Placing a value on a website

[kev88]

Hi there,

I own a business which sells a certain type of beer glass. It's quite a unique glass which has become popular after appearing in a film. I generate around $1000 a month in sales on eBay and some via the website (needs to be improved). I have a trial with one of the UK's largest online gift retailers. They say if they like the product they would buy 4,000 units. I also have interest from a famous London high-end retailer who want the product in time for Christmas but I dont have packaging fit for the shop floor as yet.

The website is listed as Number 2 for the exact term for the product on Google. I have the generic term for the glass in the .co.uk namespace. I have had the website redesigned, product photography done and offer worldwide shipping. Something that no other site does. Even people from Australia are paying £25 per glass to get it shipped.

Because I am full time at Uni, I dont have time to take this idea further and would like to sell the website, ebay account (powerseller, top rated seller, 100% Feedback), links to the retailers and supplier information to someone else.

What sort of price should I sell the business for?
If anyone is interested in buying, or offering guidance, please pm me.

Thanks
Kevin

 

[vvaannmmaann]

Do you make the glasses? do the breweries have anything to say about using their logos?

 

[kev88]

I get them made in Europe.
And there are no logos on the glasses so no need to worry about that.

 

[kev88]

If anyone can offer an approximate value, it would really help

 

[Paul_Rosser]

Of the $1000 (assuming you are using dollars to make it look bigger) you make a month , how much is profit ? Are the sales done via a company ? How do the turnover and profit figures look ? Do you own any IP on these glasses ? or can anyone start making them ?

These are the questions you will need to answer before anyone will be able to give you a valuation.

And as with most things, it's only worth what someone is willing to pay.

 

[Steve_g]

Is it these upside down glasses? previous posts you have mentioned importing beer glasses from China, is this still what your doing?

Steve

 

[JamieM]

Is it these upside down glasses? previous posts you have mentioned importing beer glasses from China, is this still what your doing?

Steve

He mentioned these were from Europe.

Kevin, it is difficult to say. If anyone has access to buy these glasses then I would suggest that your eBay sales have no value and you should only base it on the profit your website generates. If you have some kind of exclusive supply contract or intellectual property then they should probably be considered.

The potential big order isn't really a factor at the moment if it isn't a confirmed order.

Generally I would value a specialised (niche) web based business on 1-2 x net profit.

You might be better keeping the business and working on the big order, making a bit of profit on it and potentially bolstering the value at the same time.

If you do need to sell PM me some details and I'll have a look.