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Thread: Need advice on selling my Adult business.

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  1. #1
    bakdoor
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    Need advice on selling my Adult business.

    Hello. I'm considering selling BakDoorVideos.com. After 3 years in business, I no longer have the time to take it to the next level. Sales have reached an acceptable level, but I work a 50-60 hour week at a 'real' job and just don't have the time to invest in the needed marketing to further promote/expand the site/sales. I am not sure how to go about selling. Where to advertise etc..... Any advice would certainly be appreciated.
    Thanks
    Tom


  2. #2
    You do realize by 'gay' I mean a man who has sex with other men? IntenseCash.com's Avatar
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    I would start off by posting as much information you can about the site here and other message boards. YNotMasters.com has a for sale section as well as gfy.com. I hope that helps.

    Mark
    * IntenseCash.com - If you can't convert us you better look for a new job!


  3. #3
    bakdoor
    Guest
    Thanks Mark. Site is a Gay Porn & Fetish Porn DVD site that is OsCommerce based. A working knowledge of Osc/PHP is probably a good thing. Hosted on Lunarpages. 2 domains. BakDoorVideos.com & BakDoor.com. Home page is a pr3. Blog at http://bakdoor.thumblogger.com/ (pr2, was a 3 until recent update) Links to BakDoor all over the place.

    Gross Sales:
    year 1: 6000.
    year 2: 15,200
    year 3: 15,400
    January: 1930.00 (this yr.)

    I provide excellent customer service & once I do get a customer, they tend to repeat several times throughout the year. My pricing structure is such that I am usually the lowest price available.

    Inventory:
    Currently 4400 DVD's in stock.

    Auctions on NaughtyBids.
    Sales on Adult Video Marketplace.

    25k (FIRM) takes all. Suppliers/Customers/Domains/Blog/etc.... included.
    Tom


  4. #4
    maxpower
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    From what I have heard people say its about 3 months sales so 4000-5000 bucks, not sure if you really “own” any of the movies if not, then that’s about right from what I know.

    Not sure I would sell anything I did not have too, the trade-in on this stuff is normally not very good. :hmm:


  5. #5
    maxpower
    Guest
    That’s net sales too from what I recall, and on a DVD site like that your not going to get much at all. What you really make 20-30% of sales, that’s really going to hurt the value. Its the people behind the sites and the content of course not the sites themselves that really has worth.


  6. #6
    bakdoor
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    Quote Originally Posted by maxpower View Post
    From what I have heard people say its about 3 months sales so 4000-5000 bucks, not sure if you really “own” any of the movies if not, then that’s about right from what I know.

    Not sure I would sell anything I did not have too, the trade-in on this stuff is normally not very good. :hmm:
    I own all inventory. Current value is approx. 15,000-16,000 dollars.


  7. #7
    maxpower
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    Quote Originally Posted by bakdoor View Post
    I own all inventory. Current value is approx. 15,000-16,000 dollars.
    OK cool man, if its non exclusive content the new owners will have to repay for all of it, if you own the rights to sell it then they would have to pay you the amount you 2 agree too for the content. + about 3 months sales and that should give you a good starting point to sell the site if you really want too. Good Luck man, I have never sold a site so you might want to check around a bit more, but again I think that’s about right.


  8. #8
    I Want To See Bradleys 'B-Unit' deanb's Avatar
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    Quote Originally Posted by maxpower View Post
    OK cool man, if its non exclusive content the new owners will have to repay for all of it

    He isn't selling a paysite, it is a DVD site, where the product gets shipped to the customer... He has physical inventory that would be transferable to the new owner.


  9. #9
    bakdoor
    Guest
    Thanks. Yes I own the rights to resell. The potential for this site/biz is there, I just don't have the time or skill to take it farther.
    Tom


  10. #10
    xenigo
    Guest
    Quote Originally Posted by maxpower View Post
    From what I have heard people say its about 3 months sales so 4000-5000 bucks, not sure if you really “own” any of the movies if not, then that’s about right from what I know.

    Not sure I would sell anything I did not have too, the trade-in on this stuff is normally not very good. :hmm:
    Do you know what businesses sell for Max? They sell for what people are willing to pay for them. Let's see you demonstrate your "from what I've heard" theory, and buy this persons business for $4000-5000 bucks.

    Go back to business school, Max. Please head over to Barnes and Noble right this second, and pick up a book on acquiring a business. Read it. Educate yourself. Come back after you've figured out what money making establishments online sell for in the real world.


  11. #11
    LOVE 4 SALE OR LEASE SEX MONTHLY! :) longboardjim's Avatar
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    bump!

    best of luck selling your buisness! (interpreted: i better buy a copy of "ruby the transexual midget" before the new owner jacks-up the price!) :fool:

    jim


  12. #12
    bakdoor
    Guest
    LOLOLOL! Yea Ruby is HOT!


  13. #13
    bakdoor
    Guest
    Quote Originally Posted by longboardjim View Post
    bump!

    best of luck selling your buisness! (interpreted: i better buy a copy of "ruby the transexual midget" before the new owner jacks-up the price!) :fool:

    jim
    Still have a few copies left. Better hurry!

    Business is still for sale. A great 'turn key' opportunity for someone looking to get into the biz. January thru March were the best 3 months ever, although it has sucked since Easter. What is it with April anyway. I looked back in my records for the past 4 years, and April has sucked every year?
    Tom


  14. #14
    On the other hand.... You have different fingers
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    Quote Originally Posted by xenigo View Post
    Do you know what businesses sell for Max? They sell for what people are willing to pay for them. Let's see you demonstrate your "from what I've heard" theory, and buy this persons business for $4000-5000 bucks.

    Go back to business school, Max. Please head over to Barnes and Noble right this second, and pick up a book on acquiring a business. Read it. Educate yourself. Come back after you've figured out what money making establishments online sell for in the real world.
    Actually, Noah, Max isn't that far off of the low end for membership sites. When AJ was acquiring Ryan's interest in MRC a couple years ago, we made a lot of inquiries about valuation for online businesses. The responses we got back, from people who had paid for professional valuations, or actually purchased membership sites, ranged from 4 months to 24 months of gross revenues, depending on how well established and marketed the website was.
    Alternative valuation methods we were given included net over 3 years (assuming it is stable or growing) plus a value for content and other intellectual property and a number of other things.

    I have a friend who purchased a small paysite for about 4x monthly gross and both buyer and seller were happy. I think that Max thought this was a membership site rather than a physical product store, and if it was, given the flat sales between years 2 and 3, and not including the value of the physical property (DVDs) the price quoted would be low for sure, but not totally out of the ballpark.


  15. #15
    xenigo
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    Quote Originally Posted by gaybucks_chip View Post
    Actually, Noah, Max isn't that far off of the low end for membership sites. When AJ was acquiring Ryan's interest in MRC a couple years ago, we made a lot of inquiries about valuation for online businesses. The responses we got back, from people who had paid for professional valuations, or actually purchased membership sites, ranged from 4 months to 24 months of gross revenues, depending on how well established and marketed the website was.
    Alternative valuation methods we were given included net over 3 years (assuming it is stable or growing) plus a value for content and other intellectual property and a number of other things.

    I have a friend who purchased a small paysite for about 4x monthly gross and both buyer and seller were happy. I think that Max thought this was a membership site rather than a physical product store, and if it was, given the flat sales between years 2 and 3, and not including the value of the physical property (DVDs) the price quoted would be low for sure, but not totally out of the ballpark.
    I understand there's a variable in terms of solid income history. But generally speaking, sites (and brick and mortar businesses, too) that are consistent earners sell for about ~1-1.2 years gross revenue.


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