Do you think a content writing business is like a website re: sale value?

  • Thread starter Thread starter Deleted member 1333509
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You guys know the metric better than me for valuing a website when you want to sell it.... 20x or whatever it is of weekly/monthly revenue/profit (please can someone post the actual metric for my knowledge).

Do you think if I was going to sell my content production operation that it would/could/should be valued in the same way?

If I said to other content writers "You can buy my clients for x times weekly revenue" would that make sense? There are costs of a websites, but I guess it's a fair argument that there is more effort that goes into producing content.

Interested anyway to hear from content producers and non-content producers alike.. please note, not a sales thread in any way.
 
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More importantly, do you think that other copywriters would buy someone else's clients like that?
 
IMO, selling a business and selling a money making websites are two different things.

If I understood it correctly, your website is part of the business (and not a money making site on it's own), unless you're getting clients to that website using SEO then it's whole another topic.
 
It's serviced base. Can the business continue without you or not?

Do your writes come with it?

I think service based businesses are about 1.5-3x the net annual. You would either be better off selling the clients off to another service base provider that can afford it. Or try selling it off as a "internet based business" have no exp with that.

I sold off my client base to a design firm I was working with and got 2x my net for it and I was more than happy with that.
 
Well, don't think this is the same really.

- How do they know the LTV of these clients they buy?

Well, they were your clients, maybe they hate this new provider's writing style or complain a lot etc..

- How much did you charge?

If you were cheaper than the buyer then likely there is 0 value as they will be used to cheap pricing. Now, if you were more expensive, then the buyer might be inferior in his/her writing and the same issue as above.

Too many variables
- What kind of content
- Price of content sold
- Avg $ value ordered per client or just mainly one time?
- Which language? Which dialect?

etc. etc.
 
Intruder said:
IMO, selling a business and selling a money making websites are two different things.

If I understood it correctly, your website is part of the business (and not a money making site on it's own), unless you're getting clients to that website using SEO then it's whole another topic.
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No website, would be essentially selling the clients who are ordering content.

t2van said:
It's serviced base. Can the business continue without you or not?

Do your writes come with it?

I think service based businesses are about 1.5-3x the net annual. You would either be better off selling the clients off to another service base provider that can afford it. Or try selling it off as a "internet based business" have no exp with that.

I sold off my client base to a design firm I was working with and got 2x my net for it and I was more than happy with that
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Yeah that's what I'm thinking as well.. selling the clients themselves. You got 2x annual net?

Can continue without me. I wouldn't be writing anymore.

theRevolt said:
Well, don't think this is the same really.

- How do they know the LTV of these clients they buy?

Well, they were your clients, maybe they hate this new provider's writing style or complain a lot etc..

- How much did you charge?

If you were cheaper than the buyer then likely there is 0 value as they will be used to cheap pricing. Now, if you were more expensive, then the buyer might be inferior in his/her writing and the same issue as above.

Too many variables
- What kind of content
- Price of content sold
- Avg $ value ordered per client or just mainly one time?
- Which language? Which dialect?

etc. etc.
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Yeah in hindsight I agree, it's not the same thing.

What's LTV?

And yeah, good point on everything else you said. Right now it's really just a consideration for the future.
 
VSYNC said:
No website, would be essentially selling the clients who are ordering content.


Yeah that's what I'm thinking as well.. selling the clients themselves. You got 2x annual net?

Can continue without me. I wouldn't be writing anymore.


Yeah in hindsight I agree, it's not the same thing.

What's LTV?

And yeah, good point on everything else you said. Right now it's really just a consideration for the future.
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Ltv is lifetime value.
So basically if they order once or monthly. Based on monthly they'd be worth much more than I'd you had only one time orders.

Good luck
 
From what you said you are just selling your client database. So you can only sell as a strategic aquisiton. That will not have a lot of value as it is not a business.

It is a bit like me trying to sell a list of people who like to drink, rather than a bar!

Why dont you turn it into a business and then flip it? Then you will get a lot more.
 
VSYNC said:
Yeah that's what I'm thinking as well.. selling the clients themselves. You got 2x annual net?

Can continue without me. I wouldn't be writing anymore.
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Yeah 2x my net annual. Sold to an agency I used to freelance for.

I stayed on for 3 months during the transition period etc. They where a full service industry I know some of the clients who stayed the larger ones ended up increasing monthly spend with them after the move BUT that's only because they could do more in-house so for the client it saved them money in the longer term.

That's how I pitched it. Told my clients they would be moving over and I would be a point of contact for 3 months and how they would get an account manager and all that. IT all went smooth - some clients left after the transition BUT that wasn't down to me.
 
theRevolt said:
Good luck
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Thanks mate.

GringoMonkey said:
Why dont you turn it into a business and then flip it? Then you will get a lot more.
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Yeah that's a solid point mate. It's already an offshore company + site + etc etc but has really been condensed over the last year from lots of kind of valuable clients to a smaller number of high value clients - hence why the value would be in taking over the weekly quotas. Appreciate the insight/thought.

t2van said:
Yeah 2x my net annual
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Congrats on that, would have been a nice result.

t2van said:
That's how I pitched it. Told my clients they would be moving over and I would be a point of contact for 3 months and how they would get an account manager and all that. IT all went smooth - some clients left after the transition BUT that wasn't down to me.
Click to expand...
And a good idea for how to transition as well.
 
@VSYNC do you have a similar relationship to an agency that @t2van did? If not it will be difficult for you to do something similar.
 
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