You can buy and sell online businesses to earn extra cash. In this guide, we shared the best places to buy and sell online businesses.

You have a lot of options these days when it comes to buying and selling online businesses. There are several great marketplaces available for you to browse, compare, and purchase all kinds of websites and digital assets.

In this guide, we’ll share the best places you can use to buy and sell online businesses.
 

Best Places To Buy And Sell Online Businessese

What Are Places To Buy And Sell Online Businesses?

A lot of people are finding success by buying and selling online businesses. It’s not an easy road, but if you know what you’re doing and have the right information, you can make a lot of money.

A good place to start is with local businesses that have been around for a long time. Many people don’t realize that these businesses are ripe for the picking.

That’s because the owners are usually older, and they don’t have any experience with social media or other internet marketing techniques.

They also might not have time to run their business anymore because they’re retired or working a full-time job elsewhere.

 

 

Best Place To Buy And Sell Online Businesses – Introduction

Buying and selling online businesses is one of the most effective ways of making money online. The reason for this is that there are hundreds of thousands of people who are willing to buy and sell their websites, blogs and online businesses. 

In this article we will look at some of the best places that you can buy and sell your sites, blogs and other online businesses. It is important to note that the best place to buy or sell anything is one that has a good reputation and has been around for quite some time. 

We will also look at how you can find out which one of these places is right for you. When it comes to finding the best place to buy and sell your site, blog or other online business then it pays to do a bit of research into what each site has to offer. 

You should take a look at the different features that each one offers as well as looking at their reviews from previous customers. This will give you an idea about how reliable they are and if you can trust them with your business. 

There are also many online forums where people discuss buying, selling and trading sites and blogs so that you can read up on what people have said about each place before deciding which one you should use. 

What is the Best Place To Buy And Sell Online Businesses For Sale? 

If you are looking to buy and sell online businesses for sale, then this article is for you. This article will explain how to go about it. 

But before we get into that,  let us first talk about what is the best place to buy and sell online businesses for sale. If you want to buy and sell online businesses for sale, then it is possible with the help of a good website. 

A good website will allow you to find buyers who are interested in purchasing your products or services. This is one of the most important things that you should keep in mind when you are searching for buyers. 

When looking for buyers, make sure that they have a good reputation and have been doing business with other people successfully. You can easily check their reputation by asking their previous customers about them or by checking their website. 

You can also check out the reviews about them in order to get a better idea about their reputation. If there are no reviews on their website, then try checking out some forums or discussion boards where there might be some people talking about them. 

Another option that you have is to ask your friends or relatives if they have dealt with them before. If they say yes, then it would be a good idea to contact them and see how they were able to 

1. Flippa 

Flippa is a great place to buy and sell websites, apps, and domain names.  We have been trusted by millions since 2009. 

Flippa is the world’s leading marketplace for buying and selling online businesses. We provide you with the tools to make your first (or next) purchase a success. 

Everything you need to get started. Discover the right business for you. 

You can browse through hundreds of high-quality listings in our marketplace that you can filter by price, industry, location and more! Verified list of buyers and sellers. 

We verify every buyer and seller that signs up to Flippa so that you can build relationships with confidence. 

We also have a dedicated team of Trust and Safety experts who are on hand around-the-clock to monitor transactions. In-depth due diligence reports. 

Due diligence reports from our team of experts provide you with the information you need to make an informed decision about your purchase. Our reports include financial projections, traffic insights, product analysis, unique selling points and more! 

Features 

Easy to use, Powerful platform for buying and selling websites. Sell your site in a few clicks. 

Flippa is the best marketplace for buying and selling websites. Whether  you are looking to buy a website as an investment or to build your own business, there are plenty of great opportunities on Flippa. 

Discover sites for sale Browse through thousands of vetted businesses to buy on Flippa. Filter by category, niche, price and location to discover the perfect business for you. 

Sell your website with Flippa Selling your website is quick and easy with Flippa’s full-service sales process. Get started today with a free valuation of your site. 

Pros 

Let us start this review by saying that Flippa is the biggest and most popular marketplace in the world. It has a huge selection of websites, domains and apps for sale. 

That being said, I want to point out some pros of buying websites on Flippa: The variety. The selection of websites and apps on Flippa is vast. 

If you are looking for a website with a particular niche, in almost all cases you will find it on Flippa. 

The prices. Generally, the prices are much lower than when buying directly from the site owner. One should always remember though that there are two sides to this coin – at times the price might be too low, which means that the site might be over-priced. 

2. Shopify Exchange 

Shopify Exchange is a marketplace where you can buy and sell online stores. Shopify Exchange is a marketplace where you can buy and sell online stores that run on Shopify’s software.  

These stores have products, descriptions, images, and designs that are ready to go so you  do not have to worry about building an e-commerce store from scratch. Shopify Exchange makes it easy for both buyers and sellers to get started selling online. 

 Shopify Exchange is the marketplace where you can buy and sell ecommerce businesses. It is the fastest, easiest way to own a business that makes money from day one. 

Are you looking for an easy way to make money online? Shopify Exchange connects entrepreneurs with Shopify merchants who are selling their stores.  

We have hundreds of stores for sale, from established businesses generating thousands of dollars in monthly revenue to brand new stores with big growth potential. 

Features 

We know buying an online store is a big decision, which is why  we have built an award-winning marketplace for you to find the best ecommerce businesses for sale. Our goal is to make it easy for you to buy a business that matches your budget, interests and skills. 

We know what makes a successful ecommerce business, so we make sure our stores are ready to sell before they hit the market. Shopify Exchange is where entrepreneurs go to buy and sell Shopify stores. 

We take care of all the behind-the-scenes work for our sellers and buyers so that you can focus on what really matters: growing your business.  Here is how it works: Our team verifies that every online store meets our quality standards before we put them up for sale. 

This includes everything from the products they sell to the brand  they have built. Buyers can search through hundreds of ecommerce stores with complete confidence knowing that  we have already checked them out and  they are ready to sell. 

   

Buyers are given access to a new account with their store’s domain name, social media profiles and Google Analytics information at no additional cost. All product images and content come included in the sale of the store, too! 

Pros 

* You can set the price of your store, so  it is up to you to decide what  it is worth. 

* You can sell your store with all its products, customer data and other assets included. 

* Shopify Exchange verifies store owners and checks the legitimacy of the store being sold, which is a great selling point for people looking to buy a business. 

* You can use a listing template provided by Shopify Exchange or customize one to better suit your needs. 

You can create an ad that will appear on the front page of Shopify Exchange, increasing the visibility of your listing. 

3. Empire Flippers 

Originally just a listing marketplace for buyers and sellers, Empire Flippers now also offers escrow services and other support to help you close the deal.  We have heard good things about their reputation for vetting sites on their marketplace, which means  you will be dealing with real buyers and sellers when you use their service. 

Buying and selling sites on Empire Flippers is free, but they do charge 1% of the final sale price for escrow account fees. The site is easy to use, with a large inventory of sites across all categories. 

There are also some pretty good sales happening on the site right now, including this beautiful ecommerce store that sells unique pieces of furniture. Empire Flippers is the go-to platform for buying and selling established online businesses. 

With over 20,000 customers and $40 million in sales,  they are one of the most trusted names in ecommerce. From startups to enterprise brands, Empire Flippers has helped thousands of entrepreneurs buy, sell, and invest in ecommerce businesses and websites. 

If  you are looking to buy or sell an online business, Empire Flippers can help you find a scalable business that fits your lifestyle and budget. 

Features 

We offer a range of added features to help you find the perfect business for sale and sell your website or app quickly, safely and easily. Searching for a website or app? Our advanced search tool lets you filter businesses for sale by category and price, letting you find precisely what  you are looking for. 

Selling your site? Our free listing service allows you to add all the details of your business for sale for free. Optionally, we can also manage the sale of your business on our marketplace, giving it maximum exposure to potential buyers from around the world. 

Pros 

The one place I recommend for selling your website that gets a lot of traffic and makes a lot of money. Empire Flippers is the best resource out there. 

At least in my opinion,  i have never had a bad experience using them. They are the best resource for buying and selling websites and apps making over $50,000 per year. 

Huge buyer pool. The easiest way to sell your website: Top quality buyers.  

The most professional way to sell your website. The most trusted online broker for buying and selling websites. 

No upfront fees or listing fees to sell your website. You can tell them what  you are looking for in a buyer and they will work towards finding that person. 

They have an escrow account so they hold the money until you close the deal Empire Flippers helps with all of the paperwork needed to be done to close the sale, including NDA’s and transfer documents. 

4. FE International 

 

FE International offers a variety of features, including: FE’s private marketplace is the top choice for thousands of entrepreneurs and investors to buy and sell websites. The team at FE International has bought and sold hundreds of websites over the last decade. 

Professional Due Diligence – A team of experts that have reviewed thousands of businesses over their career will be there with you every step of the way during the due diligence process. 

Pros 

FE International is not only a great company to work for,  it is a great place to grow and learn. The environment is friendly and collaborative, the opportunities are limitless, the team rocks and we have the best clients in the world. 

Our People Matter. We have a strong culture of helping each other out. Whether you need help with a technical issue or just want feedback on a client proposal, we always pull together as a team to get it done. 

Exceptional Team. Our project managers are some of the most experienced and capable in the industry. Our engineering team has built a first-class platform from scratch that allows us to sell businesses more efficiently and at higher prices than our competitors. 

The marketing team drives traffic to our websites through organic search, content marketing and paid ads. Our support team provides technical assistance to our buyers and sellers throughout the process. 

FE International: Technology M&A Advisor
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5. SideProjectors 

SideProjectors is a marketplace for technology entrepreneurs and creatives to act on their best ideas.  We are  not a typical startup accelerator or incubator. 

We are  a place where you can bring your most promising ideas to life, whether that means building an audience, finding co founders, raising capital, or developing a product.  We are  also a place where you can find other people who are dedicating themselves to their passions, and connect with them on the mutual understanding that  it is through following our passions that we find our greatest successes. 

SideProjectors is an online marketplace where people can buy and sell ideas.  It is designed to be a platform for entrepreneurs who might have great ideas but  do not have the time, resources or expertise to bring them to life. 

They can sell their ideas with the option of future royalties or a one-time payment. SideProjectors was founded by Jay Silverman in 2011 and launched in 2012 as a way for entrepreneurs with good ideas to find help bringing their projects to life. 

SideProjectors has seen more than 10,000 projects submitted and 250,000 visitors. 

Features 

The SideProjectors platform is packed with functionality to help you find and evaluate the best side projects. Search. Use our search engine to find side projects that match your criteria, including keyword searches and sorting by price, category, and other factors. 

Wishlist. Save projects  you are interested in on our wishlist for later review. You can share your wishlist with others so you can collaborate on evaluating side project ideas. 

Funding. SideProjectors allows users to invest in a project from the owner directly. The full amount of the investment is passed on to the project owner, with no fees or commissions taken out by SideProjectors (except for credit card processing fees). 

Collaboration. If you see a project that interests you, reach out to the owner about collaborating or purchasing it outright. Follow any project  you are interested in so  you will know immediately when new updates are available from the owner. 

Pros 

SideProjectorsis a service that helps people who want to sell their side projects. It offers two plans: The Basic Plan lets you submit your project for sale and includes unlimited updates to your listing, feedback from SideProjectors’ team, and access to the buyers list. 

The cost of this plan is $149. The Premium Plan includes everything in the Basic plan, plus extra features like featured placement on the home page and high-priority placement in emails sent to the buyers list. 

The cost of this plan is $199. 

6. Digital Exits 

Digital Exits is the premier marketplace for buying and selling websites businesses, apps and domains. Our mission is to make it easy to buy and sell online businesses.  

We are the experts at valuing and selling Internet companies.We help owners maximize the value of their websites, businesses and domains.  

Digital Exits combines our business brokerage expertise with a proprietary valuation system (Digital Exits Appraisal) that determines the true value of your website or internet business. 

We do not charge a listing fee to sell your business with us, so you have nothing to lose by letting us evaluate your website. We are always looking for good opportunities to feature in our marketplace. 

If you are thinking about selling your Internet company, we would love to hear from you. Digital Exits is the leading marketplace for buying and selling e-commerce businesses.  

Digital Exits has sold over $50M in online business and continues to grow monthly. 

Features 

The Digital Exits platform makes it easy to bring together your portfolio of websites and marketplaces listings in a single, professional-looking storefront.  We have designed the system to reflect the needs of our clients, and are constantly adding new features based on feedback. 

Digital Exits is built with WordPress, the most popular content management system in the world. This means  you will be able to create a professional-looking website without having to learn any code. 

Our themes are simple and responsive, so they look great on all devices, from desktops to phones. The Digital Exits website builder will help you create a site that looks like you spent thousands of dollars hiring a web designer. 

Pros 

 

  1. You will profit from the sale of your business.The buyer will likely carry on your legacy.

 

  1. You can avoid being a slave to your business.

 

  1. You will have more time for family and other interests.

 

  1. You will be able to rest easy that your company is in good hand.

What Kinds of Online Businesses Can You Buy And Sell? 

There are many different ways you can approach buying and selling an online business, and  it is important to find a method that works for you. Here are some of the main options: Brokers. If you have no experience with the industry, brokers may be the best way to go. 

Brokers will handle everything from the initial valuation of your business to finding a buyer and listing it on their site. Brokers are trusted professionals who can provide advice on how to improve your business’ value before you sell it. 

They often have a large customer base, which means they can help you find a buyer quickly — sometimes within days of listing your site. The downside is that brokers typically charge fees between 10 percent and 20 percent of the sale price. 

Auction sites. There are dozens of auction sites where you can list your website for sale and have buyers bid on it. The advantage is that these sites have a lot of traffic, so  you will likely receive many bids. 

However, since  there is no vetting process for buyers, many auctions end without a sale because buyers make unrealistic bids or back out at the last minute. Auction sites also charge fees ranging from 5 percent to 10 percent of the sale price. 

These fees are lower than those charged by brokers but much 

1. Content Sites/Blogs 

Legitimate content sites and blogs are great places to get information about products  you are interested in. For example, if  you are planning a home renovation project,  you will likely find plenty of how-to tips and advice for completing the project on your own. 

If  you are planning a vacation,  you will find travel guides and tips for finding the best deals on hotels, flights and rental cars. The downside to these sites is that they tend to be very promotional.  

You will see ads for brands, products and services mixed in with all of the articles, reviews and other content. 

This can make it hard to tell  what is an ad and  what is not, especially since many legitimate publishers now use native advertising (paid posts that look like regular articles but promote a particular brand). 

Also beware of “sponsored” or “partner” posts written by companies themselves who are paying the site to publish their content. This is another form of native advertising.  

The key thing to remember is that these posts are designed to promote the company or product being discussed. 

Buying Content Sites/Blogs 

Many people find that they have a passion for writing and would like to own an online publication. However, starting a blog from scratch can be daunting. 

If you are looking to be the owner of your own blog, but  do not want to do all the initial work, buying content sites/blogs is an option to consider. Buying content sites/blogs can be a great way to get started as a site owner, or to get into a new niche. 

The first benefit is that you  will not have to spend the time researching keywords or creating content for your website. You will also have immediate traffic and may even make some money from advertisements on the site.  

However, there are some drawbacks or risks to buying content sites/blogs. 

You need to do your research and make sure that the site is legitimate and not full of spammy links or poor quality articles. Also, you will want to check if the site has any penalties.  

If so, you could end up with a brand new blog that gets no traffic at all! 

Selling Content Sites/Blogs 

Selling a site or blog can be a great way to earn some extra cash. However, you must understand that selling a blog is an art and not a science.  

It takes time, patience and maybe a little luck to sell a site for the price you want. 

There are many people who have sold their websites and blogs for large sums of money. In this article, I will share with you what has worked for me in the past.  

To sell your blog, you need to put it up for sale on a marketplace such as Flippa or Sitepoint Marketplace. 

Once your listing is up and running, you should start promoting it on social media platforms like Facebook, Twitter and LinkedIn. If possible, contact other webmasters in your niche and ask them if they would be interested in buying your site or blog. 

It is important that you keep track of these conversations so that you can follow up later on with potential buyers. There are several factors that affect how much money you can make when selling blogs or websites online: 

1The quality of content on your site or blog determines how much money buyers are willing to spend on it. If you have well-written articles with good grammar and spelling mistakes, then buyers 

2. Ecommerce Websites 

E-commerce websites are big businesses, and those businesses are growing. The total amount of retail sales in the US is projected to grow from $3.4 trillion dollars to $4.8 trillion dollars. 

If  you are thinking about getting into e-commerce,  it is not too late — but you have to get started. If  you are thinking about starting an ecommerce store or even just selling a few products online,  there is a lot to consider. 

It might seem like a lot of work, but it  does not have to be. 

And even if  you are not ready to start selling your product or service, the fact that you can do so at any time keeps your options open and takes some of the pressure off building your business right now. 

E-commerce is exciting because it gives people the freedom to build their own businesses without having to invest in brick-and-mortar facilities or inventory up front. You  do not need a storefront; all you need is access to the internet and a payment processor for customers’ credit cards. 

That means you can start selling online before you sell out your first batch of widgets or book your first yoga class. 

Buying Ecommerce Websites 

Buying an ecommerce website can be a great way to jumpstart or accelerate your online business.  It is not for everyone, but if you find the right site, the benefits can be substantial Here are some of the major pros and cons of buying an ecommerce website: 

Selling Ecommerce Websites 

Ecommerce websites are an essential part of your business.  They are where  you will build your client base, and  they are where potential customers will find out about everything you do. 

While  there is a lot of technology that goes into creating an ecommerce website,  there is also a lot of creative thinking. You have to come up with ideas that are unique, yet still work in the context of your brand. 

That can mean adding elements like videos, blogs and testimonials to your website. 

You also have to think about what happens when  it is time to sell those products. Those websites need to be easy for people to use, while still being comprehensive enough to show everything available in your catalog. 

3. SaaS Companies 

In a SaaS (software as a service) model, customers use the provider’s applications running on a cloud infrastructure. The customer typically pays on a per-user basis and does not manage the underlying cloud infrastructure including network, servers, operating systems, storage, or even individual application capabilities. 

Software as a service is a software licensing and delivery model in which software is licensed on a subscription basis and is centrally hosted. It is sometimes referred to as “on-demand software”, and was formerly referred to as “software plus services” by Microsoft. 

SaaS (software as a service) refers to any software  that is licensed on a subscription basis and hosted in the cloud. This is often referred to as “on-demand” software, and it covers everything from customer relationship management (CRM) to enterprise resource planning (ERP) to accounting software. 

In most cases, SaaS is sold on a monthly per-user basis. That means users pay for the number of accounts they have, rather than the number of machines or devices running the software. 

Buying SaaS Companies 

Buying SaaS companies is a popular trend with entrepreneurs and VCs these days.  There are a handful of ways to look at this. 

First, the good: there are some great companies out there who may not have raised venture capital and would benefit from a little help and expertise. Some founders in this position may be looking to get out of the business or perhaps they want to be bought out because  they are tired of running the day-to-day. 

On the other hand, some founders in this situation are just getting started and want to scale their business with some help. In fact, many of these bootstrapped SaaS businesses are chugging along just fine without venture capital and they  do not want any part of it or perhaps they want to become a part of something bigger than themselves. 

In that case, buying these SaaS companies can be a great way to get around the competitive nature of traditional venture capital fundraising and/or give your startup a little extra boost with less risk. 

Selling SaaS Companies 

A lot of people ask why we sell SaaS businesses. Sometimes  it is because the owner has other projects and wants to move on, sometimes  it is because they want to ‘cash in’ on years of hard work. 

Some companies are sold because their products have become stale and outdated – it happens to all of us, but if  you are selling a business that has been successful for many years then this is even more likely. 

The reason we sell SaaS companies is because  we have come to specialize in finding the right buyer for each business that comes our way. The team at SaaSmarkets are a group of software developers who have worked with SaaS products for many years, so we understand them inside and out. 

This gives us a huge advantage over other businesses who might think they can help but  do not quite understand how things work in the industry. We also provide a free valuation service which means  there is no obligation when you contact us – just fill out our form or send an email with details about yourself and your company to get started! 

4. Apps 

Apps are generally small, individual software units with limited function. Apps are designed to be downloaded and installed on devices, rather than being developed for use in a browser. 

Apps can extend the functionality of an operating system or offer entirely new functionality. They are generally designed for specific purposes and, when loaded onto a mobile device, appear as icons on a home screen. 

The term “app” is a short form of the term “software application.” It has become very popular, and in 2010 was listed as “Word of the Year” by the American Dialect Society. 

In the Apple iTunes store, which offers thousands of apps for download to iPhone users, the term app is used to distinguish standalone software from other types of content (such as songs, movies, and TV shows). 

Buying Apps 

The App Store makes it simple to find and buy new apps for your Apple devices. Your purchases are tied to your account and can be redownloaded from the App Store or iTunes Store on your iPhone, iPad, iPod touch, Mac, or PC. 

Buy apps with your Apple ID To install an app  that is not available in your country or region, you might be able to change the country or region on your Apple ID. If you change your country or region after you create an Apple ID, you must update your billing information before you can use certain services. 

For example, if you change countries but  do not change your payment method, items charged to that payment method may be converted to the new currency at a lower exchange rate than Apple normally offers. 

Some credit cards issued outside of mainland China  are not eligible for in-app purchases. If  you are using a credit card issued outside of China mainland on an Apple ID created in China mainland, contact Apple Support. 

If there are charges for using an app,  they will appear on the screen before you download it. You can also see the price of each app in your purchase history. 

Selling Apps 

Selling apps is easy. Include a link to the app store in your email signature, and a link to it on your website.  

You can also list it in online directories such as the Apple App Store and Google Play. 

Most people are looking for solutions to their problems when they search for an app, so targeting keywords related to those problems is important. For example, if you have an app that helps salespeople keep organized, you should target keywords like “tracking sales” and “sales organization.” 

If you have an app that helps with a problem that people may not know about, then  you will need to target keywords that relate to the problem rather than the solution. For example, if your app helps parents deal with their children’s tantrums by distracting them with games, then you would target keywords like “child tantrums” rather than “child distraction.” 

5. Domain Names 

Every website on the Internet has a unique address. This address is called a Uniform Resource Locator, or URL. Until recently, URLs were hard to remember because they consisted of long strings of letters and numbers. 

But now, with the World Wide Web Consortium’s new rules, URLs can be based on English words The W3C also came up with some other rules: All domain names are written in lowercase.  

They can contain the letters (a to z), the numbers (0 to 9) and the hyphen (-), but they must start and end with a letter or a number; you  cannot have a hyphen at the beginning or at the end of the domain name. 

Domain names are limited to 63 characters. Domain names are not case sensitive. 

Buying Domain Names. 

Domain names can be expensive, especially if the domain you want is already in use. If you are looking to buy a domain, consider using GoDaddy Auctions, where you have access to the most popular domain names. 

GoDaddy Auctions makes it easy to get the domain name you have been looking for. What is a Domain Name?  

A domain name is a unique address that identifies your website on the internet. If  you are looking to register a domain name, think of it as your own personal brand. 

It is how visitors will find and remember you, so choosing the right one can be crucial. A good domain name should: Be memorable, Be unique , Be relevant to your business or community. 

There are several types of domains available: Geo-domains – These are used to attract visitors from specific countries or regions by focusing on related keywords or locations. Geo-domains include .us, .co, .ca or .io, among others. 

This type of domain is great for local businesses or for targeting audiences outside of the United States. 

Generic top-level domains (gTLDs) – These include common extensions such as .com, .net and .org. gTLDs are some of the most popular Selling Domain Names. 

Interested in Selling Domain Names? If  you are thinking about selling your domain names,  you will want to read this page.  We have put together some helpful information to get you started. 

Selling Your Domain Names. If you have a few valuable domain names and  you are thinking about selling them, there are a couple of ways to go about it: You can sell them on your own. 

This generally means listing them in our Marketplace so that potential buyers can find them. To make sure your listings are picked up by search engines, we recommend adding descriptive keywords for each domain name.  

Learn more about optimizing your Marketplace listings here. 

You can sell them through an escrow service like Sedo or Escrow.com, which gives potential buyers the reassurance that their money is safe until the transfer of ownership is confirmed by the seller. 

You can sell them through a domain broker like Domain Holdings or Uniregistry (formerly NameFind). Brokers will handle the negotiation and sale process for you, but they generally charge a commission of 15-20% of the final sale price. 

What Should You Look For When Purchasing An Online Business? 

There are a lot of benefits to buying an existing business over starting one from scratch. However, there are also a few things you should look out for when shopping around. 

Buying a business gives entrepreneurs the opportunity to enter the market with an already established customer base, brand recognition and cash flow. There are many benefits that come from purchasing an existing business, such as lower startup costs and faster time to market. 

However, there are some things you should look for when purchasing an online business.  Here is what you should know: Businesses in Growing Industries. 

When it comes to purchasing an online business,  it is important that the industry is growing. 

It may be tempting to buy into an industry that  does not have much competition because of lower prices, but this is not always the best approach. Purchasing a business in a declining industry can be very risky because you  do not know how long it will survive before going under. 

An industry that is growing rapidly will be around for years to come and increase your chances of success. Find Out Why the Business Is For Sale. If  you are looking at purchasing an online business, make sure you find out why the seller wants to get rid of it.  

There could be underlying issues within the company that they  are not telling you 

1. Purchasing An Online Business Monthly Traffic 

A factor that is often overlooked by entrepreneurs when they are considering the purchase of an online business is traffic. There are a lot of online businesses for sale and many of them enjoy a good amount of monthly traffic. 

In this post we will take a look at factors to consider when you are looking at website traffic as part of your due diligence when purchasing an online business. The first thing to note is that website traffic is generally measured in number of visits per month. 

This can vary greatly from site to site, so comparing it against other sites could be misleading without context. When reviewing site traffic, you need to compare it against the type of site it is and the purpose for which it exists. 

If the site is selling products, then a more important metric than number of visitors would be conversion rate from visitor to customer and revenue generated per visitor. The site may have very few visitors but if they all make purchases, then the traffic may not be as important as you think. 

On the other side, if the site has a ton of visitors with very little monetization or revenue generation, then the numbers should be closely examined and evaluated. Was there an issue with the way that monetization was set up?  

Are there better options? Could this large amount of traffic generate more revenue 

2. Purchasing An Online Business Revenue Generation 

People are buying just about everything online these days. From shoes to computers, and even new cars!  It is no wonder why  you are thinking about buying an online business.  

But as with any purchase, there are pros and cons to consider. 

What benefits could you gain from buying an established business? How can you be sure that a particular business is worth the money?  

Here are some areas to consider while researching whether or not to buy an online business: 

 

  1. Profit Potential. Of course, one of the biggest considerations is the amount of profit that the business generates. But  there is more to it than just looking at the bottom line; you should also consider how much time you might have to spend maintaining the business in order to continue making money.
  2. In other words, how much work do you have to do in exchange for each dollar earned? Scalability. If a site is already profitable,  it is likely that some aspects of it could be scaled up in order to increase profits even more rapidly.
  3. For example, if the site offers advertising space, adding more advertisers will bring in more income with little additional work on your part. 

You could also add new products or services to increase sales without having any additional overhead expenses. 

3. Purchasing An Online Business Expenses 

When purchasing an online business, it is important to carefully consider all of the following expenses that may be involved: The Purchase Price – understanding what you are buying and how much you are paying for it. 

Business broker’s fees. Legal fees for drawing up and signing documents. 

Taxes – if you purchase a corporation or other entity, there may be tax liabilities associated with the sale of the company or assets.  

Costs & Fees – there may be costs associated with transferring certain assets to your name, such as domain names and/or website hosting. 

These costs will vary based on the situation, but you should budget for these costs in advance so that you are not surprised when they arise.  

Due Diligence Costs – if you hire an accountant or attorney to review the financial and legal documents associated with the business, you will have to pay them for their services during this period of time. 

Even if a seller provides some due diligence materials, it is best practice to review them yourself in order to avoid any surprises after closing on the sale of your online business.  

Working Capital – building up cash reserves is a good idea before purchasing an online business so that you are in a position to pay for any working capital needs of the business in its first 

4. Purchasing An Online Business Growth Potential 

The Internet is a great place to buy an online business. The internet makes it easy to find online businesses that are for sale.  

You can find online business opportunities in your area or around the world. 

Purchasing an online business is a great way to start a new business without spending a lot of money or time building your own website and trying to figure out how to make money online. Buying an existing website, where you know you can make money, is a much better way to go about owning your own business than starting from scratch. 

It is easy to search for businesses for sale on the internet. There are many websites that specialize in helping you find and purchase an online business opportunity.  

They have sites for sale all over the world, with different types of websites for every type of business imaginable. 

You can use these websites to find an online business that fits your needs and budget. If you want an online store or ecommerce website, they will have them available, as well as any other type of website you want to purchase. 

You should be able to find exactly what you are looking for on one of these websites. You can get more information about buying an existing website from the seller or from the company. 

5. Purchasing An Online Business Find Out The Reason For the Sale 

If  you are considering purchasing an online business, find out the reason for the sale. The reason for the sale can provide clues as to whether or not a business is profitable or if there are major problems with it. 

The most common reasons for a sale includes:  -The seller is ready to retire after years of running the business and wants to enjoy their golden years.  

-The seller is moving to another location and  cannot take the business with them. 

-The seller wants to pursue other interests and no longer wants to run the business. 

-The seller is forced to sell due to health issues or personal problems. 

-The owner has lost interest and no longer takes care of it. 

6. Purchasing An Online Business Customer Reviews 

I am in the process of purchasing an online business (website) and I would like to use text analytics to determine if it is a good deal or not. The owner of the website sells products online, so he has a lot of feedback from his customers. 

I have copied all the customer reviews onto an Excel sheet and saved them as a csv file. Each row is an individual review. I am using a python script that reads each row as a string and performs text analysis on it. 

If I was to use only one statistic to determine if the business is worth buying, what statistics would be ideal? I have used the following statistics: Number of words in review  – Count number of words in string. Number of characters in review – Count number of characters in string (excluding spaces). 

Average word length – Sum total number of characters in string (excluding spaces) then divide by total number of words.  Reviews per star rating. – Count how many reviews are equal to 1,2,3,4 or 5 star ratings then divide by total number of reviews for each star rating. 

Number of exclamation marks – Count the number of exclamation marks in the review.  

Number of question marks – Count the number of question marks in 

How Do You Price Online Businesses? 

In my last post, I discussed the costs and considerations of starting a web-based business. Now that you know what  you are getting into,  it is time to look at valuation. 

How Do You Price Online Businesses? The short answer is: With difficulty. The longer answer is that if  you are not making money in the traditional sense (net profit),  it is even harder. 

The standard way to price a business is to look at its earnings before interest, taxes, depreciation and amortization (EBITDA), and multiply that by a factor based on its industry or risk profile. Generally speaking, businesses with predictable revenues and income get higher EBITDA multiples than those with volatile or difficult-to-forecast numbers. 

For example, a software company might trade at 10x EBITDA because it has high margins and predictable cash flow. A small retailer with low margins and highly variable sales might trade for just 2x EBITDA because  it is risky and hard to value. 

1. Online Businesses Identify The Business Model 

The business model for an online business identifies the manner in which it will generate revenue to cover its expenses and hopefully make a profit. The business model is not a one-time event, but an ongoing process that requires frequent review and adjustment as the company grows and as its competitive landscape changes. 

The three most common types of online businesses are manufacturers, retailers, and service providers. Each of these has different characteristics that affect their revenue models. 

Manufacturers sell products that they manufacture or assemble themselves, either to consumers or to other businesses. Manufacturers typically have a direct sales model with the manufacturer’s website acting as the online storefront for product sales. 

This is known as B2C (business to consumer) sales, and is perhaps the most common type of online business. Manufacturers can also sell directly to other businesses (B2B) through wholesale channels such as distributors, or through resellers who sell directly to consumers on their own websites. 

Retailers purchase products from manufacturers and then sell them to consumers or other businesses (wholesale). Retailers often employ drop shipping services to fulfill retail orders, avoiding the need to warehouse their own inventory. 

Retailers are typically less concerned about manufacturing costs than manufacturers are because they  do not manufacture anything themselves; instead, they 

2. Online Businesses Look at The Essential Metrics 

Small business owners have a lot to track. They need to watch their expenses, keep an eye on employee satisfaction, and make sure that customers are happy. But for online businesses, there is one metric that rises above all others: page views. 

Page views are how many times a page on your website has been viewed. These numbers can be tracked through Google Analytics or a similar program. Page views give you a look into the general health of your site and business. 

While they  do not automatically translate into sales, they do show you how many people are visiting your site.  That is important because if  they are not seeing it in the first place, they definitely  will not be buying anything!  

To get page views, you need traffic. You  cannot sell anything to someone who  is not browsing your site. 

There are two basic types of page views: unique and repeat. Unique visitors are those who view your site for the first time during that time period, while repeat visitors are ones who have seen your site before. 

Both are valuable measurements of web traffic, so  it is important to track both of them separately! 

3. Online Businesses Different Modes of Valuation 

Online businesses, including e-commerce and web-based application service providers (ASPs), are increasing at a rapid pace, and along with this growth comes the need for more precise valuation methodology. Although many of the same concepts and principles of traditional business valuation apply to online businesses, there are some specific factors that must be considered when valuing an online business. 

The first step in valuing any business is to determine its enterprise value, or the value of its assets less the value of its liabilities. The key difference in valuing an online business is that its net operating assets are substantially lower than those of a traditional business. 

This is because many expenses such as facilities, inventory, payroll and taxes are either non-existent or substantially lower for an online business. 

The second step in valuing an online business is to determine how to capitalize its earnings stream (its profits) using either a capitalization rate (i.e., earnings divided by rate) or a multiple (i.e., earnings multiplied by rate). In general, it is not appropriate to base a capitalization rate on the risk-free rate of return on U.S. treasury bonds because there is typically additional risk associated with an equity investment in an online business relative to a risk-free investment (in 

4. Online Businesses Study Annual Expenses 

Online businesses study annual expenses. A recent study by the National Retail Federation (NRF) found that online businesses are spending an average of $7,000 a year on their ecommerce operations. 

The survey covered over 2,000 small and medium-sized businesses, which collectively have sales of more than $1.5 billion in the US alone. The results showed that the average expense for running an online business was around $6,806 per year. 

This is not a surprising result when you consider the fact that most of these companies are selling products that cost a lot to produce, like clothes or electronics. In addition to this, there are many other costs involved in running an online business such as customer service, marketing and advertising. 

To put it into perspective, if you were to start an ecommerce store with an initial investment of $10,000 and then spend another $1,500 per month on it for five years, your annual expenses would be approximately $25,700. If you divide this by five years’ worth of sales (assuming you sell something every month), you can see that  it is pretty expensive to run a store! 

So how do these numbers compare with  what is happening in the real world? Amazon’s CEO Jeff Bezos 

Best Places To Buy & Sell Online Businesses For Sale – Frequently Asked Questions 

Q: How much will it cost to buy a website?  A: One of the great things about buying an online business is that you can find deals starting at very low prices. In fact, you can easily buy an already established and profitable business for less than $50K. 

If  you are interested in buying a larger business,  you will most likely find plenty of options ranging from $50K to $1M. There are even larger businesses listed in some markets, but they are not as common as the smaller opportunities. 

While there are many variables that determine the value of a business, the most important factors generally include: revenues (both current and potential), profit margins, niche type, industry growth trends and internet marketing skills. 

Is it safe to buy an online business? Yes, buying an online business is safe as long as you do your due diligence. There are hundreds of websites that sell and buy online businesses.  

Make sure to always verify the information provided by the seller before purchasing a website. 

Best Places To Buy & Sell Online Businesses For Sale – Wrap Up 

So, that wraps up our series on the Best Places To Buy & Sell Online Businesses For Sale. In part 1 of this series we discussed why and how to buy or sell an online business, so be sure to review that article if you  have not already. 

In part 2 of this series we covered the best places to buy & sell established websites. We also discussed a few alternative ways to sell your site, like hiring a broker. 

And in part 3 of this series we explored some of the best resources for buying and selling ecommerce stores and marketplaces. Plus we covered some additional tips for buying and selling online businesses. 

Buying or selling a website can be a great way to take your online business to the next level. It is important to understand the process of buying and selling and how the different marketplaces operate, before getting started. 

The best places to buy websites are Flippa and Empire Flippers. The best places to sell websites are Flippa, Empire Flippers and FE International.