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Old 2006-02-08, 03:20 PM   #5
RawAlex
Took the hint.
 
Join Date: Mar 2003
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Simon, there is no way to be able to say that the income would continue without end. The adult business as a whole could be trashed tomorrow by a loss of processing, obscentity rules, or other outside forces. it is much harder to value an adult web property due to the uncertainty in the business, IMHO. The buyer would be betting the business would continue at least 2 years, and the seller would be betting that it would be not more than the value it was sold for.

Basically, your sites are worth only what someone is willing to risk on them. If they feel they could turn that traffic into MORE money, they might pay you closer to 10 times current revenue, based on what they think that revenue could be.

Are you able to disclose one of the sites?

Alex
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