Estimate my site, How to?

[hotbuckles]

Can anyone tell me how much i can possibly get for my domain hotbuckles.com, or where is the best place to get it appraised?

[RLorenzen]

To give you a rough value I will need to know some details.
-How many unique visitors does it get per day?
-What is its monthly revenue?
-Is the design unique?
-Do you rank well for any keywords?
-What is the Page Ranking and Alexa?

[hotbuckles]

To give you a rough value I will need to know some details.
-How many unique visitors does it get per day?
-What is its monthly revenue?
-Is the design unique?
-Do you rank well for any keywords?
-What is the Page Ranking and Alexa?

1000 uniques
$100,000 in monthly revenue
Unique design
High ranking in almost all keywords #2 in the stongest one
3 google page rank and alexa 212,912

[antonio24]

Basically the general rule is 10x monthly profit

[RLorenzen]

Based on your stated monthly revenues (the rule is 10-12x monthly revenue) your site could sell for $1,000,000-$1,200,000. This is assuming you can provide legitimate proof of revenue.

[hotbuckles]

Based on your stated monthly revenues (the rule is 10-12x monthly revenue) your site could sell for $1,000,000-$1,200,000. This is assuming you can provide legitimate proof of revenue.

are there other considerations to the equastion?

[RLorenzen]

You will definitely need to talk to a business or website broker, but that is a pretty good estimate of what the market will pay for your site. The questions I included several posts up are other factors that website buyers will look at and all of them add value to your site. Especially search rankings. Obviously, ranking first for "finance" is a lot more valuable than ranking first for "business owners in finance" so the value your rankings add to your site will vary.

As long as you have income statements and financial documents to support the revenue figures that you are claiming the site makes, you will have no problem justifying the price tag I wrote above.

[zharlene]

I'm no expert but consider this:

It's not really your website that's earning you the income, but the stuff you sell on your website. So I doubt the website alone will cost about 1-2 million dollars. It's the entire business that will cost millions.

[RLorenzen]

I'm no expert but consider this:

It's not really your website that's earning you the income, but the stuff you sell on your website. So I doubt the website alone will cost about 1-2 million dollars. It's the entire business that will cost millions.

I buy and sell websites on a daily basis and I have seen websites and even domain names sell for over 1 million dollars. In most cases, it most certainly is your website that is making the income. If the business is a website, how could you say the website isn't making money? The website is indeed selling the products. Also, how could you say the same with a website that makes its revenue from advertising?

A website alone can certainly sell for 1 million dollars. A lot of people don't believe this because these transactions go on behind closed doors and not on marketplaces such as Sitepoint.com, so you do not see them and most of the time you do not hear about them. These transactions do go on and sites sell for 6 and 7 figure prices a lot more often than people think.

[zharlene]

I buy and sell websites on a daily basis and I have seen websites and even domain names sell for over 1 million dollars. In most cases, it most certainly is your website that is making the income. If the business is a website, how could you say the website isn't making money? The website is indeed selling the products. Also, how could you say the same with a website that makes its revenue from advertising?

A website alone can certainly sell for 1 million dollars. A lot of people don't believe this because these transactions go on behind closed doors and not on marketplaces such as Sitepoint.com, so you do not see them and most of the time you do not hear about them. These transactions do go on and sites sell for 6 and 7 figure prices a lot more often than people think.

As a hobby-domainer, I'm well aware that domains alone can sell for a million dollars. So please don't put words in my mouth, I never said websites don't sell for a million dollars, let alone domains.

The guy asked for a valuation of his domain, and his domain+website alone will not sell for a million dollars (unless you're willing to bid for it?).

According to him, his website has an alexa ranking of about 200'000, PR3 and about a thousand visitors a day. These stats are not difficult to reach if you've got enough money and/or time to do SEO and marketing.

His website is an e-commerce website. So the income he earns is by selling his tangible goods.

Anyone wanting to buy websites/domains 10 x its monthly revenue expects a profit in no time. This is very common for parked domains and websites that earn through ads. If anyone were to buy hotbuckles.com (domain + website only) for millions without all the goods, it's just plain stupid because they will never get their millions back.

So in this case, it's his business that's worth millions, not the website or the domain.

According to dnscoop: $12,432 incl. stats
According to estibot: $3,900 incl. stats ($520 domain only)

[RLorenzen]

Before we go any further I just remembered one more question the seller should answer: are these items dropshipped or does she/he actually make them. Whether or not the inventory comes with the site will affect the value. If these items are dropshipped then it is the actual website that is worth $1M. The new buyer can just as easily get a contract with the same dropshipper (or get the current contract with the seller assigned to him) and with all other things equal, the website will continue to make $100K/month. If the seller makes these items himself, then yes zharlene, I would agree with you that it is the business worth $1M and not the site alone, however, when I originally gave him the above estimate, I automatically assumed he was referring to the entire business and not just the company's website as selling your company's website without the rest of the business wouldn't make much sense and it wouldn't provide much value to the buyer without the products and rest of the operation.

[rogercbryan]

are there other considerations to the equation?

There is a lot more to consider. What you have been told so far is half right. There are two equations to valuating a site.

1st- Is sales
$100,000 x (9-12) = $900,000 to $1.2M
This is your high range

2nd- Is EBITA
(net income) x (9-12) = ???
This is your low range

You start at the low range and then you equate the following to get closer to your high range:
Age of company
Value of actual site code
Contact values (vendor client relationships)
Name value
Advertising or traffic value
Price vs. COGS (margin value)- If you are selling at a 5% margin its one thing... but if your margin is 20% its a totally different thing.

Once a site goes over a price of say $5000 you are in a whole new ball game. Your site is NOT work $1M I'll be straight forward with that.

If you are doing $100,000 in monthly sales but your COGS is $95,000 then your net income is $5000 x (9-12) or $45,000 to $60,000.

If you are serious about selling your site I do know one broker who can help you. He charges a bit but he so far has been the most impressive broker I have seen when it comes to sites valued over $100K.

*There is NO set formula for all this. It is always recommended to at least have a broker look at your deal. If you want a basic opinion you can email me and I'll go over your financials with you to better help you get an 'idea' of what your site is worth.

[rogercbryan]

As a hobby-domainer, I'm well aware that domains alone can sell for a million dollars. So please don't put words in my mouth, I never said websites don't sell for a million dollars, let alone domains.

The guy asked for a valuation of his domain, and his domain+website alone will not sell for a million dollars (unless you're willing to bid for it?).

According to him, his website has an alexa ranking of about 200'000, PR3 and about a thousand visitors a day. These stats are not difficult to reach if you've got enough money and/or time to do Search Engine Optimization and marketing.

His website is an e-commerce website. So the income he earns is by selling his tangible goods.

Anyone wanting to buy websites/domains 10 x its monthly revenue expects a profit in no time. This is very common for parked domains and websites that earn through ads. If anyone were to buy hotbuckles.com (domain + website only) for millions without all the goods, it's just plain stupid because they will never get their millions back.

So in this case, it's his business that's worth millions, not the website or the domain.

According to dnscoop: $12,432 incl. stats
According to estibot: $3,900 incl. stats ($520 domain only)

Good Points... I guess we all need more info as to exactly what this poster is looking for. In most cases I would think he would be selling the entire business but I also know I shouldn't assume I know what the poster is asking for.

[hotbuckles]

Before we go any further I just remembered one more question the seller should answer: are these items dropshipped or does she/he actually make them. Whether or not the inventory comes with the site will affect the value. If these items are dropshipped then it is the actual website that is worth $1M. The new buyer can just as easily get a contract with the same dropshipper (or get the current contract with the seller assigned to him) and with all other things equal, the website will continue to make $100K/month. If the seller makes these items himself, then yes zharlene, I would agree with you that it is the business worth $1M and not the site alone, however, when I originally gave him the above estimate, I automatically assumed he was referring to the entire business and not just the company's website as selling your company's website without the rest of the business wouldn't make much sense and it wouldn't provide much value to the buyer without the products and rest of the operation.

I actually just bought the other half of the business from my partner and wanted to know it's value, b on my toes if a great offer comes along....
I don't drop ship but manufacture in China and in house.

[hotbuckles]

There is a lot more to consider. What you have been told so far is half right. There are two equations to valuating a site.

1st- Is sales
$100,000 x (9-12) = $900,000 to $1.2M
This is your high range

2nd- Is EBITA
(net income) x (9-12) = ???
This is your low range

You start at the low range and then you equate the following to get closer to your high range:
Age of company
Value of actual site code
Contact values (vendor client relationships)
Name value
Advertising or traffic value
Price vs. COGS (margin value)- If you are selling at a 5% margin its one thing... but if your margin is 20% its a totally different thing.

Once a site goes over a price of say $5000 you are in a whole new ball game. Your site is NOT work $1M I'll be straight forward with that.

If you are doing $100,000 in monthly sales but your COGS is $95,000 then your net income is $5000 x (9-12) or $45,000 to $60,000.

If you are serious about selling your site I do know one broker who can help you. He charges a bit but he so far has been the most impressive broker I have seen when it comes to sites valued over $100K.

*There is NO set formula for all this. It is always recommended to at least have a broker look at your deal. If you want a basic opinion you can email me and I'll go over your financials with you to better help you get an 'idea' of what your site is worth.

HotBuckles.com has been around for about 3 years, trademarked and leading in all search engines for almost all the niche keywords.
As I said above i'm not actually looking to sell at this moment as I still think there is some money to be made but i the right offer comes along..... you never know (so wanted to know what to expect if at all).
Our profit margin is almost 40% and our site is CRE loaded that i added about $20,000 in improvements to... It's a lean mean commerce machine... LOL