Buyers beware! There are many webmasters on the web looking to make a quick dollar by flipping their websites. They build sites within a matter of weeks, drive traffic to the site within a matter of months & make a few dollars after the first year. They then turn to “investors” to buy in to the great opportunity they have for sale. On the surface, the website seems like it can make money and provide a return, but any keen buyer needs to do proper due diligence to uncover any holes in the offering. If a website has only been turning a profit for a couple of months, there are some key items to look out for to determine if the investment seems plausible.
See if the website has the potential to be profitable over a prolonged period of time.This can be done by asking a few simple questions to the seller. Where is the traffic coming from? Is the money being made from the sale of product? Ad revenue? Is it a subscription service? Is it a website based on a fad?
Every website that is offered up for sale will have different questions that will need to be asked, but just be sure to ask as many as possible. At the end of the day, if the seller wants to sell the website, they will provide the buyer with as much information as possible. So ask away!
In a proper due diligence period, one must not only look at the financial feasibility of the website investment. It is very important to uncover EVERYTHING about the site. How long has it been running for? What are the growth opportunities available? Who are the competitors? What are the competitive advantages of the website? Is there any contracted labor? What type of marketing is being done?

As professional e-business brokers, we deal with sellers all the time and know the right questions to ask to help out our buyers and to make sure we are dealing with legitimate websites as investment vehicles. A website broker will help tremendously through the due diligence process and will most likely provide key information that buyers would not have uncovered on their own. Conversely, any sellers that are not sure how to handle tough due diligence questions from buyers, can turn to a website broker at wesellyoursite.com for assistance.

So you are probably wondering what types of websites make great investments? There are so many sites out there that may look good or have unique idea or concept, but are they worth your time & more importantly, your money?

Websites need to be monetized properly in order for them to be considered a good investment. You need to see a steady stream of income coming in to make it viable. Sites can generate revenues in a number of ways. Here are just a few:

-Subscriptions for a service
-Pay Per Click Ads
-Product Sales
-Affiliate Marketing Programs
-Banner Ads

So what types of revenue streams make the best investment? Ideally you would like to have a combination of all of the above. Having recurring subscriptions in place combined with a solid marketing campaign that has several aspects to it would be an ideal situation.

It all starts with traffic. The more traffic the website generates, the more sales are made and the more ads are clicked on, etc, etc,. In my experience, websites with over 2,000 visitors per day can make excellent money via pay per click ads and affiliate programs, whereas e-commerce sites that sell products may only need 40-50 visitors a day as they are making money by the sale of the product itself and not on ads. In both cases, these websites are worth looking at as investments if they generate some profit on a monthly basis. Obviously the amount of profit differs from site to site and that will determine the investment amount. A website that profits $5000 per month may be worth upwards of $100,000 if that profit can be proven over the past couple of years. It really comes down to analyzing each website, figuring out where the traffic comes from, where the revenue comes from and to determine if the current revenue model can be sustainable over a longer period of time.

As a buyer, you should first figure out how much capital you have to invest, then go searching for websites that would fit within your range. At wesellyoursite.com, we can help you find a website that fits your budget. From $50,000 to $3 million, we have a business that may just be the right investment for you.

There are so many investment vehicles today that it is sometimes difficult to decide where to put your money to get the best return. Investments can come in the form of stocks, bonds, businesses, or even people.
When talking about buying a website as an investment vehicle, it is just like buying a business, but the website investment industry as a whole is still fairly new, so there are less hoops to jump through to get a decent website that produces a return.

We have been buying and selling websites for over 5 years and we know that websites with a good track record will produce a return for us. That is why we got into the brokering business. We cannot buy every money making website that comes by our desk. We have capital for sure, but we do not have the time to purchase everything we want and run them all successfully. That is why we line up interested buyers with money making website opportunities as an investment vehicle. It just made sense for us.

Websites can be great for long term or short term investing. The Internet is always changing and more and more people are coming online everyday. This makes this 24/7 global marketplace the largest market in the world and it only continues to grow. With a market so large and very minor barriers to entry, the Internet is a hotbed for investments that can turn huge profits in a short amount of time.

Here are the top 10 reason why buying a website make a good investment:

1- Low start up costs
2- Global marketplace that never sleeps
3- lower marketing costs than traditional mediums
4- Free promotions (organic traffic rankings, viral marketing, etc)
5- Low maintenance costs
6- Less staff than traditional businesses
7- Can easily automate your business and receive payments from people all over the world
8- Work from anywhere!
9- Market growth – Internet has more users coming online everyday…largest market out there!
10- Potential for exponential growth in a short amount of time

Let wesellyoursite.com help you find a website that makes a great investment for you!

Until tomorrow….