Miami, FL, January 01, 2019 --(PR.com
)-- Websites are businesses, and just like other enterprises, they need to have some value. Valuing a website and knowing how much it's worth not only helps one to quantify the effort put in building the site, but it can also be useful when it comes to selling the site. Valuing the site is the only real way of ensuring that one's efforts are paying off and that they can get paid for the amount of money and time they put into the site.
How to Calculate the Value of a Website
After understanding what parameters determine the value of a site, the next step is to calculate the value. There isn't a way to determine the exact value of a website, but one can get an almost accurate value that will help them when making a sale. A formula that you can use is indicated below:
Website Value = Average 12-month Revenue X A Multiple (a factor between 20x and 50x)
The factor will depend on various issues such as the kind of website, profitability, domain name, the age of the site, traffic, content, and much more. For example, if the business is doing well and the website is profitable, one can choose a factor on the higher side, e.g., 30x. Ideally, businesses with high annual revenue can set a high multiple of 30x, 40x, or even 50x.
Various online tools are available to help businesses and individuals calculate the value for their websites. However, for sale purposes, they are not always the best solution as they can provide an inaccurate estimation. In the end, the best price is what the buyer is willing to pay for the website.
Why Someone Should Sell Their Website?
Selling a website can be a lucrative deal which can bring in hundreds or thousands of dollars depending on the value of the site. But why should one sell their website? Are there any telltale signs that it may be time to sell their site?
Selling a website can be a choice or necessity, and various factors inform the decision. Below are some of the reasons why an individual or business would choose to sell their website.
- Reduced profitability: If the website's value is declining, it would be a great idea to sell it while one can still get the maximum exit value.
- Sinking business: If the business website is falling and one has no control over it, they should sell it while it still has some value.
- Lack of time: Maintaining a website is a continuous process. Individuals who no longer have time to focus on the site should sell it before its value begins to decline.
- Change of priorities: If one's priorities change and they no longer need the website or find pleasure in building it, they would be better off selling it and focusing on other ventures.
Where To Sell a Website
There are a number of resources online to help prepare to sell, and ultimately sell a website. BizBroker24 is a free valuation service offered online for anyone on the fence. They help business owners link up with potential buyers to get the ball rolling and start to field offers.
BizBroker24 founded by Steven Endrizzi MBA has been in business since 2009. With over $100 million in internet business sales, they have been trusted by individuals and companies all around the globe. With sellers, they walk all individuals through the process to insure an easy, smooth transaction.
For more information visit http://www.bizbroker24.com