Now the most awaited part I guess, how I eventually sold my blog. I had earlier rounded off the figures to the nearest ten thousands though the exact amount I sold my blog for was $88,567 only.
So now I suppose wondering why I sold a blog that was making me money. Well, to be precise I needed money at the time but here are some of the reasons I sold my blog.
Why I Sold My Blog
The following are some reasons as to why I sold my blog:
- Side Business Picked Up
- Time Factor
- Mission Fulfillment
You know when I was blogging, I had started a side business; a computer software and hardware business which was doing fine in just five months of operation. It was on the horizon and needed attention to grow. Even though I hired a few guys to work for me, I wasn’t that good myself so I wanted to be there full time to learn and grow with my software business.
My blog on the hand did well but needed me most of the time. I could find suitable people to trust to do the job at my blog for me, so I had to sell it eventually.
Earlier I had told you that I had already started to invest. In other startups, paper assets, buying equities, and I had a side business among other things. My blog on the other hand needed my attention almost all full time. If not developing content, I was marketing my content.
My most valued assets needed much of my time now to learn and grow with them and I did not want them to end badly like others before. Even though I know I can’t be successful at everything I touch, now was the time I needed to go out of my way; take that risk. So since I had no much time for my blog it was the perfect time to sell before its value fluctuates. Besides this was my agenda in the beginning and I felt I was doing the right thing.
There are three factors of production just to take you back to school a little bit, they are: land, labor, and capital. Land and labor weren’t my real challenges but capital was. I was experiencing an upsurge in orders from my software business and by now I had gotten a tender worth $150,000 for my software. So clearly what I needed now was serious capital to facilitate the work. My business was at cross roads and this was the point to quit or push harder because the opportunity for growth and success was knocking hard on our door. Take it or leave it, I took it.
And of course this goes without saying that with such a tender I could easily get funding from many sources, no doubt. The banks, investors … you name it. The only thing is that most of the time this kind of help comes with conditions ties up. If not the high interest rates it was demand to sell a portion of my business which I did not favor at all costs at this moment.
Again considering that part of this deal was that I get paid in installments as work progresses, I just had to liquidate my blog. That way I get access to capital that is free from other charges like interests, dividends, royalties… and keep the whole profit for now.
Selling my blog was part of my bigger plan and mission. And just so you know, I am not greedy. Since I had secured a constant source of revenue elsewhere, it was time to move on. It felt good letting someone else also enjoy the fruits of my hard work.
NOTE: As part of my blogging social responsibility, I gave $1000 to the person who sold me the domain I used on my blog. This wasn’t part of the deal but just an appreciation. I reckon that this wouldn’t have been possible without my high valued domain name.
What I Sold with My Blog
The following is checklist of what I sold with My Blog:
- Domain Name
- Social Media Pages
- Unique Content
- Google PageRank
- Email List
- Other Intangibles like brand and reputation
Pricing of My Blog
Before selling my blog, I had to do a market research so as to price my blog appropriately, so as not to get the shorter end of the stick during negotiations and the sale. Here is how I did it:
- Domain Name
- Social Media Pages that had a conversion rate/reach of around 40-70 percent depending on the time and content. Backed up with proof of the statistics, Facebook, Twitter, and Google Plus pages combined were a total of over 200,000 fans. I priced my social media pages at a total of $18,000
- Unique Content
- PageRank, AdSense, Backlinks, and SEO
- Email List
- Revenue Stream
Pricing my domain name wasn’t that hard, I simply used the pricing wizard at SEDO. It valued my domain at around $35000. The domain was over 8 years old and was registered in advance; it was due to expire in about 3 years and contained less than five characters with a prime dictionary word.
I had also listed it for auction at Flippa before and got people fighting; the highest bidders bidding at just around over $30,000 but guess what, I didn’t sell. I knew it would had been a rip off, not to mention that it was a .com
So I settled on a $40,000 price for my domain. I am till today convinced I could have sold at a much higher price given time. I have seen less fancy domains go for more. Like Goliath.com that was sold for $50,000 on Flippa.
My blog had unique content that ranked high in search engines. They were well detailed too. Going by the market prices today a quality article like the ones I had would go for $80 - $200 per article while images would cost around $20 - $80. I had over 150 articles, over 200 images, and near 20 videos. So I think $100 was a bargain.
My blog was on PR 5, used AdSense, had over 2000 backlinks, and was largely search engine optimized; it ranked high on search engines for many different keywords.
Apparently I have noticed that a site can be doing well but without these items, its pricing goes down somehow. With proof to back my claims, this added another $6000 to the equation.
Well my blog also had over 15,000 mailing lists and I threw it there to add value to my blog. Anyone who bought my blog would somehow get for free. It is dangled carrot in the deal, really.
Remember why created a Google analytics account? Well, people are obsessed with traffic. My blog averaged around 450,000 impressions per month from the time I started it. But of course there were those days I got millions of traffic in a week; the days I went viral.
I had Google analytics and also webmaster tools for proof of traffic. This would give me a strong ground for bargaining and if it is an auction, you know that the highest bidder that wins.
Everybody wants to know if they will get a Return on Investment (ROI) if they buy it from you. Mostly your average revenue for the previous six months is what counts. And the graph matters.
My blog averaged around $5000 a month in revenue. If you multiply that by 6 months, my revenue stream would go for $30,000. Again you also need proof to back your claim.
My revenue graph also pointed to growth. So anyone buying my blog was sure that in less than 1-2 years they would have gotten their money back.
I ended up pricing my blog at $120,000 even though I eventually sold it for $88,567. Today I would not sell such a blog that little. I now have more experience to sell million dollar sites and I now can find buyers offline too. I have since brokered deals for people worth a total of over $2 million. I no longer rely on Flippa or SEDO to sell or buy most of the time.
I still buy young sites today and build them. It is also important to note that I have also stopped buying blogs, I am more attracted to user operated sites. Something like YouTube… but it’s tricky; you just hope that the sites would do well with a few tweaks here and there.
The deal surpassed my expectations. Initially in my mind I was only targeting around $60,000 or $50,000. So getting $88,567 was satisfactory. I had won in many ways:
- Since I needed money to operate my software business, selling my blog for $90,000 was not a bad idea at the time for me; it was the right thing to do. For me to make the $90,000 from my blog, it probably meant waiting for another 1 year. I am patient and I would have waited, the only issue being that my blog needed me most of the time to maintain traffic and revenue; I guess I just didn’t have time enough time considering the amount of work I had elsewhere.
- I became richer selling my blog not holding on.
- I stabilized my software business and had more money to buy shares in promising startups. This way I had leveraged time, labor, ideas…. I had generally increased my chances of success in business.
- My money started working hard for me. Before I used to work hard for my money.
- I had gained a priceless experience that no school would have taught me. By investing in other startup businesses, I was gaining more experience and building strong networks.
And that was my journey to selling my blog for $90,000 in 8 months.
There are very many small and finer details I did not write about in this eBook. My aim was to paint the highlight moments of building and selling my blog. I have my contact below if you have any queries.
In many ways I got lucky or maybe unlucky depending on how you view it. If this is something you think you can replicate then go for it. It won’t be easy though that I assure you, it will take your extra commitment to do it.
I can tell you from experience that just when you are about to quit, there holds your opportunity for success. Just open the eyes of your eyes a little and you will eventually succeed.
I currently read hundreds of mails daily, but if you have any burning issue, question, suggestion, or comment please feel free to contact me through email at the address below and I will try and find time to reply. Thanks for reading.