View Single Post
Old 07-05-2009, 12:48 PM  
lagcam
Confirmed User
 
Industry Role:
Join Date: Jul 2007
Posts: 2,892
OK, confession.....I had never heard of this site before it was put up for sale and so I am afraid this opinion is completely impartial, and based only on the information available in this interesting thread.

Stile, you come across as a very likeable and straightforward guy. Clearly you have a place in the hearts of many people who have posted on this thread, and a very popular website. You already know this but you can completely disregard the flamers and haters. They will talk their shit whatever you are selling at what ever price. Nobody will take seriously anybody who personally attacks you for placing a particular value on something. Take consolation that it bumps your thread and more people will see it.

In my opinion going public on the sale in this way was a good move. People can't buy something if they don't know its for sale. I think that advertising the business for sale on the site itself is not a bad move in this case either. It is always easier to sell something to somebody who knows and likes it than somebody who is just looking at the numbers without any feel for the history or the potential.

The one area where I think you have possibly done yourself a dis-service so far is when talking about the reasons for the sale.

As I read it, you are sending somewhat mixed messages. On the one hand you say you have lost a key part of the site's ability to operate, and you don't want to go the route of getting in a new coder/programmer, but then you are also saying that the perfect scenario for you is for somebody to buy it from you and give you a job running it.... now correct me if I am wrong but you would still be in the same boat, albeit with heavier pockets !

I think what you probably meant to say is that you have been looking at the return you are making on all the work you are putting in, and the traffic you have and you do not feel it is enough. You KNOW what you need to do to take it to the next level, but for whatever reason you do not have the resources to do so at this time. This feeling of depression that you talk about is probably the realisation that you will now have to work harder to maintain where you are now, when that energy could have been used in more profitable ways. Am I right? Apologies if I am not

I see you have placed a value of $2,000,000 on the site, but didn't reveal any actual income figures, so I guess this figure is based on a combination of what you think the traffic should generate in terms of revenue and what value you place on the goodwill of the business and the expertise. contacts and infrastructure you will transfer rather than simply a multiple of the income it actually generates?

In my opinion this is the correct way to value a "known business", but a purchaser will of course always want to discount the goodwill element and just calculate when they can recoup their investment !

You say you have received a number of offers? Why don't you update people as to where they are at? There may be people unwilling to pay $2 million, but wiling to pay a lot more tha you have presently been offered. Also as you clearly want to remain involved in the business why don't you sell only part of it and retain a share rather than simply become an "employee" which you don't strike me as !

Anyway, best of luck. I hope this all ends to your satisfaction, whatever you decide to do, and better go to Thailand BEFORE you have a pocket full of money cos Thai girls can smell it a mile away, and will quickl relieve you of the stress of carrying it around !
lagcam is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote