EFP 102: Downsides To Selling Your Website

Justin Cooke

July 17, 2014

It’s not all sunshine and gummy bears for entrepreneurs who choose to sell their websites or businesses. From the loss of consistent income to watching a new buyer kill your first-born website, it can be scary to let go no matter how much money you may be making from the sale.

The Negatives of Selling Your Website Revealed

Today, Joe and I are looking at some of the downsides that come with selling your website and some solutions to mitigate the pain. These are things most industry insiders won’t talk about and even we’re a bit shaky to discuss this.

Selling could be extremely exciting, rewarding, and profitable, but that doesn’t mean you can’t feel a bit of pain from letting go of your cherished beloved.

Check out our points (and solutions) for the episode:

Check Out This Week’s Episode Here:

 Direct Download – Right Click, Save As

Topics Discussed This Week Include:

  • What if your site earnings go through the roof after selling?
  • Holding on to cash in on more monthly earnings before selling.
  • Fear of failing on your next projects.
  • Losing an asset that provided reliable income.
  • Potentially watching a website you built die out in the hands of someone else.
  • Needy buyers who need more love.

Mentions:

Spread The Love:

“It’s not all sunshine and gummy bears for entrepreneurs who choose to sell their websites/businesses.” – Justin – Tweet This!

“Move into projects that use 70% or more of the skills and experiences you already have.” – Justin – Tweet This!

“As an entrepreneur, the climb should be what gets you going, not the ‘steady thing.’ Otherwise, just get a job.” – Joe – Tweet This!

What are some of the best and worst things about selling a website? Aside from plenty of cash in the bank of course! Leave a message on SpeakPipe or join us in the comments below.


Make a living buying and selling websites
Sign up now to get our best tips, strategies, and case studies
Discussion
Leave a comment
  1. Nick says:

    Awesome episode, as always.

    Thanks for the mention. It’s much appreciated. I wish Itunes allowed us to add more than 5 stars.

    I quite like the new podcast format. It just feels very punchy, and straight to the guts of it. “Very liked”.

    This episode addresses an important point.

    It’s tough letting go of a site that has been one’s “baby” for months. Blood, sweat, tears and all that…
    It helps if one can be detached from the outcome of a good sale, i.e. detached from handing over a profitable site; but once the site is sold, one has to be ready to move on.

    The only problem with that is watching an established money maker burn to the ground. That can actually be a painful sight.

    Selfmadebm is on target when he suggests “buy back offers” or maybe even “joint ventures”, especially if the niche is still ripe and the new owners are struggling to make it work.

    Offering post-sales support (for the niche) might be another alternative, although I’m not sure how that would work in a marketplace situation.

    With regards to the first 100 podcasts: Yes, we need it!!

    It may be possible to create multiple Itunes feeds, which means we can listen to all previous podcast episodes, from 001.

    That said, a zipped archive of past episodes would still be pure gold.

    Great podcast episode.

  2. Esteban Nina says:

    WOW! I’m super excited to hear more about Realty Shares for websites! This is a great way for newbies to be somewhat involved with internet marketing without worrying about mucking things up, and still earn PASSIVE INCOME!!! I’ve suggested your services on my website, but with a Realty Shares service the possibilities are endless!!!

    Here’s a comment I’d like to add in regards to the downsides of “Selling a Website”… I feel like a seller should not feel regret, nor should they view selling a website like the stock market (Sell High, Buy Low). Instead a seller should feel PRIDE that a website grew larger than when it was in their possession. It shows that the seller sells QUALITY websites. That should be his true moral intent. But it doesn’t hurt that he now owns the status of being a person who sells QUALITY websites. If I sold awesome knives to chefs, I would NOT feel regret that I did not become a successful master chef. I would feel PRIDE that one of the chefs became successful due to the knives I sold him.

    Question: Although the financial success of a website is NEVER guaranteed, in this scenario, would a seller have negotiation leverage on his next sale?

    • Well don’t get too excited Esteban, everything is still “in the works” from our side.

      To answer your question, a previous track record of success always helps the next sale. However, you don’t want to rely on that too much as the aforementioned “guarantee” issue will come up. Best to avoid that and stick to the data you have for each site. Use previous sales and successes as an indicator of your trustworthiness.

  3. selfmadebm says:

    Hey guys

    Thanks again for the mention. Really enjoyed this one on the other side of website selling. Your point about selling off less than 100% of equity was great and is totally overlooked by most people.

    One thing I might add.

    In the case where someone sells a website and then the new seller lets it wither and die, and how that can be difficult for the seller.

    Here’s my idea – Offer to buy it back.

    I realize not all website builders/sellers are buyers BUT you can get a great deal on the website (since it has withered) and you know it better than anyone else as well as it’s potential. Easier than starting over, I think.

    In regards to my post, I see your point that you are now the market and not the tool seller so to speak, so perhaps not the most crisp example, but I think you get the intended message, despite the somewhat faulty comparison :)

  4. Shane Wilson says:

    I think you’ll see more creative deal structuring in the future for websites such as options, trading of websites, or even offline property or items used as down payment or trades, and other creative deals as the market matures. There are many many ways to structure these deals that people haven’t caught onto yet. It’s a pretty exciting market space you guys are in. As a side note I haven’t seen him in a couple years but I’m good friends with Ace. We’re from the same area and worked on a few projects together several years ago. Small world!

    • That’d be interesting to see! We’ve started to see more creative deals as higher valued sites are going live on our marketplace more frequently. Pretty vanilla so far if you compare it to people actually trading websites during deals. If it ever came to something like that, we’d have to figure out the logistics (but challenges are fun.)

      Ace is a cool dude! I haven’t met him in person yet (Justin and Joe have) but I will in about three months from today. Here’s a podcast episode we did with Ace if you haven’t seen it yet: http://empireflippers.com/efp-89-entrepreneur-vs-mini-mogul/

Leave a Reply

Your email address will not be published. Required fields are marked *

Have a site to sell?
Sell Your Site

Click here to find out how much your website is worth