preview

Advice Before You Sell Your Website

Advice Before You Sell Your Website

Reprinted with permission of VotanWeb.com

Only 27% of all websites that are put on the market are sold. This is a shocking statistic to most people trying to sell a website. If you follow the tips below your chances of selling dramatically increases.

Have All Records Ready Before You Attempt to Sell

Have these items ready before the website goes on the market to be sold: The last 3 years of federal tax returns for the website being sold, the last 3 years of financials (profit & loss statement, balance sheet), the last 3 years of monthly bank statements, etc - many parties during the selling process will need this info - serious website buyers, lenders who will provide financing for the buyer, as well as others. Also make sure you know what the correct Adjusted Net income has been for the last 3 years. Serious website buyers will want to know this. Adjusted Net income is: Net Income + Owners Salary + Depreciation + Interest Expenses + Other Website Expenses Deducted (that may not be website expenses to the new owner of the website).

Have a Professional Website Valuation Performed

Getting a 3rd party professional website appraisal/valuation is important and critical for the process. Most websites put on the market NEVER SELL usually due to too high of a price placed on the website being sold. Getting a professional 3rd party valuation is well worth the expense and will be utilized by many parties during the selling process: possible website buyers, financing companies for the buyer, and others.

Keep a Sale Transaction Folder

Keep a folder of all contacts, notes, and paperwork for your website for sale transaction. Keep a log of all buyers who contact you - get their phone numbers, email address and keep notes about them. You want to make sure you have backup buyers in case your first choice drops out during the negotiation process. Keep all escrow info, purchase agreements, signed non-disclosure and confidentiality forms, contact phones of CPA’s, attorneys, etc. and other pertinent data/info in this folder.

Write Up a Comprehensive Summary of The Website

Buyers are going to need to know many details about the website being sold. Instead of having to explain repetitively to many buyers about the website, and possible forgetting many important details, make a summary of the website being sold. Include: History of the website, date established, important attributes
Get Access