You might remember a month or so back I posted about some websites I had for sale. One of the sites was my other blog, Small Business Branding.
I am pleased to announce that Vera Raposo has taken over Small Business Branding and will endeavor to continue to grow the site from where I left off.
I’d like to thank Rob Kingston and the great team of writers who kept Small Business Branding going and will continue to write for the site and no doubt take it to new heights. I wish Vera best of luck with the blog.
Vera has posted a brief introduction and I encourage you to say hello and welcome her.
With the change of ownership some new sponsorship opportunities have arisen at Small Business Branding, so if you would like to reach the small business marketplace, visit the advertise page for details.
As long term readers of my blog might recall, back in December 2005 I purchased Small Business Branding from Michael Pollock, who created the site and sold it to me to go build his now very successful blog theme design business, SoloStream.
That sale was one of the first publicly announced blog deals between two well known bloggers and it generated quite a bit of buzz at the time. Micheal and I recorded a two part podcast about the deal, which is still interesting listening if you like the topic of buying and selling websites.
After taking over the blog I quickly came to realize that I could not write to two very similar blogs by myself and began a unique experiment into outsourcing blog content creation. Small Business Branding become a magazine style publication with a roster of authors. In February 2007 I published an article – How To Outsource Your Blogging – A Case Study – that detailed how to replicate my system for blog content outsourcing.
When I purchased Small Business Branding it was a well known blog with good search engine rankings for some popular small business terms and about 400 daily RSS readers. Michael hadn’t focused on monetization so the site was only making about $100 to $200 a month, mostly from AdSense.
Just over two years later, when I sold the site to Vera, it had grown to 2500 daily RSS readers and around $1500 a month in revenue. The income growth came mainly by increasing the monetization techniques applied, with a big chunk coming from adding banners and text links and selling the ad inventory directly to sponsors for a monthly fee. This was obviously helped along by the steady traffic growth thanks to the team of content producers.
I’m not at liberty to disclose how much I sold the site for, but I was happy with the return I made and compared to what I paid for it, I did very well. However you have to take into account how different the after-market for blogs is today compared to what it was when I bought the site.
Michael and I were pioneers in the industry of blog flipping, which today is a much more mature market, with hundreds of deals made every week. People pay more for blogs now because there are more interested buyers and thus competition raises prices. It’s seen as a good investment to buy a blog, with hundreds of case studies demonstrating this. In 2005 the idea of blogging for money was just gaining traction and wasn’t widespread.
As an acquisition and flip go, this deal was very good and my return was well over ten fold. This doesn’t include the income generated while owning the site and I have no doubt as long as Vera continues to grow the blog her earnings will surpass mine. Blogs can be great cash cows and capital investments, if you look after them.
I still have a collection of two forums and a video site focused on the niche of mini bikes for sale, which generate about $1200 a month in almost passive income (you just have to invoice advertisers). I’ve got a PDF document that breaks down the details, so if you are interested, please email yaroATblogmastermind.com and I will send you the info.
Please note I’m looking for around 20 times revenue for these sites (as a group), so do not approach if you cannot entertain this price range.
In case you are wondering why I am selling these sites it is because I am divesting my self of assets not aligned with my core business focus, which is my blog training programs and information products. While these sites are great income sources, they do require mindshare to look after and grow and I intend to use my mind to focus on my main business interest.
And learn how to build a better blog.