Business Valuation & Selling

[vanoxide]

What up BHW.
I have a Digital Products business on Autopilot generating around $7K monthly - 100 daily visitors only, conversion rate is really high. Transactions are between $15-$60.
What is the appropriate price for selling this business? Fairly new, made a couple months ago. Discord community with over 1000 members & a bright community. Potential is unreal.
What price should I be selling it for?

Thanks!

 

[sendlerad]

Why would you want to sell it? I smell BS...

Those are great stats... Just keep it & reinvest in paid ads, talk to your paying customer to improve existing products & add more features, if it's a SaaS-type product/service. Add ''AI twist'' if it's not already an AI-related project, that is a ''hot'' tech now... etc., etc.

Consider selling only when you see that you have reached a peak of possible growth. So bigger Tech companies, with deep pockets, could acquire for a 30-50x multiplier easily if they see potential in your Tech/product or customer base.

 

[vanoxide]

Why would you want to sell it? I smell BS...

Those are great stats... Just keep it & reinvest in paid ads, talk to your paying customer to improve existing products & add more features, if it's a SaaS-type product/service. Add ''AI twist'' if it's not already an AI-related project, that is a ''hot'' tech now... etc., etc.

Consider selling only when you see that you have reached a peak of possible growth. So bigger Tech companies, with deep pockets, could acquire for a 30-50x multiplier easily if they see potential in your Tech/product or customer base.

More focused on other things in the real world, some issues payment gateways. Not worth the headache for me.

 

[jaxbiz]

Congrats my man!

Was wondering if you would be willing to share what niche it is in, and how you gained your initial following (what type of marketing, etc.)?

Its kind of hard to evaluate what you should try to sell it for without these metrics but If I were you, just based upon numbers, I wouldn't let it go for anywhere under 90K

 

[Perb]

No one is going to believe those stats for a short period of time
Either get proven stats with proven traffic or wait at least a year for solid trail of finances - then its worth a lot.
PS what is the profit? Revenue is immaterial if the profit is 1%

 

[tylero]

I have a Digital Products business on Autopilot generating around $7K monthly - 100 daily visitors only, conversion rate is really high. Transactions are between $15-$60.

Is it a Shopify store? Can you share how you set it up? Do you run ads?

 

[paydette]

What's the profit?

payment issues is a red flag.

Too new to judge... but 4 x annualized profit is a good benchmark

 

[Mark Eternally]

I agree, something is not adding up here.

 

[vanoxide]

I understand some of you are skeptical, but the marketing I do targets only people who are 100% interested in our site, hence the high conversion rates.

 

[Mark Eternally]

I understand some of you are skeptical, but the marketing I do targets only people who are 100% interested in our site, hence the high conversion rates.

The skepticism kicks in not just because of your claim, but that you want to sell a business that is in your words, "on Autopilot". I own several businesses, and my goal is never to sell them, but rather to get them to the autopilot point so they just become steady streams of revenue. Sure, if the right buyer comes along I am not going to walk away from a deal, but once something hits "autopilot" mode, it is a bit foolish to abandon it. Also to clarify, your claim is a bit difficult to believe, especially with no "proof". (Even with "proof" I would be dubious.) In two months, you created a new business online that is currently running on autopilot and is generating $7k/mo. In forecasting, you would barely have enough data to start projecting next months revenue ... your business is just a baby and any figures you have would really need to be scrutinized along with your entire business model, processes, and everything else.

And for that reason, I am out.

 

[Perb]

I understand some of you are skeptical, but the marketing I do targets only people who are 100% interested in our site, hence the high conversion rates.

100% - I see
So this is either exaggerated, delusional or a complete load of .........

 

[vanoxide]

The skepticism kicks in not just because of your claim, but that you want to sell a business that is in your words, "on Autopilot". I own several businesses, and my goal is never to sell them, but rather to get them to the autopilot point so they just become steady streams of revenue. Sure, if the right buyer comes along I am not going to walk away from a deal, but once something hits "autopilot" mode, it is a bit foolish to abandon it. Also to clarify, your claim is a bit difficult to believe, especially with no "proof". (Even with "proof" I would be dubious.) In two months, you created a new business online that is currently running on autopilot and is generating $7k/mo. In forecasting, you would barely have enough data to start projecting next months revenue ... your business is just a baby and any figures you have would really need to be scrutinized along with your entire business model, processes, and everything else.

And for that reason, I am out.

I can certainly understand the skepticism expressed, as that does seem like an incredibly quick ramp up and significant revenue for a brand new online venture, especially one operating on semi autopilot status after just 2 months.

But, there is absolutely no reason for me to lie about this.

and I’m not interested in selling the business anymore - I was asking for a valuation.

As for the payment issues, most gateways do not like digitally delivered products sold on a seperate site outside of a marketplace.

Appreciate your response, but you’re clueless with all due respect.

 

[Perb]

I can certainly understand the skepticism expressed, as that does seem like an incredibly quick ramp up and significant revenue for a brand new online venture, especially one operating on semi autopilot status after just 2 months.

But, there is absolutely no reason for me to lie about this.

and I’m not interested in selling the business - I was asking for a valuation.

As for the payment issues, most gateways do not like digitally delivered products sold on a seperate site outside of a marketplace.

Appreciate your response, but you’re clueless with all due respect.

sure we are all "clueless" on BHW

 

[vanoxide]

sure we are all "clueless" on BHW

Don’t think I directed any words to you my friend. You do you.

Cause I’m some degenerate making a thread on BHW asking for valuation advice for my non existent business, yeah okay buddy. Enjoy your day.

 

[Perb]

Don’t think I directed any words to you my friend. You do you.

Cause I’m some degenerate making a thread on BHW asking for valuation advice for my non existent business, yeah okay buddy. Enjoy your day

I see. Definitely not your buddy.