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Is it better to start an online business or buy one?

I value money more than time, so I'm wondering if you put the time in to driving traffic to a basic site, like a advertising or e-commerce site for example, is it relatively easy to start making modest money within say 3 months? Also, what the simplest most direct route to making some income? Im noticing from most of the ads here that google addenda is a basic source of income, what are some other easy ways to generate some revenue? Thanks! Evan

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Answers (21)
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We are financial consultants to a group of investors whom we have their consent to manage their funds which is in our custody for cooperation in joint venture business investments.

Our areas of interest include Property Development and real estate, Health Care, Education and training, Mining and exploration, Energy, oil and gas,Technology, Software development, Agriculture, Manufacturing, Finance Services and Leisure.However, all viable proposals within reason will be considered.

Funds shall be made available to you as a direct investment loan at 3% interest rate per annual for a period of 2 or 30 years depending on what you prefer. You may contact us if you have interesting investment proposal for possible business collaboration for our study.

We look forward to your reply to enable us provide you with details or you may visit our website.

Kindly acknowledge receipt of email.

Thank you.

Yours Sincerely
Jesse Peterson
phone: (980) 239-7539
email: info@interventionmortgagefirm.com
web: http://www.interventionmortgagefirm.com/

Jul 4, 2017
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LiveSalesStaff.com

Online businesses have their own challenges for sure, the biggest is really what is the market, and are you just a commodity like everyone else. If you want to work with an established online company that will allow you to grow your own customer base and earn recurring revenue, you could take a look at our business services.

I would love to chat and see if we could do something together.

However it does not come without hard work, and effort. If the dream is to just do some ad words and expect it to all fall into place without investing time, I would assume you will be quite disappointed with results.

Regards,
Carmen 780-662-3403

Oct 26, 2011
Buy-a- Company

This is what I tried to warn about last year. Most of those types of offers are scams.

Oct 23, 2011
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What you experienced about Chris Soares is a scam. He is trying to sell another website, and I am going to report to policement.
.

Oct 20, 2011
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interesting

http://www.ripoffreport.com/on-line-stores/daniele-soares-chris/daniele-soares-chris-soares-c-de96a.htm

Jun 30, 2011
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Interesting, I've just "bought" the same business with a different domain name. The seller agreed to financing most of it. When it came time to transfer over the assets, it got postponed and now I'm hearing nothing back from them. Just wondering if you decided to pursue your opportunity Evan and what the outcome may have been.

Jun 30, 2011
Buy-a- Company

Evan, did you sign an NDA (Non-Disclosure or Confidentiality Agreement) before the seller gave you this info?

If so, what you just did, posting confidential info in a public forum, was unscrupulous, and potentially damaging to the seller. I'd suggest you contact the admin here and get the post deleted.

I have my doubts as the the figures given, but they are easy enough to verify. The seller can sign an IRS form which allows you to get copies of their tax returns (that were actually filed). Plus, the merchant account should show the income. (BTW, the merchant fees are 2.6%, not 0.026%). Verify the merchant statement against the bank statement.

But, more importantly, this is a real disservice to your customers. Part of the Google changes I mentioned below, designed to improve search results, actually PENALIZES sites that use these garbage traffic systems. You may send a site some traffic, then they find their site delisted from Google altogether.

There are so many good, legitimate businesses for sale, why are you looking at all these?

This site is one year old, and does not appear on Alexa.

Please let us know if the revenue figures are real. I doubt it, but could be wrong.

Nov 12, 2010
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The BAF Group LLC
MD

I think I used a brand name that was a no-no!

Nov 11, 2010
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The BAF Group LLC
MD

To verify earnings, on-line payments are never made in cash; they will be paid by check, charge cards, etc. You can easily verify Revenue through tracing those payment instruments. Moreover, ask for SIGNED Tax Returns, which your Bank can validate with the IRS.

Nov 11, 2010
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Entrepreneur
Want to buy or start an online business
Los Angeles County, CA

Hi Don, I'm not sure what you mean, but that last message got through fine...

Nov 11, 2010
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The BAF Group LLC
MD

I have attempted to respond three times, and none of the comments have gone through. What gives?

Nov 11, 2010
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Entrepreneur
Want to buy or start an online business
Los Angeles County, CA

Hey guys, I emailed a seller via bizbuysell about their business. It's a "wholesale advertising" site that sells wholesale Internet traffic packages to clients who are website owners who want more traffic driven to their site. Here's the Email response ingot from them below. One suspect thing to note. I have received about 10 Emile from thus seller to my one inquiry..
What do you guys think of this business?
Hi Evan-

Thank you for your inquiry into the BestSiteTraffic.Net business that is currently for sale. Below is some information about the business such as day to day operations, monthly expenses, marketing, gross and net revenues, etc...

Hosting:
The site is currently being hosted with Yahoo! Small Business at a cost of $12.95 per month and is paid up until November, 2011.

Marketing:
The current & only marketing stream being utilized is with MSN & Bing Sponsored Listing Marketing. The cost for the sponsored listing marketing is $275 per month and will be transferred to the new owner. It is paid up until December of 2011 and is included in the sale of the business. You can increase the visitors & thus the revenue by simply increasing the monthly budget for increased exposure.

Day To Day Operation:
Processing orders and answering email inquiries. There is a detailed Q&A page on the site which probably contains the answers to questions for reference for the clients.

Monthly Expenses:
The set monthly expenses are:
WebHosting: $12.95(Paid up until November, 2011)
MSN & Bing Sponsored Listing Marketing: $275(Paid Up Until December, 2011)
Wholesale Traffic Membership:  $195/Month(Paid Up Until December, 2011)
Monthly Gateway Fee(Merchant):$25.00(Will Be Transferred To New Owner)
Merchant Monthly Service Fee: $7.00
And .026% of the monthly sales volume(please see merchant statements)

Net Revenue:
The current monthly net revenue is $3,500+ depending on total monthly orders. If other marketing streams were utilized the monthly net revenue would increase or just increasing the current monthly paid inclusion budget would also increase impressions and orders.

The Product:
BestSiteTraffic.Net sells what every online business needs to be successful online which is targeted website traffic. There are 165+ traffic categories and many different traffic packages for the client to chose from. Please visit the website and click on the order link and view the traffic packages and you will see why it doesn't take many orders to realize a healthy bottom line. You also won't see many traffic website businesses for sale as the market is worldwide and with over 23,000 new websites being launched daily it is a profitable business to operate.

Reason For Selling:
This business was originally developed and launched for my daughter to assist her with finances when she started college. She operated it for awhile and lost interest and she obtained a more people interactive position in retail. I own several offline businesses which require most of my time & attention.

Financials, Traffic Stats, etc..:
I will be sending you the past four months of merchant payment statements that will show the total monthly order volume and net revenue, the Yahoo! Small Business Order History Interface which will show the total monthly order volumes and net revenues since December of 2009, the websites traffic stats,  and Yahoo! Small Business web hosting bill that will show the web hosting account is paid up until November of 2011.

Terms of Sale:
The asking price for the business is $14,500 which is well worth it. I will finance with 50% down with a signed and dated purchase/finance agreement and will accept the remaining 50%(interest free) from 25% of the monthly revenue until the balance is paid.

Training:
The new owner will receive complete training and support via instant messenger and/or phone. This business is not difficult to operate and it mainly consist of order processing and replying to email inquiries.

Please email or call with questions. If you would like to review the purchase/finance agreement please let me know and I will send it to you via email attachment to review. The agreement is six pages in length and covers about everything including a non-compete and performance clause and was professionally completed by a business attorney. There has been a lot of interest in this business and it will be sold on a first-come, first-serve basis.

Thanks.
Sincerely,
Chris Soares
BestSiteTraffic.Net
http://BestSiteTraffic.net
admin@bestsitetraffic.net
Ph: 936-232-2366
Fax: 210-468-0681
Rare Established & Profitable Website Business
==============================================================
Hello,
I am interested in buying your business. Please contact me at the phone number above.

Evan

Nov 11, 2010
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Entrepreneur
Want to buy or start an online business
Los Angeles County, CA

Wow thank you all for some really compatent advice here. I really appreciate the honesty. Ok. So the picture I'm getting is that most sellers are full of bs trying to take advantage of peoples life savings who want to buy a small business. Geesh! That's disgusting to me. Real Entre. Suggested to verify solid existing traffic, and consistent revenue. What are the basic tools to independently verify those things. Bi know of Alexa rankings, but how do you verify the seller's numbers? Uh, to male sure they are honest? The answer to my original question, which now kind of seems kind of answered, would be that it can possiblly be advantageous to buy a business I and only if you can verify it's numbers AND that the seller is being honest. This is based on the assumption that time is as important as money. The time Troy save and the risk you avoid & the profit you make right away from buying a business is worth the investment.
Also, I'd like to say thank you to buy-a-company for filling me in on all the bogus drop ship and adsense websites. Whew! Evan

Nov 11, 2010
Buy-a- Company

Sorry, but this is counterfactual: "Due diligence is critical, so you probably would be better off hiring a reputable business broker"

Brokers do not do the due diligence for you. That is your responsibility and task. If you are not confident enough to do this on your own, make sure you hire a lawyer and CPA to ask the right questions.

Nov 10, 2010
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Evan,

Would you consider investing in a new online business? I own a very unique internet startup that should be 100% ready to go by the end of the month. I'm looking for an investor/silent partner (or limited working partner) to provide working capital. If interested, email me: derhe07@gmail.com.

Now to your questions (I'm no expert...just my two cents):

I pretty much agree with most of what has already been said here.

Starting a business from scratch will be the hardest and perhaps most "expensive" route in the long run. However, there is a deep sense of satisfaction in seeing "my idea" come to life. But remember, there's no "easy way" to success. People who claim to make money "easily" are either scam artists, violent criminals, or invested years of sweat and personal sacrifice, overcoming trials and failures to discover their "easy formula". Therefore, don't underestimate the value of time. I'd say time is far more important than money (not preaching, just my opinion). You can lose money and make it back; the same can't be said about time. So if you plan on "supplementing" money with time and effort, make sure the business is something you really like and enjoy doing. Otherwise, you'll be seriously tempted to abandon the project after a couple months (wasted time).

As for buying an existing business, I'd say you shouldn't do it unless:

a) The business has solid existing traffic, consistent revenue (from sales, membership fees, or advertising), solid customer/membership base, and can demonstrate serious potential for growth. Due diligence is critical, so you probably would be better off hiring a reputable business broker (you still need to do your own homework).

b) It's a new venture that not only excites you, but you can clearly see how YOU (your expertise, skill set, personality etc...) will be able to take the website/business to the next level. Be careful though. Get objective advice. Sometimes we get carried away with what excites us, and forget that a successful business is really about what excites OTHER people. Although the selling price will be cheaper than an established business, this option will of course require MUCH more effort, and could end up costing a lot more in the long run (time and money).

Anyway, I hope this helps. Let me know if you're interested in what I have. All the best to you.

RE

Nov 10, 2010
Buy-a- Company

Evan, what concerns me about your posts are the types of businesses you've mentioned (adsense and drop-ship). Those are the kinds of businesses being promoted by some fly-by-night sellers. They make it sound so easy: "You just build a simple web site, and viola!, money pours in with no effort!" They seldom work. Why? Because everyone else saw the same ad, and are instantly your competitors. Let's say you decide to start a drop-ship site selling coffee cups. But 100 other people signed up just like you did, and have the identical products, and nearly identical approaches. (especially in this economy, with so many underemployed). That starts a race to the bottom, as far as prices and margins go. No one survives.

Go look on ebay for some of those drop-shipped products. The market is saturated. Few items even get any bids, and the prices are marked to just above cost. No, thank you.

The person who made the money is the one who sold you on the concept, and the person who sells you and all your competitors the products. They don't care who sells them, or at what price. They just want 1000 people selling their product.

The best business to start (or buy) is one that you are passionate about. Find a product you love, with wide-open markets. What is your passion? Your expertise?

Short of that, buy a company with a good history of making money. Then, you know what to expect. And THAT is of tremendous value.

Adsense and drop-shipping are dead or dying.

Nov 10, 2010
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The BAF Group LLC
MD

Evan, true: You don't know what the Seller's true motivation is. That is why you need to study the heck out of the market, in general. If you know the industry issues, you can usually determine whether the Seller knows something he/she hopes you do not! And doing your due diligence on the business itself is vital. (It is also why having a competent attorney write the Contract of Sale is vital.)

You approach the situation by looking at it both ways - to buy or start up. Why buy a business, rather than start one up? Because, as the previous writer says, it CAN take a lot of the risk out of the process. But the questions leading to that are, how good is your concept, if you start one up yourself? How much will it cost you to replicate the success of one you are looking to buy? That includes how fast it will take you to get to a profit, if you start it up yourself. In this case, time IS money! The key, in my view is to put a Business Plan together that measures the cost and benefits of both approaches, then determine which is most advantageous.

I am a Business Broker, but I caution SOME Buyers that buying SOME businesses is not the wisest move. Starting one up is SOMETIMES the better approach, depending on the business, the economic situation in the marketplace, the prices of the available businesses, the Buyer him/herself...lots of issues.

Nov 10, 2010
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Entrepreneur
Want to buy or start an online business
Los Angeles County, CA

Really? Interesting. That's part of my hesitation to buy a business vs. Starting one from scratch. You just never know what the sellers true motivation for selling is. I need to learn A great deal more about the changing landscape of online business. What type of site WOULD you recommend starting or buying now? I liked a site I saw that is a membership site, which lists drop shippers and their products. The members are are owners of w-commerce sites. Just one I saw. But membership sites I feel don't rely on constant marketing like other sites. That's a guess.
Thanks very much for the info...

Nov 9, 2010
Buy-a- Company

Those adsense sites are dead. Google is changing the search results, so that those sites without any real, valuable content are excluded from the search results. And good riddance. Advertisers are starting to drop that content-based part if their adwords campaigns, so that will make it magnified. Do not buy or start a site based on the adsense business model. And, don't believe the numbers you see touted from those sites. Very few make more than about $20 per month.

Nov 9, 2010
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Entrepreneur
Want to buy or start an online business
Los Angeles County, CA

Thanks for the advice! And apologies, I meant "google adsense"

Nov 9, 2010
Buy-a- Company

Sorry, I gotta get to a meeting, but I wanted to answer this quickly before I left. I will add more later...

Buying an existing business takes a lot of the risk out of it. You only pay for proven results. It is A LOT harder to start an internet company than it appears from the outside, and even harder to project the traffic, revenues, etc. Most online businesses fail. Buy one that has a long track record of success, so you know exactly what you're getting.

If it is easy for you to start, it is also easy for other competitors. You'll always be fighting the new guy who started a site like yours and will undersell you.

Nov 9, 2010

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