Free Small Business Valustion Services
Get a Free Businness Valuation Consultation now! Free Business Valuation Calculator
Popular Biz Valuation Formulas:
All Categories

Site Directory



  Bookmark and Share

Website Business Valuation Formula:

This is a very general business valuation formula or method for small and established (min 3 years) website businesses based on a multiple of the owners annual adjusted net income

Website Businesses : Approximately 2 to 3.0 times the owners annual adjusted net income.

Broker Comments: There are many factors and variables that determine the valuing of a web site or web based business and I would highly recommend requesting a business valuation consultation from a professional appraiser. However my  experience with web site businesses (including ecommerce) in the Arizona market is they generally attract a lot of buyer interest and are generally able to support higher multiples than a lot of traditional brick and mortar businesses for a number of reasons. I believe this popularity stems from the facts that most small web site businesses are home based (providing an enviable lifestyle and more free time), have very low over head expenses, are fairly easy to operate, and generally have no employees.

Need a business valuation or appraisal report for legal, personal, or selling purposes? Request a free & confidential preliminary business valuation consultation about your established web site or Internet based business here.