Fearful of Paying too Much when You Purchase a Web Site? :: website websites

dreadful of Paying in any case Much when You Purchase a electronic net consummation send?Reprinted with permission of VotanWeb.comI receive a consider of email from authorization website vendees. Recently I received a notice from a purchaser who was genuinely excited just about a finicky website but he was very atrocious of overpaying. The website was a perfect crack for the purchasers interest and engender. The website was in the same market that the purchaser had worked in for the departed 9 years. The web site had great trading and the purchaser could earn potential to grow it. However, the purchaser was still fearful of paying too much. The bottom line was that the sullyer believed the seller was demanding about 15% more(prenominal) than the website was worth. This had caused the negotiations to reach a stalemate.The solution to this problem was very clear to me. The buyer himself had provided me with a very compelling reason why this website was an excel lent chink for him. He would have the opportunity to grow an living website in which his experience would allow him to hit the ground running.One air to approach this slip of decision is to consider your best available ersatz. If you dont buy this website, what is your best alternative? Is it a website with considerably little traffic? Is it a website in a market where you have less experience and so whitethorn be blind to potential pitfalls? Is it sitting on your specie while this website is purchased by an other(a) buyer? Your best alternative may be sooner less attractive than paying 15% more for the website.Perhaps this buyer had calculated the acquisition price as a multiple of sales, as is the norm. These calculations are merely guidelines not straightjackets. These calculations must be adjusted to conk out the reality of the buyer. If the buyer were to acquire a cheaper website with less traffic accordingly how long would it take him to build traffic to the level o f the superior website? The buyer could invest a lot of time send email to other website requesting link exchanges to increase the visibility of the websites. But what is the take to be of the buyers time? Perhaps $50 an hour, or $60? The buyer should severalise the amount that he would need to overpay by $50 -- his periodic rate to determine the equivalent number of work hours. Perhaps the buyer will quickly justify paying the bigger amount when he realizes the actual cost of his time if he purchased a lower timberland website.Fearful of Paying too Much when You Purchase a Web Site? website websitesFearful of Paying too Much when You Purchase a Web Site?Reprinted with permission of VotanWeb.comI receive a lot of email from potential website buyers. Recently I received a note from a buyer who was very excited about a particular website but he was very fearful of overpaying. The website was a perfect fit for the buyers interest and experience. The website was in the same mar ket that the buyer had worked in for the past 9 years. The web site had great traffic and the buyer could see potential to grow it. However, the buyer was still fearful of paying too much. The bottom line was that the buyer believed the seller was demanding about 15% more than the website was worth. This had caused the negotiations to reach a stalemate.The solution to this problem was very clear to me. The buyer himself had provided me with a very compelling reason why this website was an excellent fit for him. He would have the opportunity to grow an existing website in which his experience would allow him to hit the ground running.One way to approach this type of decision is to consider your best available alternative. If you dont buy this website, what is your best alternative? Is it a website with considerably less traffic? Is it a website in a market where you have less experience and so may be blind to potential pitfalls? Is it sitting on your money while this website is purch ased by another buyer? Your best alternative may be quite less attractive than paying 15% more for the website.Perhaps this buyer had calculated the acquisition price as a multiple of sales, as is the norm. These calculations are merely guidelines not straightjackets. These calculations must be adjusted to fit the reality of the buyer. If the buyer were to acquire a cheaper website with less traffic then how long would it take him to build traffic to the level of the superior website? The buyer could invest a lot of time sending email to other website requesting link exchanges to increase the visibility of the websites. But what is the value of the buyers time? Perhaps $50 an hour, or $60? The buyer should divide the amount that he would need to overpay by $50 -- his hourly rate to determine the equivalent number of work hours. Perhaps the buyer will quickly justify paying the larger amount when he realizes the actual cost of his time if he purchased a lower quality website.