Buy and Sell Website Investment Digital Real Estate

Naveed Anjum June 16, 2022

0 26 7 minutes read

Personal digital assets can also be traded to make money like selling a house

Websites are Digital Real Estate

Your hard-working blog or e-commerce website, in addition to the usual income, is also a publicly traded digital real estate. In the field of making money online, there is a group of people who specialize in website trading (Website Flipping). They are like traditional investors in buying and selling houses in the middle ages. They choose cheap websites with potential profit, and then revise them. Sell at a high price to earn the spread.

In the current digital asset auction market, what really attracts buyers’ attention is not the gorgeous appearance of the website, but its own profitability. The source of money can be through affiliate marketing, Adsense advertising revenue, monthly membership fee or commodity trading, Even with a mere $1 per month income, there will still be people interested in buying it, making it an ideal investment.

Why sell a personal website
There may be many reasons to sell a website, the most common being:

Want to use the money earned from the transaction to make other investments. For example, to develop new business opportunities
I don’t have extra time for business, I hope to get rid of it and do other more important things
The revenue of the website has encountered a bottleneck, and it is difficult for me to make a breakthrough.
Transfer of interest
How much can my website sell for

There may be many subjective and objective factors involved in the value of a website. Generally, the profitability and traffic sources of the website are often used as important indicators to evaluate the value of the website.

Among them, websites that make money through organic search engine traffic will be more valuable than websites from other traffic sources (such as paid advertising traffic).

Under normal circumstances, the transaction price is about 24 to 36 times the average monthly net income (Net Profit). If 30 times the median is used as the estimation standard. The resulting formula is as follows:

Site Selling Price = Average Monthly Net Income x 30

For example, the average monthly net income of your website in the first 12 months is 5,000 yuan, then the ideal auction price will be: 5,000 x 30 times = 150,000 yuan

The basis for building a high unit price website
To build a website property that sells well and is easy to resell, you must lay a solid foundation at the initial stage. Generally, you can start from the following three places:

1. Website erection
In the field of website trading (Website Flipping), most buyers want to invest in the website erection software they are familiar with. At this time, WordPress, which has a global market share of more than 35%, has become the preferred website erection software. .

Other website building software with a small number of users (such as Joomla) or a website with deep customization will appear unpopular when trading, and indirectly affect the transaction price.

Therefore, if you want your website to sell at a good price in the future, it is recommended to use WordPress to set up your website. As for the choice of website hosting, since there is not much traffic at the beginning, it is enough to use a cheap shared hosting.

As mentioned earlier, Afu’s transaction website on Flippa has a daily traffic of about 200 people, and he still uses the very cheap Bluehost shared hosting.

2. Content
Next is the content of the website, which is the backbone of the website and an important basis for attracting organic traffic from search engines such as Google.

For affiliate marketing or Adsense websites for the purpose of making money, if you are not good at or do not want to spend time writing articles, it is recommended to find writers on the outsourcing platform to do the work. The article may wish to go to iWriter, UpWork and ask for help.

3.
The amount of website traffic directly affects the profitability of the website. The most common way to increase traffic is to operate SEO (Search Engine Optimization) . In addition, some people will use social media such as FB and IG to guide stream, to increase the exposure of the website.

Sometimes there are cases of operating paid traffic, that is, spending money to buy advertisements to bring traffic to the website. However, most buyers still prefer to invest in websites that make money with organic traffic.

Things to prepare before selling your website
When buying and selling websites on digital asset trading platforms such as Flippa, the most important thing to check is the data related to profit. The appearance and functions of other websites are not the focus of consideration. Generally, the information to be provided when making a transaction is as follows:

1. The common way of website traffic data for one year is to open the Google Analytics (GA, Google Analytics) query authority of the website, so that the trading platform can directly read the traffic data.

Therefore, if the website you operate has a plan to sell in the future, you must set up GA Google Analytics for the website as soon as possible, so that you can provide credible traffic data when the website is auctioned.

2. One-year revenue data
disclose the monthly revenue and expenses data of the last 12 months, and calculate the average monthly net profit as an important basis for website valuation.

3.
For the revenue data displayed by the screenshot of the relevant income certificate, you need to upload the relevant screenshot as an auxiliary proof. For example, the Earnings Report of the affiliate marketing platform or the bank account certificate, etc.

4. Place to buy and sell sites
Although the transaction of digital assets such as websites can be carried out through the general traditional online auction market, such as eBay or Shopee, but because it is a popular store, it lacks professionalism, so it is mostly only suitable for selling new websites or cheap products without profit. website.

For serious website traders, most of them will choose platforms that provide digital asset trading services, such as Flippa.

The reasons are as follows:

It will attract a large number of professional buyers. In addition to increasing the price of the website, the transaction rate is also very high.
Assist in the certification of website traffic and financial data to facilitate buyers to estimate the value of digital assets.
There are rigorous property transfer procedures, and can guide the signing of contracts
Provide funds trust service, the platform will transfer the transaction amount to the seller after the buyer has passed the appreciation period (usually 7 days).

1. Flippa
English-based digital asset buying and selling not only has a large transaction volume, but also has a very mature market. Among the popular trading platforms, Flippa is the largest, with more than 300,000 registered buyers alone, every day The average number of projects for sale is close to 6,000.

2. Empire Flippers
The threshold for using this trading platform is very high. Generally, the average monthly net income of the website must reach more than 1,000 US dollars before it can be listed for trading. Due to the large number of heavyweight investors on the platform, the website can often be sold at a very good price.

3. Exchange Marketplace
This is the online store trading place provided by Shopify, the world’s largest e-commerce platform. For those who are engaged in cross-border e-commerce, they can directly sell the Shopify store they want to sell here or directly buy the ones operated by others. Online store, quickly take over the other party’s existing online business.

4. Flipweb
Unlike English digital assets, there are many well-developed trading platforms to choose from. If you want to buy and sell Chinese websites, because the current market demand is still developing, there are not many ideal channels.

Those who are interested may wish to refer to Taiwan’s digital asset brokerage platform FlipWeb.

In addition to the 4 digital asset trading platforms mentioned above, you can also actively contact to inquire about trading opportunities by searching for potential customers privately.

Introduction to Escrow Funds Trust
There are often many transaction risks in the buying and selling of digital assets such as websites. For example, the network traffic and profit data provided by the seller are falsified, the buyer’s funds have problems, etc. In order to ensure the successful transaction of the buyer and the seller, a similar Escrow is used. com and other third-party fund trust services are very important.

Escrow.com was established in 1999. It is one of the most popular funds custody platforms, whether it is physical or digital commodities, can use its trust services to avoid transaction disputes.

Eyes Production has sold several websites, whether through Flippa or private personal transactions, and often uses the services of Escrow.com.

The main process of fund trust in general trading websites is as follows:

Buyers or sellers initiate transactions on the platform (Transaction)
Buyer and seller agree to trade contract
Buyer wire transfer transaction payment to trust platform
Sellers transfer digital assets to buyers
Buyers enter the appreciation period (the number of days is in accordance with the provisions of the contract, generally 7 days)
Buyer approves transferred assets
The platform remits the trust transaction funds to the seller’s designated bank account
Other types of digital assets

In addition to websites (including blogs, e-commerce online stores, forums), digital assets that can be traded include apps, domain names, and social media (such as FB, IG, YouTube) pages or channels.

In addition, other items such as art creation pictures, website templates, and even online game accounts or game coins are also considered digital assets that can be realized.

However, since the official policies of most social media do not encourage account trading, formal digital asset investment is best concentrated on the three projects of website, app and domain name.