Get my Free Digital Marketing Jumpstart Kit<\/a><\/div>\n<\/div>\n\n\n\nCurrent Market Valuation of the Site<\/h2>\n\n\n\n
Where things got really interesting is in the up into the right curve in the last few months, just looking at the month of November, I’m on pace to make $750 from this lay ads alone on this website that doesn’t include Amazon affiliate or other affiliate programs, and also doesn’t include any info products I might sell in the future. And then what’s really powerful is just thinking about the concept of if I were to sell this site now.<\/p>\n\n\n\n
It has a clear uptrend, it has a healthy domain in which there’s no bad backlinking, it’s all organically built and it’s on a really old existing domain. And what that means is that it could probably command a pretty decent multiple. In fact, right now when sites are being sold, they’re being from anywhere from 45 to 50 times multiples at times. And so what that means is that you can take how much a site is making on a monthly basis multiply that number by 45 and that’s essentially what the sale price is going to be.<\/p>\n\n\n\n
So just taking an example here, what I’ve done is I’ve mapped out for you guys, an example of what it might be based off just some different averages of the monthly revenues. If, for example, this site were to sell at the average revenue point of $300 a month, then that would mean that 13.5K would be the sale price.<\/p>\n\n\n\n
If it were $450 a month, it would be about 20K. If we were $600 a month, 27K and then $750 a month, it would be close to 34K using a 45 times multiple. And the reason why that’s really powerful is because of what it helps you realize is that even though I’m only 20 something percentage ROI, when it comes to the actual revenue, I’ve realized today that if I were to sell this site today at its current valuation, we’d be looking at something in which pretty much even using a really low baseline multiple, I am still profitable and up for the amount of time that I’ve been investing in this website.<\/p>\n\n\n\n
Just to help you understand this, I’m going to break down each of these points. If I were to sell the site based off of a $300 a month multiple. So in other words, for 13.5K and then include all of my lifetime revenue from display ads, as well as Amazon affiliate and not even include my November revenue as well, that would mean that I would get a 90% return on my money, which on a monthly basis for the 21 months means that I’ve been making 4.29% online money for that entire time period.<\/p>\n\n\n\n
If on the other hand, I were to be selling at a higher multiple. So for example, at the $600 a month, then what that would mean is that it would actually result in a 259% return on my investment in which over a 21 month period, that would mean that I have earned about 12% on my money every single month.<\/p>\n\n\n\n
And that is really powerful because essentially what it shows you is that it’s not an actually the amount of revenue I’m making today, but actually in the inherent value or the equity of the website that really provides the upside to the owner. So that just goes to show you that even though you might have invested a few thousand dollars into a website and you haven’t really made back your money yet, you can still make a lot in the long-term as long as you just keep running your website, as long as you keep investing your website, building up the equity so that it becomes inherently more valuable.<\/p>\n\n\n\n
Now that said, I can give you another case study example of which it’s a website that I’ve largely continued to build upon it. It hasn’t really broken past a plateau and that situation it’s something in which I’m just continuing to add cost. However, what that website’s doing on the flip side of things is it’s slowly making more money to the point where it will eventually break even.<\/p>\n\n\n\n
In fact, this website alone would break even if I were to just add no content and then continue to take in the gradual revenue that’s generating every single month.<\/p>\n\n\n\n
Some mistakes I’ve made when building this site<\/h2>\n\n\n\n
So hopefully now you have a better understanding of how lucrative building websites can be. Let’s take a look at some of the mistakes that I’ve made along the way with building this website, though, that I wanted to recap for you guys.<\/p>\n\n\n\n
The first thing that I think that I made a mistake on was not consistently publishing every single month. I took that break in the middle because I honestly started losing faith that this project could turn it around. I had already invested around four grand or five grand at that point. And I was not seeing ROI. I was making a hundred dollars every single month and the traffic trend was also not very good.<\/p>\n\n\n\n
And so it was something in which I needed to see that hockey stick or that inflection point in the curve in order to have the confidence and the conviction to invest further into this website.<\/p>\n\n\n\n
The second mistake I made along the way was I didn’t actually maximize my Ezoic earnings along the way until a few months ago. You’ll notice that there was a big jump when it came to my revenue in the last few months. And that was simply because I had Ezoic review my website and the placeholders for the website. And what they realized was that I wasn’t having a nearly as many placeholders as I could. And so by simply increasing the number of ads I had on my website and properly aligning the full entirety of my website she was old standards I was able to drastically increase the revenue per day on this particular domain.<\/p>\n\n\n\n
And then the third thing that I would say I made a mistake on was I didn’t start building my email list from day one. If I had started building my email list from day one, I really would’ve probably made more money because I could have released an info product or it could be just converted that traffic way more intentionally in terms of an email list. But I recently just started introducing that email list, and since then, I’ve already been building up that email base, which will give me just another avenue for me to either drive more page views back to the website or to drive them towards some sort of product that I built myself.<\/p>\n\n\n\n
Was it worth it?<\/h2>\n\n\n\n
So you probably already know the answer to this question, but in case you didn’t, I want to hammer it home, which is, was it worth it? Absolutely. In the last 21 months, I’ve learned a lot by just entering an entirely new niche. Previously, my other niches were in completely unrelated spaces. And so here was a case where I was taking an expired domain and building it back up from the ground, pretty much like a rising Phoenix.<\/p>\n\n\n\n
And then the other thing that’s been really valuable for me is that I’ve been able to hire a ton of people as writers, as well as as assistants to give them continuous work over the last 20 months. Sure, I haven’t made my ROI to date in terms of actual money in from the website, however, I haven’t just the equity itself and the website and in the satisfaction of knowing that I’m able to give people different side hustle income, or even just primary income in terms of some of the work that I have available for them.<\/p>\n\n\n\n
And then the last reason why it’s really worth it to me is because the site is growing. The trends are all up into the right. This month it’s going to be a big month of growth as well. And so what this allows me to do is to really evaluate whether or not it’s time to double down on this website or potentially exit at a local maximum so that somebody that is even more experienced can take over and grow it from here.<\/p>\n\n\n\n
From this quick, deep dive though into one of my websites, I hope you guys can notice from both seeing the upside as well as the mistakes I’ve made along the way that it’s okay if you don’t get it right the very first time. Sometimes you’re not going to be able to tackle everything you want for your website.<\/p>\n\n\n\n
What’s more important is to make sure that you’re continuing to build your website if you still care about it. And in the case where you don’t, then potentially sell your website. It’s not a big deal. If you decide to move on from a project as well. But overall, the key takeaways when it comes to learnings at the high level for the positives are consistently release content, make it high quality and look at what the data’s telling you.<\/p>\n\n\n\n
In the case where the data’s starting to show you that there is a positive trend line forming that is the time to double down your content and see where it takes you.<\/p>\n\n\n\n
If you found this article helpful, be sure to\u00a0check out my YouTube channel<\/a>\u00a0to get new videos every single week. I\u2019ll help take you from zero to self-starter as you grow your business, get more customers, and hone your business acumen. Also, feel free to share this with anybody that you think might also benefit from learning more about building websites.<\/p>\n\n\n\n