In case you are a website owner and you plan to sell your website then there are quite a few factors that you will need to consider. The process of evaluating the value of your site is termed as appraising website. This process needs to be carried out very diligently as the selling price of your website is dependent on the site value calculated keeping factors for website appraisal in mind. It is best to get website appraisal done by professionals who know everything about website appraisal. It is recommended that you first do a thorough research as far as website appraisers are concerned.
There are various parameters that one needs to keep in mind during appraise website process are:
- The most important thing that is taken into consideration, by the website appraiser, is the website revenue, whether your website is profitable or not. Cash Flow or Profits that is the key aspect to be considered. Revenue model of the site that can be donation, subscription, service, advertising and more.
- The second important aspect that a website appraiser will consider is the kind of traffic your website generates, this means how many people visiting your site come there to actually buy the product you offer. Hence the amount of traffic received focusing on unique visitors is determined. This would generally determine whether the website is worth buying or not.
- The website appraiser will evaluate the records and try and find out when (months or years) and how much (value) does the site generate in terms of revenue and if this is not true then the amount of losses that your website is incurring.
- A website appraiser knows pretty well that, after going through your records, whether your site is making profits after your fixed expenses, are met for that particular month.
More Things to Consider During Website Appraisal
- Website usability that ensures how friendly is the website from users perspective
- Cost incurred in creating the website
- Costs involved in re-creating the website
- Brand value or goodwill of the website
- Website assets and liabilities
- Number of links and their quality
- Client base and future business potential
- The cost of the domain name is also considered
- Websites Alexa Rank
These are some of the standard things that are to be kept in mind by the website appraiser or the site appraiser. Various website appraising tools and websites, such as Alexa, Overture Bid Tool, websitevaue.com, websiteoutlook.com. These also help you get an idea of your website value. Once your website valuation or site valuation is done then a project report is prepared and submitted to the prospective buyers. After a lot of negotiations between both the parties the deal is finally sealed.
