maybe I am wrong. People with more skin in the game, please correct me if this is a dumb idea.

I have the same idea, only my thoughts are that you shouldn't take out a loan if the website isn't already cash flowing. I wouldn't pay $8K for a website if I'm not going to see the return on investment in a couple months or sooner. I purchased a website on Flippa for $200 but of course it's taking more manual work to find clients for the particular service but I feel the more you pay the more return you should be expecting without lots of manual labor.

 

[BassTrackerBoats]

With my current position in my country the 8k I could get in a loan I would save up in about 2 years, which is a very long period to save up for one website.

But you would develop character and end up with a sense of accomplishment.

 

[KindleHD]

I suggest buying a $50-100 expired domain , buy AI content generator and upload 10 articles per day on a post timer. Build links over 3 -6 months and you’ll have an authority site. SEO is time consuming but taking out a loan for it is a gamble not worth it

 

[TaiElonZuckerberg]

You should create your own website instead of buying it. Using the loan money, you will be able to rank it better than buying a website for 5k.

 

[malayan]

Is it crazy to take out a loan to buy a website?

For example, take a 8k loan, buy a niche blog website on flippa or a really good expired domain (up to 5k), invest in content (up to 1k) and the rest in link building.

Grow the website and then monetize it with ads/affiliate or just sell it with profits.

I have only worked with client websites up until now, maybe I am wrong. People with more skin in the game, please correct me if this is a dumb idea.

I got started online in 2005 and spent four years working on one site I owned (for lead gen) and client sites as part of the biz. When I finally got so good that I was making clients 50x what they were paying me I knew it was time to quit... Literally. There was one month a client paid me $1,400 for a month of SEO and I made him over $60,000 per month. My work eventually got him to over $3mil a year, he asked me to work full-time w/ him for 33% of the biz, and he actually stiffed me out of the performance bonus I was owed (after flying me across the USA to work w/ him and stranding me at the airport). It was at that moment I decided I would NEVER work for someone else again. The only saving grace was that he committed suicide.

If you're in that position (where you KNOW you're worth more on your own), then go ahead and take the leap to start your own thing. Just remember, you need to be properly capitalized to make it work... and spending 85% of the money on a domain name might not be the most appropriate allocation of seed money.

My advice to you is to actually think of a business you can create from scratch, then use whatever skills you have to make it succeed.

Don't buy someone's project unless you have experience rehabbing failed projects.