How to Sell Your
Website
If you are reading
this, you have either failed with your Internet business or you
believe your website may be quite valuable and would like to sell
it.
The most important
step in selling your website is determining the value. If you
offer it for sale for $1million and it has 5 pages and costs you
$2.99/month for hosting, you are not going to have any serious
offers.
So let's evaluate the
primary factors in determining website value.
Of course as in any
business the success is an indicator of value. But not in every
scenario. If you have an apartment building with 50 empty units
and are loosing money, the property is still valuable and can
make money under better management.
Maybe your website
has traffic. Online, traffic is king. If you have it, you are a
winner. If you don't then you need it. In either case, the more
you have, the more you can get for your website.
If your website has5000
people a day visiting, you have quite a successful website. If you
have 5 people a day, one of them being you, then the traffic
value is $0. But as a base value you can average the traffic
value at about $0.05 per person per day. So a website with 5000
daily visitors has a traffic day value of $250.00. The site value
incorporates a full year of traffic or 365x250=$91,250.00.
The annual traffic
value is based on the value of the advertising that can be
generated using the daily traffic. In the case of the 5 person a
day website that would only be $91.25 per year.
The traffic can be
further qualified by paid traffic and search or natural traffic.
If you are paying for traffic via advertising, the traffic value
is offset by the amount of resultant traffic via your ads. Anyone
can advertise, this does not increase the value of your website
unless the visitors continue to use the site after the
advertising is stopped.
The next factor is
programing. If your website is hosted on pageBuzz.com although it
is an awesome hosting system, you do not own any of the
programing. The new owner will need to use pageBuzz to run their
business. If the programing is portable and can be moved or
modified by the new owner, the value is much higher. In general
generic programing that has been installed will increase the
value but not significantly. For example if you install a generic
shopping cart you will increase the vale by a few hundred dollars.
If that cart is populated with inventory, then it could be
several thousand dollars. Solely based on how long it will take
to do the work.
If you have custom
programing, needless to say you have invested a great deal of
money in it. But having something that is manageable and can be
modified is of great value. Also having a system such as pageBuzz.com
could be worth millions where having a shopping cart would not be
worth much at all.
The next factor would
be the website name. If you do not have a DotCom, you don't have
anything. If your domain name is something.biz, the value of the
website just fell through the floor. On the other hand if you own
something.com you can keep adding numbers in the dollar collum. A
good domain name can increase the value of a website by several
hundred thousand dollars. Since each name can only be owned by
one person, owning the right name is huge.
Names like
"myhomeproductsstore.com"
are pretty useless as far as name value. But "store.com"
has great appeal and you can pretty much name your price. Also
names that are unique such as "squigglebot.com" have no
real value unless that have branding power.
If you have had
millions of people on and using your website and it is a
recognized brand, then the value is not based on the website but
the branding power of the name or image. Obviously a brand such
as McDonalds is worth more than myuselessstore.com. For the sake
of argument we will assume you have no branding power.
Next is graphics. How
much did you spend, how much is it worth. It is not unusual to
spend tens of thousands of dollars of design and graphics. You
will no doubt want to get that money back. Average website
graphics (not using templates) including a unique logo would be
$1500.00.
Now, take those
values, and estimate the value of your website. Find your market
and advertise the website for sale. There are many ways to sell
your website.
You can advertise it
on ebay.com or sites that specialize in websites for sale such as
websitebuzz.com.
Wherever you decide
to list your website, don't get caught up in a dream. Ask a real
number for the site or people will not take you seriously. An
average failed website will run from $100 to about $1500. That
being based on search engine placement, minimal traffic and no
real sales.
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