Justin Cooke from Empire Flippers and the Web Equity Show has a marketplace to help you buy or sell a web business. His service has not only sold standalone websites, but also Amazon Associates, Kindle, and FBA businesses. Listen in as he tells you what pitfalls to avoid as both a buyer and seller.
Quotes:
“The truth is, at the smaller end—people are looking at multiples of profit, so your business has to be making money.” – Justin Cooke
“If you get to the point where you’ve got another business blowing up, sell it off earlier rather than later.” – Justin Cooke
“The money you put into the business isn’t necessarily going to add to its value.” – Justin Cooke
Takeaways:
06:30 Online business value is primarily determined by consistent monthly net profits, not development costs or personal investment.
13:05 Marketplace brokers like Empire Flippers provide critical vetting and guidance to reduce risks for buyers and sellers.
19:04 Collaborative investment models allow people with different skills and capital to jointly own and operate online businesses.
22:23 Buying an online business requires practical skills like WordPress management, content creation, and traffic generation.
24:27 Entrepreneurs should plan to sell businesses when they have stable 12-month earnings and are no longer passionate about the project.
Podcast: Play in new window | Download (Duration: 38:16 — 35.0MB) | Embed
Subscribe: Apple Podcasts | Spotify | Amazon Music | iHeartRadio | Podchaser | RSS
