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If a site makes $25k per month...

Discussion in 'BlackHat Lounge' started by orbit, Jul 30, 2010.

  1. orbit

    orbit Regular Member

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    Lets say its a super niche product that will be strong for years to come.
    Ships out physical product. Can all be handled with a few hours a day and
    some light outsourcing for phone calls, IM etc... Maybe 80% NET profit...

    What would you say it is worth?
     
  2. mapleleafz

    mapleleafz Junior Member

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    I'd say it's worth 25k a month
     
  3. Hunwarrior

    Hunwarrior Senior Member

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    rough estimate: $100K-150K based on the 6 months earnings rule
     
  4. howdoyou

    howdoyou Regular Member

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    A lot more factors go into putting a price on a business.
    Does the sell of the business come with a customer client database? Opt-In, Dubble-Opt-In?

    How long has this business been established?

    Have you had any down times in the last few years? months? weeks?

    etc...
     
  5. orbit

    orbit Regular Member

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    just trying to get an idea.

    i saw a site on flippa that was 2 months old, making $11k per month.

    selling bid went for about $110k.
     
  6. mgtarheels

    mgtarheels Regular Member

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    Typically, with sites like this you can expect 2-3 years revenue if it is sustainable. So, you're looking $500k+. I'd highly recommend a broker.
     
  7. BassTrackerBoats

    BassTrackerBoats Super Moderator Staff Member Moderator Jr. VIP

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    I wouldn't touch that site with a 10 foot pole.

    Not enough history to determine value.
     
  8. orbit

    orbit Regular Member

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    I totally agree. Plus the niche he's in... The buyer has NO IDEA what he got himself into...
     
  9. loclhero

    loclhero Supreme Member

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    Holy shit. I should've sold my e commerce bodybuilding site in 2005. I was pulling in $30-$50k/month in gross sales.
    Or maybe just get it back up to speed and profitable. 10 year old domain....I think this thread just inspired me.
     
  10. Hunwarrior

    Hunwarrior Senior Member

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    Could you show me a few example of that kinda valuation what you talking about? Like SOLD flippa actions? I doubt....
    Be happy if you can have 3 years of earnings for an offline biz, let alone online venture.
    Thou i am open for your sold auction examples at this end ;)
     
  11. Chronos

    Chronos Junior Member

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    80% profit on a physical product + other overhead? Sounds a bit skewed.
     
  12. GreenGoblin

    GreenGoblin BANNED BANNED

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    yea i have 2 agree, its hard enough getting 50% profit much less 80%
     
  13. orbit

    orbit Regular Member

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    That depends on your markup.
     
  14. IcedCube

    IcedCube Junior Member

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    No offense, but that is just a silly comment to make. We aren't talking about e-books here, or other info products that everyone knows are useless and will soon be void. We are talking about a major e-store that deals with physical products and won't go down in a matter of months.

    Every site that's brandable is worth that cash, and it really makes you seem ignorant if you genuinely believe Flippa is any sort of authority in that area.

    Heck, I even saw sites on SitePoint that sold for $600k+ making $7.5k a month because they were such large online brands.

    FYI, offline companies that earn just 10 million dollars in revenue YEARLY can be worth half a billion dollars when they're bought up. There's a reason for that that goes beyond the 6-month rule.

    Srsly.
     
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  15. scully

    scully Junior Member

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    Ice Cube, you motivate me.