Buying and selling websites?
Did you know that you can start making money by buying and selling websites? Creating a profitable website from scratch can be difficult. But, there is a way to run the process.
Making money with websites means buying domains from existing websites and switching them for profit. The process of buying and selling websites is similar to the process of buying and selling houses. Just as there is a big advantage, there will also be an inherent risk.
The smart opportunity hunter will look for underrated websites that can be improved with a minimum of time and money invested, and then sell them for a higher fee.
He will then learn the ins and outs of buying and selling websites, so that he can start a new business or give himself some time to earn an income online.
1. Know your time and money limits for buying and selling websites
Before you even think about buying a website, you’ll want to take an inventory of how much you can afford to invest and how much time you can spend improving your new site.
Buying a website and its hosting services is an investment, so you should only spend what you can afford to lose. There are no guaranteed investments, no matter how attractive the website may seem.
Once you have your number, think about how much time you have to actually work on your new site.
Chances are you’re buying a relatively passive website, but you’ll still want to improve certain things if you’re looking to sell.
2. Look in the right niches
When looking for sites to buy, the niche you choose is important. Don’t choose a site that is based on a timely theme or a passing fad.
You may have heard the term evergreen content before, but it is essentially a type of niche that is consistently popular and will be long term.
This includes niches within the following spaces:
- Health and wellness
- Money and finance
- Sports and hobbies
- Relationships and personal growth
The above niches can also be expanded into multiple sub-niches. Don’t just think about the big general issues like health. Consider subtopics such as weight loss for moms who have just had a baby or fitness for men over 40.
3. Find websites to buy
When you are buying a site there are certain performance indicators that you will want to look for. Here are some criteria you can use for evaluation:
- The website has been generating consistent revenue
- Income is generally passive (meaning that it is not entirely ad-based).
It has upside potential. It can maximize traffic, revenue types, existing content and design, and much more.
When looking for sites to buy, expect to pay a multiple of the monthly (or annual) revenue.
On average, you can expect to pay 12 to 18 times the multiple of the monthly income, although this figure varies.
Generally, you can get a newer, untested site with a higher monthly income for less than a site that has been a consistent source of income over the long term.
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