Wanted: Domain Appraisal Appraisal: motorcycle.co.uk

[mif]

Dipping my toe in the water here, not sure I'm ready to sell, but I want to know where I stand and what my options are....

motorcycle.co.uk
revenue: £xx,xxx per annum
page views xxx,xxx per month
PR4
Might sell as a pair with motorcycle.org.uk

Given recent sales of fly.co.uk, recycle.co.uk, and hints of other 'unreported' 6-figure sales - motorcycle.co.uk has to be worth (well into ?) 6 figures ?

(Yes, I know, one "needs to find the right buyer", "worth whatever someone will pay", but I'm in no hurry, I can wait for the right deal.)

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I'd also be interested in Members' views on whether the value of such high 5 and 6-figure names has reached a plateau, where the community is trading them at their true worth and they are unlikely to increase over the next 3-5 years. Or whether the reported 87% and 150% value-increases for .co.uk over the past couple years will continue into the future for high-value generics (source Sedo).

If the value is likely to continue to increase significantly, I might be tempted into leasing it for an N year term. Thoughts on this would be welcome.

--
Mike

 

[rob]

Lots of varients ie. bikes , motorcycles etc but still decent name so I would say end user possibly 6figs however the value is in the existing site.

Going on 'xx,xxx pa income' if that is verifiable over the last couple of years it could be sold as a small business with overall website + domain value as the price.

Really depends what the X's are

Good to see a old domain that has been fully in use and has a site built up on it

 

[bb99]

Mike

If you're not desperate for cash now, if I were you I'd spend the income you're making on the name to develop it further and redesign it a bit. If you do it right you could increase that income quite nicely.

 

[mif]

...Going on 'xx,xxx pa income' if that is verifiable over the last couple of years it could be sold as a small business with overall website + domain value as the price.

Really depends what the X's are ...

Not about to post what xx,xxx is here. It is comfortably into 5 figures, but not high 5 figures.

I did read somewhere that 7x revenue was a reasonable multiplier. Or was that 7x net profit... Can't remember.


(Income is verifiable. Anybody doing due diligence would be introduced to my Accountant.)
--
Mike

 

[julian]

I think 2.5/3 times profit or 3/3.5 times turnover (maybe thats a little conservative in some peoples book)

imho I would never buy a business based on 7 x Turnover - esp a web business just becuse a biz has run for a few years - its still a risk.

If your domain makes 50k pa with 25k profit then personally I would not pay more than 75/85k

as for the domain value itself..

 

[retired_member27]

Excellent domain, although being a biker myself I would prefer to have bike.co.uk or even motorbike.co.uk.

 

[mif]

I think 2.5/3 times profit or 3/3.5 times turnover (maybe thats a little conservative in some peoples book)[...]
as for the domain value itself..

Indeed so. If one was selling a small business - a Sub Post Office, a barber's shop, a small factory unit... - then 3/3.5 times gross profit has long been a good rule of thumb.

But I suspect that the generic name may interest the UK Yamaha importer, or the Motorcycle Industry Association, or whoever. Who will not care a jot what adSense/banner ad/CPA/blah-de-blah it may be making.

The site traffic of xxx,xxx a month Page Views and reasonable PR must have some value to such a buyer though... ?

--
Mike

 

[retired_member26]

Excellent domain, although being a biker myself I would prefer to have bike.co.uk or even motorbike.co.uk.

Bike.co.uk is owned by STJ who is the far most owner of the best .co.uk domains in .co.uk world. He uses bike.co.uk as a forum with adsense with minor activety.

I definately do not sell this name but look for other oppurtunuties like leasing or JVing with a professional firm.

PS: Try to find a hmtl coder to revamp your site. It looks sketchy and amateurish.

TurNIC