Sustainability – Great Guidelines On Purchasing An Online Business For Sale

When we hear reference to the word “sustainability” in business terms, it often refers to the company’s ability to manage its energy use, contain its carbon emissions and generally act as a good neighbor within society as a whole. We can unveil a whole new interpretation of the word, however, when it comes to the concept of buying an Internet business for sale. There are an increasing number of opportunities available to the entrepreneur these days as the Web becomes such a critical part of all of our lives. As more and more business is conducted via the Internet, expect to see an increasingly sophisticated array of Internet businesses available for purchase. Whenever business is conducted over the Web, it represents largely a “virtual” experience and it’s important to remember this. This is very different from the traditional business, also known as “bricks and mortar” and as such it can be difficult to value the business online.

Checkbook with Pen writing

This business sector is very dynamic and we do not have many points of reference or benchmarks to consider. When buying a gas station and convenience store for sale for example, there are a number of different accounting ratios and industry averages to help you consider your options, but when you are purchasing a website for sale, you may have to be rather creative when you’re trying to work out what value it has for you.

Take a cold, hard look before you buy a business such as this, and ask yourself exactly what it entails. Does it have a particular hold on any niche area; does it feature specific and more tangible products such as extensive content, for example? Are there loyal clients, and what methods of marketing are typically used to solicit them? The first thing you need to bear in mind is that such a business must have some kind of depth to it and there must be a clear path of progression in front of you. Continuity and sustainability are your buzzwords, as you conduct your due diligence process.

Very often, when you buy website business assets you will find that itâ€s the brainchild of the seller and you must guard against the loss of continuity, perception and marketability if he or she is no longer involved. Be wary if the business revolves around the seller’s personality. Does he or she have some significant and specific skills that you simply could not do without? Consider the possibility of the seller working for you on a limited basis going forward, but do be careful here, as well. In such a situation, itâ€s not so easy to come up with a non-compete agreement. Typically, with a “bricks and mortar” style of business, the geographical non-compete agreement may be relatively easy to enforce. However, on the Web it is all too easy to be “invisible” while still operating a successful business. In the worst-case scenario, the outgoing seller engages with a third-party operation somewhere else and sets up another operation, doing business that could be harmful to your fledgling operation.

Itâ€s absolutely essential to engage the services of competent, legal counsel in this area to design a bulletproof agreement for you. Maybe you should allocate some of the purchase price into a specific area to motivate the outgoing seller to work with you. This will involve the creation of a legal “note,” which only allows a certain amount of the funds to be released when it is evident that the seller is working with you and not against you.

Richard Parker is the President and founder of the prestigious Diomo Corporation – The Business Buyer Resource Center. His celebrated materials, seminars and consulting have encouraged thousands of aspiring business buyers from around the World to pursue their dream to buy a business.

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How To Have Fun With Your Internet Business Plan

I make the goals in my internet business plan fun to achieve. Let me explain how…

I’ve turned my internet business plan into a game, and I don’t know about you, but I like to win when I play games.

This is a game on a truly global scale.  A game where you are competing with every other website on the internet.  A game where you are really testing yourself.  The only difference with this game is that the stakes are much higher as it will directly affect your income.

I’ve therefore set up a scoring system that relates to the objectives within my plan. You could keep your scores on your computer but I prefer a piece of paper on my desk as a constant reminder of where I’m headed and what I am trying to achieve.

You decide how frquently it is appropriate to record the score – it could be every day or it might be at the end of the month.  Much depends on what you are scoring and how critical it is to your business.  Do this and you will quickly register if something is going wrong in your business.

Here are just a few of the key performance indicators I like to monitor:

  • site ranking via Alexa(- I have the free Alexa toolbar).  So far, within a couple of months, I have improved my ranking from over 600,000 to 363,070 so I am definitely moving in the right direction.
  • by clicking on the Alexa toolbar, I can access the Alexa site for more data- specifically my sites ranking in the UK which is currently 13,881, a massive reduction since inception just a few months ago and far out-pacing many long-established sites.  I find it rather exciting that my site ranks this highly after a relatively short time on the internet.
  • I can also track the number of incoming links to my site which currently stands at a trifling 13.  I have therefore just invested in a programme to boost my link building exponentially (-watch this space!)
  • I am also trailing the activities that render traffic such as:
    • no of articles and blog posts
    • no of videos
    • no of forum and social comments
    • Google Adword stats
    • and so on.
  • all this activity should generate leads, so I am monitoring the number of leads generated weekly
  • the size of my list is also monitored.
  • The number of marketing funnels and the amount of my sales are also scored.

The point about all this is to score those things that are critical to my success.  Then set your benchmarks or goals and plot your strategy for achieving each one.

If you fail with some goals, console yourself by the realisation that you discovered one way of not doing it.  It is helpful to remind yourself that business is a marathon and not a sprint.  You are not beaten until you give up.  So the aim must be ‘never to give up’ and you will eventually win.

Play it like a game, have fun, and you too will find yourself achieving your goals more easily.

I make sure to reward myself when I achieve a goal.  I bask in the glory – it helps me to press on to the next summit.  This is the best way to ensure that you will win the game whatever the odds against you.

I am just having fun taking it ‘higher and higher’ as I build my business.  That’s all there is too it. How about joining me in this great game of ‘Webopoly’? – bet I can beat you! Come on, ‘play up’ and join the fun.

If you enjoyed this post or found it useful, please consider my Caffine Level - I drink LOADS of Coffee!