Buying or selling a website has certain risks. Because there are no physical assets, and because you will usually work with someone who isn’t local, and because the Internet is constantly changing, the landscape for online businesses is somewhat volatile. Add in the fact that this industry also has some less-than-honest individuals (to put it nicely) and you are left with an industry that has a higher-than-average risk factor.
But for those people who know how to manage the risks of this industry, the returns can be staggering.
So how can you participate in the business of buying and selling websites without exposing yourself to too much risk? The answer is usually found in following a process.
The Goals of Our Recommended Process
There are many different ways you can approach an acquisition of a website. But since 2007, we have have been refining our approach and process to create a process to accomplish the following goals:
- Transparency. It is crucial that anyone considering an acquisition have all the information they need to make a good, sound, and safe investment. Our recommended process is designed to do just that.
- Protection of information. We understand that you do not want your information randomly shared with unqualified prospects. Our recommended process helps restrict who receives your information and saves the most sensitive information to the person who will eventually acquire your website.
- Clearly defined milestones. For both buyers and sellers, it is important that the deal reaches a conclusion. This requires having clear and mutually agreed upon milestones.
Our Recommended Process for Buying and Selling a Website
The process we recommend to both buyers and sellers has been tested on hundreds of transactions since 2007. It has served thousands of buyers and sellers well since that time and accomplishes the goals listed above.
So while there are many different ways to buy or sell a website, we strongly recommend following these six steps.
- Step 1: Preparation
- Step 2: General Discovery
- Step 3: Letter of Intent (LOI)
- Step 4: Due Diligence
- Step 5: Transition Planning
- Step 6: Closing
- Step 7: Post-sale Training