Revenue multiples when buying a developed site...

[Oceanic]

Afternoon all.

I am about to start my first move in to acquiring a few developed websites. For the typical site that we see advertised here which may have adsense or affiliate revenues what multiples do people work on roughly.

For example lets say we saw an site with google adsense listed, nothing particularly special in the domain name.

If you invested £1000 how much monthly revenue would you expect to see each month?

Cheers

 

[fresh79]

Afternoon all.

I am about to start my first move in to acquiring a few developed websites. For the typical site that we see advertised here which may have adsense or affiliate revenues what multiples do people work on roughly.

For example lets say we saw an site with google adsense listed, nothing particularly special in the domain name.

If you invested £1000 how much monthly revenue would you expect to see each month?

Cheers

I think the norm is 12x months rev, sometimes you see 24 months and every now and again you see an exceptionally good site/domain with x36 months rev asking price. This is normally backed up by high PR + aged domain + high traffic and a good tld, eg .com or .co.uk

Sites with no earnings are a different kettle-o-fish Imo - Take a punt

 

[Oceanic]

Thanks, that seems reasonable.

Anyone else got a view?

 

[Bailey]

I agree with the stated ball-park figures. Trouble comes from the definition of "nothing special domain". If it is an actual site build with adsense. Then the common response to the offering the low-end multiple is "it just requires further development"

The 12 month multiplier only seems to get a mention from

A) Purchaser
B) Desperate seller
C) Time-limited Subject