One thing I’ve always strongly believed in as a businessperson is this: give away what you know about your chosen profession so your potential clients can do it themselves if that’s what they prefer to do.
I know you might think I’m crazy to do this and that I’m losing money by telling people how to sell their own sites, but I believe what you give you will get back 100 times over. In the end people will appreciate the information and come to you if they have a need. And quite often that’s what happens.
The first thing to do when selling your adult site is to figure out the value. I recently wrote an article that will help you with this.
Once you’ve done this and you think you know the value of your site, it’s time to come up with a list of potential buyers. Let’s say you own a membership site, and your niche is gangbangs. The thing to do is to find all the other gangbang sites on the web and attempt to contact them. Of course, this is easier said than done. One advantage of hiring a broker, such as Adult Site Broker is that we have a huge database of who owns what and whenever we take on a listing, we have an instant prospect list. In fact, we might know someone who is specifically looking for a gangbang site.
But go ahead and search the web and email those people or try to find them via social media. Assuming you get some replies, you’ll need to prepare the items below to send them:
Prepare a profit and loss statement from the last 3 years including the current year, or if it’s early in the year, in addition to the last 3 years. Here is a template you can use.
Also, write up a prospectus on your site and tell people all the wonderful things about the site and why they should buy it. Again, brokers will handle that for. Your prospectus should include the following:
- A list of all websites and the niche of each site along with a short description.
- A list of all domains included in the sale.
- A synopsis of your company, how you started, what is unique about the company, anything else that adds value to the buyer (like custom scripts, NATS, CMS etc.).
- Content inventory, number of videos and images. Are they exclusive or non-exclusive or how much of exclusive and non-exclusive?
- Video quality of the site. Is it all 4K?
- What did the content cost to produce and what’s your guess as to what it’s worth now?
- Retention Rate
- Number of daily joins and rebills
- How many affiliates do you have and how many of those are still active?
- Traffic breakdown, affiliate vs. direct.
- Traffic breakdown by country.
- Do you buy advertising and if so what kind?
- How well has your content been protected? Is it already on DVD and VOD or not?
- Do you use a DMCA takedown service to protect your content from piracy?
- List your affiliate tools.
- And anything else that I haven’t listed that will help build a case for someone to want to buy your company.
My suggestion is that when you contact the potential buyers, you don’t give them the identity of the site or any financial information. We call this a blind listing. You can see those on our listings page. This is what we use when we send out our mail blasts, newsletters, and list sites for sale on Adult Site Broker. Ask them to fill out an NDA (a non-disclosure agreement) before sending them the above specific information about your site. You can get your attorney to write one for you. Of course, we have those and send our NDA and Non-Circumvention Agreement to prospective buyers on your behalf.
If you have questions about anything covered in this article series, feel free to reach out to us. To contact Adult Site Broker with any questions about what you’re reading here, or about buying or selling adult sites or companies, go to our contact page.
