How to buy or sell an online business safely

A plain guide to valuing an online business, what to check before paying, how escrow works and how to hand over a domain, code and hosting.

Buying safely

  1. Compare monthly profit with the asking price before reading the story.
  2. Ask for proof in chat: payment-processor screenshots, an ad-network export, read-only analytics access for 12 months.
  3. Find out where the traffic comes from. One source is a risk.
  4. Check exactly which assets transfer.
  5. Prefer verified sellers and listings with figures checked by SaleGuru.
  6. Pay only into SaleGuru escrow, never to the seller directly.
  7. Use the whole inspection period (7 days) before releasing the funds.

Selling

  1. Average the last six months of revenue and profit.
  2. Write an honest listing.
  3. Upload proof of earnings and traffic so SaleGuru can mark your figures as checked.
  4. Get the Verified badge.
  5. Accept an offer or run an auction, then wait until the payment is verified before handing anything over.

How escrow protects both sides

  1. Deposit. The buyer sends the agreed price to SaleGuru, not to the seller.
  2. Payment verification. SaleGuru checks the receipt and confirms the money has arrived.
  3. Asset handover. The seller transfers the domain, code, hosting and accounts.
  4. Inspection. The buyer checks that everything matches the listing.
  5. Funds release. SaleGuru pays the seller, minus the platform fee.

After a sale is agreed the buyer has 6 days to pay into escrow.

Auctions

An auction runs 3 to 30 days. The seller sets a starting bid and a reserve price, approves bidders, and cannot bid on their own listing. Bids are binding. A new highest bid in the last hour extends the auction to one hour after that bid.

Valuation

Online businesses are usually priced at a multiple of the last 12 months of net profit. Try the free valuation tool.

Fees

Deal valueSaleGuru fee
Up to $2,00015%
$2,001 to $10,00012%
$10,001 to $25,00010%
$25,001 to $75,0007%
Above $75,0005%