Buy, Build, Flip! This is a resale of a Surveillance Equipment online business acquired by the current owner, from the original owner, about one year ago. Although both the initial sale and the resale are being handled by the same Broker I recommend to clients to “Be Proactive” to find the best Internet Business Opportunities“Home Security” – Average Monthly Searches: 1,678,802; Vicissitude Ratio: 112.28There are dozens of web farms that buy online businesses from the initial owner, put substantial effort into optimizing (visitor traffic and revenue increases) the website, and flipping it for a large profit later. Usually around a year after acquisition. For example, a few years back, a Home Decor online business purchased by a US based web farm for around $100,000. At the time the website was generating ~$40,000 in annual net income.
About 18 months later this web farm had increased sales to $800,000 annually and $160,000 in net. They “flipped” this Internet Business Opportunity for a sale price of ~$500,000. After deducting their development expenses over the 18 month period, ~$120,000, they netted a nice profit of $250,000! Plus a net profit on increased website sales of ~$60,000.
“Home Decor” – Average Monthly Searches: 3,311,112; Vicissitude Ratio: 46.41
What also makes Home Decor a solid category, besides the low Vic Ratio, is that your competition is also most likely drop shipping to customers.
What is the best way to buy an online business? “Be proactive”! Find your category and contact website owners in that category of Internet Business Opportunity. |