No. 1 DigitalExits. com – Best For Top quality Ecommerce Businesses
Digital Exits is our #1 recommended web site broker for 2020. They represent web sites making $100k – $20m a year in profit. They are most readily useful if you have an established business over 2 years old making at least $100, 000 per year.
No. 2 Flippa. com – Most readily useful for Startup and Small E-commerce Web sites
Flippa is particularly good for smaller websites making under $100, 000 each year in profit – even though they do handle larger transactions. If you are a seller, they claim to possess over 200, 000 buyers looking to buy your site, online business, app or domain.
Founded in ’09 they have sold 250, 000 + companies sold world-wide. Click on the banner below to look at some of their current listings.
3. FoundersIB – Best Large Ecommerce Companies
Founders Investment bank is ideal for sites making over $20m a year in profit. They specialise in larger deals and do more strategic transactions.
First let’s start with the main question that every business proprietor asks us…
What’s Your Ecommerce Business Worth?
Always the initial question that we get asked at Digital Exits by customers is what is my business worth? The solution to any valuation question is what the market will pay. The below graph shows the distribution of the multiples that ecommerce businesses sold in a report that people analyzed.
The multiples range from 0. 5X to 6. 6X in this distribution graph. This means when you have a business which makes $300, 000 in net profit annually, the valuation range is from $150, 000 to $1. 980, 000. Visually what you can see from the graph is that most businesses sell between the 1. 5X – 3. 5X range. This backs up the commonly held belief a small to medium business sells in the 2-3times earnings valuation range.