When Do You Decide To Stop Investing In A Failing Project?

I see this happening all the time, someone buys or develops a new site and throws a bunch of money towards it in order to get growth, a few months later, the site still hasnt grown much, so they throw some more money towards it, a few months later, still nothing, so they throw more money towards it, this cycle seems to continue for years (sometimes forever) with the program/site owner constantly throwing good money after bad.

So my question to you folks is this, at what point do you decide enough is enough?

I know for us, whenever we launch a new site we have a rough budget in mind in terms of how much we're planning to spend, if we havent at least broken even within the first 3 months of a site launch we pretty much stop putting any further funding in to it.

So how do you folks handle things like this, are you the type of person who will continue funding a broken project or will you just leave it as is and move on whilst learning from your mistake?

Regards,

Lee

Lee,
We are about to launch a non-spanking site as we have found a few models that are into a partiuclar niche and willing to work cheap. (I think they are voyeurs and want exposure.)

Anyway, I am with you. Three months is all I am willing to give it. Especially since I am not into the niche at all. If after 3 months if can not pull its own weight...I pull the plug.

- Michael

well for us its a pretty easy decision too. for three months we invest money. after that it should run for itself. if it doesnt we dont take it off but we just dont do any more investments. ift it just makes one sale a month, its okay it just takes up hard disk space and nothing else. so why bother taking it off?

well i must say it depends on the niche i am working at the time.. some niches simply take longer and is harder to get a foothold in than others ..

but for normal mainstream, yea 3-6 months is the limit, after that it must sink or swim..