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Selling Businesses

Discussion in 'General Business' started by robertbanking, Aug 17, 2023.

  1. #1
    Hello you very intelligent and amazing people that make up these forums. I truly hope that you are continuing to have amazing success in whatever business goals you aim to reach.

    I was kindly wondered about a business strategy that is focused purely on creating online based businesses, marketing them and selling them. For instance creating a niche blog, getting some good sponsors, improving SEO and scaling up marketing, then selling the business. Then keep repeating this process. I kindly wondered what is the most important factors to consider when selling a business and what factors would help it get maximum value please? For instance would marketing play a key role in the price you would expect to get for a business? If anyone kindly had any advice on this i would be forever grateful and thankful for your support.

    Sending you lots of good wishes and hope you have a wonderful and amazing life. All the very best to you.
     
    robertbanking, Aug 17, 2023 IP
    MargoFarrel likes this.
  2. jrbiz

    jrbiz Acclaimed Member

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    #2
    The single biggest selling point that potential buyers will value is revenues, both historical and current. Everything else is secondary.
     
    jrbiz, Aug 18, 2023 IP
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  3. Edge88

    Edge88 Active Member

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    #3
    There are two websites where you may get a lot of data and see what others are doing successfully.
    1- Flippa
    2- Acquire dot com

    I'd check them out.
     
    Edge88, Sep 10, 2023 IP
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  4. sarahk

    sarahk iTamer Staff

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    #4
    My daughter and her boyfriend just bought an apartment. He owns a scooter ride-share business. The bank said "your turnover was down in 2020, why was that?"

    If looking at past revenue take the economic climate into account!
     
    sarahk, Sep 10, 2023 IP
  5. kjh-08

    kjh-08 Well-Known Member

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    #5
    What you're thinking of is a common and successful business model. You can start sites from scratch or buy under performing sites that you see areas with quick/easy wins. Like technical errors, lack of monetization, etc. You grow the sites traffic and revenue then sell them off.

    Things that will get you the largest selling multiples are:
    1. Site age, a proven 6 year old site would be better than an unproven site only 6 months old. The more historical traffic/earnings data the better.
    2. Backlink profile- does the site have hard to attain high authority backlinks or little to no backlinks? Or even worse spam links.
    3. Is the traffic/earnings on an uptrend or downtrend? If in a downtrend why? Always sell on an uptrend.
    4. Diversity of traffic/earnings- does all the traffic or earnings come from one source? Which would be high risk for the buyer. Multiple streams of revenue/traffic are best.
    5. Build an actual Brand
    6. The more tasks outsourced on the business the better (believe it or not). Website investors value their time more than saving a few hundred dollars a month doing it themselves, especially if the site is profitable doing so.
    7. Large Social Media following
    8. Large Email Newsletter subscriber base
    9. Traffic, earnings, etc
     
    kjh-08, Sep 13, 2023 IP
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  6. linleia

    linleia Peon

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    #6
    Certainly! When selling online businesses, key factors for maximum value include a solid revenue stream, scalability, a loyal customer base, and efficient operations. Marketing plays a crucial role; a well-branded, well-marketed business tends to fetch higher prices. Also, emphasize clear documentation, transparency, and a transferable business model. Regularly assess market trends to time your sales for optimal value. Continuous improvement, strong financials, and a strategic approach enhance attractiveness. Seek professional advice for legal and financial aspects. Best wishes on your ventures!
     
    linleia, Dec 1, 2023 IP