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Old 01-24-2002, 12:13 AM   #1
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Join Date: Nov 2001
Location: Vancouver, BC Canada
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Default Estimating for a generic (no URL) site's worth

Hi folks,

Without giving a URL, I'd like to estimate what a site is worth, to see what I should offer for it.

This site has a very good key-phrase URL, ranking in first page for all major SE's, and is a mojor competitor to my own site.

4,000 to 6,000 unique vistors a day, 1 million pageview a month.

Costs $100 a month and 5 hour a week to run (including all software liscenses, hosting, bandwidth and domain costs). Generate $1,000 a month.

Is there a formula to calculate the worth? I figured it makes around $11,000 a year, so how many years show I pay for to make a good investmen, and compensate the ownert? i.e. 2 years = $22,000, 5 years = $5,000, etc.?


Last edited by tamarian; 01-24-2002 at 12:14 AM.
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Old 01-24-2002, 03:19 AM   #2
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Location: Rochester, MN, USA
Posts: 229

Welcome to geek/talk, tamarian!

In all honesty, I donít think anyone will be able to give you a good estimate on what it is worth; that is impossible without knowing what type of site it is. Even if you were to tell us what the domain name is, Iím not sure how good our estimates would be. With the market the way it is, web sites and domain names are only worth as much as someone is willing to pay. Sorry if I wasnít as helpful as you may have wanted.

Other geeks?


Last edited by scottyO; 01-24-2002 at 03:26 AM.
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Old 03-02-2002, 11:02 PM   #3
Join Date: Feb 2002
Location: NYC
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Usually Your site is worth around 2 years of income. In your example that means that site is worth around $22,000
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Old 03-03-2002, 12:17 AM   #4
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It's hard to say, but with no physical location office, people usually value it at less then two years of income. But it can also depend on other things, newsletter subscribers, amount of competetion etc.
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Old 03-03-2002, 11:36 PM   #5
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I have to agree with MadCool - 2 years of income is a good rule of thumb for website valuation. Of course other risk factors have to be taken in to play - such as volatility of the particular industry niche of the website and potential future drop or rise in site traffic (what if it loses some of those top search engine rankings?). You also have to look at how the $1,000 per month is being generated and if this is growing or decreasing on a month-to-month basis.
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