I was approached by a potential suitor looking to purchase my website, we are still in early-stage discussions and havent yet moved to the pricing stage.
That being said, I am interested to hear from others what valuation I should be expecting based on deals you have seen, current market metrics, etc
here is a brief summary of the site: - about a year old - 10K-20K a month in revenues - cash flow positive and profitable - no outside investment raised, 100% bootstrapped so clean ownership structure - traffic and revenue growing steadily - around 50-80K uniques/month, 150-200K pageviews/month - revenue generated primarily from lead-gen in high value categories - secondary revenue from google adsense at around eCPMs of $15-20 - strong placements in search engines for high value keywords - over 80% traffic from search engines, all organic, no paid search - attractive niche target market, natural expansion to add other verticals within this niche
I think that should give an overall summary but can give more detail if you need
How should I be thinking about pricing? traditional metrics based on historical earnings, forecast earnings, etc seem irrelevant because the site is so new and the revenue has only recently started to be significant in the last 4 months or so
How should I be thinking about multiples? In my mind, the website is in an attractive niche, growing nicely, big potential for upside, and has shown proof of monetization opportunities. However, does this mean 2-3x multiples on earnings (revenues?), 5x, 10x, etc?
Any advice would be great thank you!