How much is my webpage worth? How to Determine the Value of Your Website (Better Than a Calculator)
Calculators that estimate the value of websites base their findings entirely on traffic and domain rating. To give you an example of how wrong it is, one of these calculators gave a value of $14,000 for a website that I am in the process of selling for $500,000; nevertheless, the website was only appraised at $14,000.
Yikes!
Don’t worry; I’m going to show you how to really perform an accurate study of how much your website may be worth if it were to be sold.
How Much is My Webpage Worth?
How can you put a price on an internet business?
There are three measures to take when determining the value of your website.
There are five methods that you may make more money out of your website.
How much is my webpage worth? If your website does not receive any visitors or generate any revenue, it is quite unlikely that it is worth anything to you. However, this only applies if you already own a domain name that commands a high price, which is the subject of a whole separate piece of writing.
Your website might be considered an online company if it receives visitors and/or if it generates cash for you. How much is my webpage worth? In addition, websites (as well as businesses operating online) may be evaluated using a variety of approaches.
There are three main factors that determine the worth of your website:
The money that is made by you (and where that income comes from)
The Number of Visitors to Your Website (and The Quality of That Traffic)
Extra value brought to the table (e.g., backlink profile, social media audience, or email list)
Let’s take a moment to go over each of these factors and how they could influence the price at which you sell your home.
Income multiple
How much is my webpage worth? A direct multiple of your company’s net earnings is the approach that is used the most frequently and results in the greatest payouts when evaluating a website. After deducting all of its costs, a company’s take-home revenue is referred to as its net profit.
As of the writing of this essay, the average website sells for between thirty and forty-five times the amount of monthly net profit it generates. Therefore, if your website generates a net profit of $10,000 each month, you may be able to sell it for between $300,000 and $450,000.
Where exactly on the spectrum your website lands is subject to a wide variety of different considerations, including the following examples:
If you have a number of different sources of income–
How dependent you are on sponsored advertising, which is paid advertising that is difficult for someone who is not an expert to operate and which might result in a reduced selling price.
In the event that you make use of standard operating procedures (SOPs) —
During the first stage of the valuation process, we will determine your net profit by deducting add-backs and other expenses and then calculating the result. For the time being, let’s have a look at some other strategies to enhance the monthly multiple of your website’s worth.
Traffic on a Website
How much is my webpage worth? The amount of traffic that a website receives is the second-most popular method that is used to determine the value of a website. The vast majority of those “online website worth” calculators employ this, despite the fact that it is largely inaccurate.
Those traffic value calculators estimated that the website for which I am negotiating a price of $500,000 was only worth $14,000. I mentioned this fact in the introduction.
If we were to pay for that traffic through search advertisements, Ahrefs predicts that the value of our monthly organic traffic would be almost ten times higher, coming in at $130,000. Therefore, those calculators are not very good estimators of value.
How much is my webpage worth? This is certainly a more appropriate price to use if I were selling the website based only on the amount of visitors it receives and the fact that it does not generate very much revenue.
However, you may still leverage traffic to your advantage in the appraisal process. The sheer quantity of your traffic is less important than the quality of your traffic, which might assist you obtain a bigger monthly multiple on your sale.
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