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How much can you make from flipping websites?

I get asked a lot “how much do people make flipping websites”?

The answer is it depends.

If you are the operator, either as the owner or partnering with the owner / investor, and have the skill set, you can improve revenue through increasing traffic or improving funnel conversions.

So let’s see how much can you make from flipping websites using a concrete example:

Monthly multiples are currently around 30x net profit, so if you buy a site that is earning $1k/m from search traffic and double the amount of traffic from SEO (such as say reducing keyword cannibalzation) then, assuming the same conversion rate, you have taken the asset value from $30k to $60k.

That’s a 100% increase or 2x.

Then if you can double the conversion rate from say 5% of people clicking through to an amazon associate link to 10% (such as by adding a comparison table at the start of the post) and they convert the same on Amazon, you have again doubled the asset value from $60k to now $120k.

That’s a 300% increase or 4x.

Wait for an increased 6 month average and then list on somewhere such as Empire Flippers for $120k.

You potentially just made $90k from half a days work on SEO and CRO – a pretty good hourly rate but you have to have the skills to do this yourself or have both the understanding and cashflow to pay for experts to do this.

Flipping Websites Podcast Ep 25 – Vic Dorfman of Memberfix

On this episode I talk with Vic Dorfman from Memberfix about how to make the right decisions in choosing the correct websites and business opportunities to work on.

  

This episode is sponsored by Ahrefs – find out how to win a free annual subscription below.

Vic talks about what he’s up to under the banner of Dorfman Enterprises Ltd. He has a hosting company called Speedkills along with his core business Memberfix which he is transforming into an authority site (read how I did this in my From Productized Service To Authority Site Exit article.

Vic doesn’t want to be a services business owner for the long run however has learned such great business basic fundamentals from managing a team and creating SOPs.

We talk about how more and more services businesses are now being listed on places such as Empire Flippers.

We then go on to discuss the potential for strategic acquisitions and how I keep a list of media / investment companies that are buying websites to add to their portfolio such as Purch and Leaf Group.

A good test for choosing a niche is would you enjoy the link building outreach (even if you have a team that will do this for you).

We then finish with a discussion around being a solo operator vs building a team and consolidating domains in order to build real brands.

ONE LISTENER OF THIS EPISODE WILL WIN A FREE ANNUAL STANDARD AHREFS ACCOUNT!

To enter, just leave a review on itunes and send a tweet linking this episode and tagging @richardpatey & @ahrefs 🙂

Thanks to AHREFS for sponsoring this episode.