Website Acquisition for Income Generation

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By Ken Courtright, Today’s Growth Consultant


The economy hit people hard and many are looking for a better, or at least a different path for income. Joining the small business community, which has enjoyed a healthy growth in recent years, may be the way to go.

According to the Intuit Index, a monthly report of people working at businesses with 20 or fewer employees, employment was up 4.7 percent from July 2009 to Feb. 2012. By contrast, the Bureau of Labor Statistics’ measure of the overall U.S. non-farm employment increased by only 1.9 percent. With this upward trend in small business growth, what options are there for those wanting to start a company? Purchasing an already monetized website — one with low overhead and potential for sustained income — could provide the financial security one seeks.

Today’s most popular methods of making money on the Web, of course, come from display ads, lead generation, product sales, or direct sales of a service, product or app. The purchase of a monetized website offers something unique. When buying a website that is already making profits, the buyer may not have to have any experience in the industry the site resides in. The days of needing a specific education, skillset or industry training to own a small business are over.

Because buying revenue-generating websites takes little in the way of industry experience, it is a great option for those needing extra income or for many who need to work from home. One must still take careful consideration before buying a monetized website as without knowing what Web properties are truly sustainable, people can slowly watch their investment erode away. There are many ways to go about acquiring a thriving online business, but take the following criteria into consideration and you’ll be on the fast track to generating online income.

1. Assessing the Commitment

If you are in the market to acquire a site, make sure you are comfortable with the financial and time commitments. Focus on “Non- Heroic” websites, meaning buy websites that are easy to maintain, market and manage. You must also make sure you have the passion, interest, content and funding to get into the game.

2. Funding the Acquisition

A quality, sustainable website acquisition can range from thousands of dollars to millions. There are three main factors in determining the proper budget for acquiring a monetized website. The first would be the risk tolerance of the new business owner; the second is the amount of income they are shopping for; and the third is how much of the starting capital should be set aside for monthly maintenance and marketing.

3. Finding the Right Site

Now comes the tricky part — finding the right Web property. At any moment there can be 10,000-50,000 sites for sale throughout the world, but not all are potentially viable investment opportunities. Monetized websites are listed for sale just like homes and cars on sites like Flippa.com and others. There are many strategies and methods for identifying a quality, sustainable site. Consider evaluating a site on the following criteria: quality of design and development, current and potential market share, existing promotional efforts and overall promise.

4. Acquiring the Site

It is necessary to scan hundreds of sites each month to determine the best fit for an individual. Only consider acquiring those sites that are consistently generating stable revenues, and at roughly two times their earnings, which means that at the time of purchase it is producing a 50 percent annual return.

5. Making It Work and Grow

While it is essential to acquire a site with a proven track record of revenue and success, the ultimate goal is likely to grow the site’s income even further. The first recommendation is to understand exactly what type of monthly marketing they were doing to get the site into its current position. You may want to look to partner with an Internet marketer that understands how to make your digital asset grow and prosper.

Keys to Success

The key to buying a quality, sustainable monetized website is to do the homework, make sure the website has steadily generated income over time and is in an industry you believe has a good future.

About the Author: Ken Courtright is an entrepreneur who has leveraged his 20 years of business experience to drive the success of Today’s Growth Consultant and its division Income Store.

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