How much my dropshipping store worth?

[npaloski]

Hi,

2 years ago I created woocomerce website. Fist year was very slow, my store was new and I struggle to attract buyers, but my second year started paying off.

On average I making $1000 in profit per month, and basically sales are growing every month. I never spent money on ads or promotion, because I'm focused on SEO only. To be more precise on page SEO.

My main traffic source is Google search, generating 3000 visit per month. I'm very proud because the store is substantial via organic traffic.

Profits margins are good too. 70% is my profit margin. I working with agent in China via WhatsApp, who ships worldwide, but 90% of sales are in USA. He is very reliable.

Buyers are very happy with the products, I have only 2 complaints and 2 lost packages on 300 completed orders.

I considering selling my site, only because I can use some cash at the moment because I started building house, even truly I don't want to sell my store.

How can I value my website? I spent a lot of time and effort building it. I have 600 product, 300 product videos, 4 active social profile, and improving my SEO when I have free time. All product are in the same niche.

My biggest competitors in google ranking are Amazon and Ebay. I'm just behind them.

 

[npaloski]

Anyone?

 

[ninjachris]

still available?

 

[npaloski]

Yes

 

[npaloski]

The numbers are looking pretty promising last two months

 

[PayMonkeySS]

Wow amazing if you are no. 3 on this niche. Wait for some legit offers because I think it is worth 6-digit.

 

[npaloski]

Wow amazing if you are no. 3 on this niche. Wait for some legit offers because I think it is worth 6-digit.

I checked visibility today and my store surpassed Amazon and is sitting on no.2 place.

Combination of holiday season with my on page SEO is starting to paying off. The product I selling are amazing for gifts, and I expected increase of sales this months, but not on this level.

With this pace I will reach $10.000 in sales this December, which is amazing.

 

[PayMonkeySS]

I checked visibility today and my store surpassed Amazon and is sitting on no.2 place.

Combination of holiday season with my on page SEO is starting to paying off. The product I selling are amazing for gifts, and I expected increase of sales this months, but not on this level.

With this pace I will reach $10.000 in sales this December, which is amazing.

Then by all means, sell it for 7-figures. haha

 

[That Guy T]

Check out Flippa and see what similar stores with similar revenue are selling for. It really depends if you can find the right buyer.

I will say that eCommerce website values are down but if you find the right buyer for this you should be able to get atleast $5k

 

[npaloski]

Check out Flippa and see what similar stores with similar revenue are selling for. It really depends if you can find the right buyer.

I will say that eCommerce website values are down but if you find the right buyer for this you should be able to get atleast $5k

$5K will be the profit for December. I will be nuts to sell for $5K.

Flippa and Empire Flippers calculators have valued the store at $80.000 - $100.000 range.

 

[Boriss]

Try this valuation tool as-well: https://investors.club/valuation-tool/

With the valuations from Flippa, Empire Flippers and Investors Club, I would go to Flippa marketplace and see what the average price for selling a dropshipping business is, and compare it to your current business and take it from there in terms of setting an asking price.

I am not sure how much is the multipler is for such businesses.

 

[npaloski]

Try this valuation tool as-well: https://investors.club/valuation-tool/

With the valuations from Flippa, Empire Flippers and Investors Club, I would go to Flippa marketplace and see what the average price for selling a dropshipping business is, and compare it to your current business and take it from there in terms of setting an asking price.

I am not sure how much is the multipler is for such businesses.

Thank you. I tried and I got $65.000 - $80.000 valuation. Their selling fee is $4000 - $5000.

Anyway thanks for all the help, I will hold on at least 4 more months and then will reconsider selling the store.

 

[npaloski]

Didn't managed to hit $10k in sales this month, but I hit $8K. Unfortunately sales dropped a lot few days before Christmas. However I'm still satisfied, and I will be thrilled if I can manage $5K on average in following year. My focus will be on of page SEO and link building.

For now plan for selling is postponed.

 

[npaloski]

February was the best month so far, finally hit $10K in sales milestone.

 

[rollsmoj]

Best bet is to check out http://www.acquire.com
Better than Flippa, you can make a free account and check out other similar businesses for sale. They share a lot of info so you can determine a ballpark of what you'd be worth for niche/revenue/etc

 

[npaloski]

Thank you, I will definitely check that

 

[npaloski]

Not selling this store was the best decision I ever made! Last year I made $28.000 in sales. 4 months into this year and I sitting on $35.000 in sales. Never expected this kind of return when I started the website, especially because all sales are organic.

 

[npaloski]

New milestone, 1000 completed orders in 28 months. Not bad for organic sales.

 

[CanuckSEO]

You're killing it! Any particular reason for selling now that it's bringing in that much? Any reconsiderations?

 

[hideath]

Typically, it should anything around x25-35 your average monthly profit based on the last 6-12 months,
For a website with nothing invested in links, i wouldn't even sell it,

Personally, i've been stalking for easy niches with decent profit and simply competiting with them,
A small PBN and some niche-relevant auction domain could easily do the work, more ROI to be made,
You're exposing your niche and you might come up with new competitors if the website is not sold,

So, you might sell the website and it would be someone else' problem (if anyone to decide to compete at all),
Or, you won't find a good buyer/price and end up with at least a couple of new competitors competting for your traffic/keywords (if any once again)