What problems you have faced while selling/acquiring an online business?

searcher profile

March 12, 2021

by a searcher in New Delhi, Delhi, India

I am curious to know what problems you have faced while selling your business or while acquiring any business and wished there was a solution to it.

I'll start first:
The problem I faced while selling was huge brokerage fees; upto 15% of the deal size.

0
3
60
Replies
3
commentor profile
Reply by an investor
from Virginia Polytechnic Institute and State University (Virginia Tech) in Dallas, TX, USA
Acquired last year and decided to get out of the space for the following reasons:
1. Traffic verification- understanding if traffic is largely bot driven or truly human
2. Search volatility (this one is huge especially for early sites)- Google makes >300 updates annually w/ typically 4 main "core" updates. These updates can be especially problematic when your revenue is projected at x but Google's search update moves you down in rankings (opposite is true if move "up" in rankings).
3. Lack of revenue diversification- many lower cost to acquire sites start with ad revenue. Higher quality sites have private label products mixed with ad options (and even SaaS tools for sale as well depending on niche).
commentor profile
Reply by a searcher
in New Delhi, Delhi, India
Yes, traffic verification is one of the biggest challenge for online businesses.
commentor profile
+1 more reply.
Join the discussion