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First of all, before pricing your startup it’s important to know what type of service it is as the multiples you can achieve for various monetization styles var

First of all, before pricing your startup it’s important to know what type of service it is as the multiples you can achieve for various monetization styles varies greatly e.g. Membership Fees, Advertising Revenue (with subsets of Affiliate/Adsense/Display – these also vary greatly as well!) etc. Secondly, having used Flippa since it was part of Sitepoint Marketplace I know that Flippa actually sells a lot of sites around your $7500/month revenue (with $6k/month profit) margins. In fact, sites have sold for over $1MM on Flippa e.g. https://flippa.com/2677949-planetrx-com https://flippa.com/2677949-planetrx-com which sold for $1.2MM. Likewise, https://flippa.com/102961-bloggersunite-featured-blogger-network-51k-page-views-featured-on-cnn https://flippa.com/102961-bloggersunite-featured-blogger-net... sold for $450,000 There are many other sales on Flippa in the several hundred thousand range. Generally sites are sold for a multiple of around 12-18x monthly revenue (although this can increase to as much as 36X depending on your site & how stable these revenues have been over a period of time). For some relevant comparison: Inquisitr sold for $330,000 with $15,000/month revenue - https://flippa.com/138899-the-inqusitr-rare-opp-to-buy-15k-month-news-site-with-1-5-million-uniques https://flippa.com/138899-the-inqusitr-rare-opp-to-buy-15k-m... A file host just sold for $300,000 11 hours ago on Flippa (at the time of this comment) - https://flippa.com/2747329-one-of-the-largest-and-most-valuable-file-hosting-site-on-flippa-w-huge-profits https://flippa.com/2747329-one-of-the-largest-and-most-valua... with profits of $XXXXX.XX per month

ig1 14y ago
Sites that sell on Flippa typically sell at a discount, a privately negotiated sale within your industry will almost certainly sell for more. If you end up going to a broker or a site like Flippa it sends a strong negative signal that you can't sell it directly which has a significant downwards impact on the price (also the people likely to buy in those scenarios will lack the value-add that an industry player would have).
- itsprofitbaron 14y ago
  Agreed, generally I believe that in this type of scenario that its far better to reach out to potential competitors or to companies (where appropriate) who can incorporate the product horizontally or vertically into their service/operations. The comment was just providing some perspective over Flippa, that its not necessarily a place to sell sites for a few hundred bucks which I should probably have made clearer.
buymycompany 14y ago
great reply, this was very helpful. We are a SaaS market research tool for a specific type of niche just to clarify. I'll start monitoring Flippa and see if I should test the waters there. Thanks again!

ig1 14y ago

Sites that sell on Flippa typically sell at a discount, a privately negotiated sale within your industry will almost certainly sell for more. If you end up going to a broker or a site like Flippa it sends a strong negative signal that you can't sell it directly which has a significant downwards impact on the price (also the people likely to buy in those scenarios will lack the value-add that an industry player would have).

itsprofitbaron 14y ago
Agreed, generally I believe that in this type of scenario that its far better to reach out to potential competitors or to companies (where appropriate) who can incorporate the product horizontally or vertically into their service/operations. The comment was just providing some perspective over Flippa, that its not necessarily a place to sell sites for a few hundred bucks which I should probably have made clearer.

buymycompany 14y ago

great reply, this was very helpful. We are a SaaS market research tool for a specific type of niche just to clarify. I'll start monitoring Flippa and see if I should test the waters there. Thanks again!