Pulling Out Flippa From Sitepoint

Sitepoint is still very much active but they’ve taken the website buying and selling portion of their business and spun it off to create Flippa. FYI, I like the name, as in “let’s flip a” website, because it is short and memorable. And, just like with housing, online real estate can gain in enormous value if you take something that is run down, fix it up fast and sell it.

So what’s so special about Flippa? A number of things, not least that it is a fully dedicated site to buying and selling websites only. I can’t say that Sitepoint fans are thrilled with the move, especially since Flippa was rolled out without advance warning. A thread (since locked) on the Sitepoint forum indicates that a number of users are upset with this practice, especially the “success fee” if your site is sold (more about that later).

Info Moved To Flippa

Because I was already a featured participant on Sitepoint, they automatically navigated my information to Flippa. Well, some of it. I still needed to perform the phone number verification to show buyers that I’m legitimate and I don’t see any record of my previous transactions. I’m not too concerned about this as I can easily provide those links to buyers, if asked. Still, it would be easier if people could see that I have a track record in selling websites.

Visitors to Flippa are encouraged to sign in, but you don’t have to register in order to preview listings, which are split between “buy” and “sell” tabs. Click on a listing and all sorts of information about the site is offered including site name, domain, description, revenue details, traffic and price. Also, Google’s Page Rank, Alexa rank, pages indexed, domain data, seller details, etc.

Listing Details: Steep Fees?

To list a site on Flippa, users must pony up a nominal fee of $19. That amount is low enough to encourage seller traffic, but high enough to keep the cheap, article mill sites out of the listings. Though I didn’t check every featured listing, most appeared to be for legitimate sites that have regular traffic, income and are ready for sale.

Beyond the base $19 fee is what Flippa calls its “success fee” which amounts to 5% of the transaction. This means that if you sell your site for $5000, then Flippa requires an additional payment of $250, which they say is “paid by a combination of the buyer and the seller when the auction concludes successfully.” Flippa caps that fee at $498, with a $5 minimum. So, if you’re selling a $100,000 site, your top fee will be $498, which is .05% of the transaction – in that territory movers and shakers won’t blink when it comes to paying the fee.

Is the 5% fee steep? It can be especially if you have a site that sells for let’s say $6000 and you still must pay escrow fees to safely complete the transaction. Though escrow fees are typically split between the buyer and the seller, they can add up. At $6000, that’s another $300 in fees, so when you’re selling your site, you need to price it accordingly in order to maximize your profit. That $6000 sale may only net you $5600 or so, something that must be taken account when negotiating your price and determining who pays how much in fees.

Giving Flippa A Try

So, will I give Flippa a try? Probably, for the simple reason that I want to expose my website to as much traffic as possible. I could advertise the sale elsewhere for less or come up with my own ad campaign to market the site, but I’d rather have someone else do that for me. I’ll probably upgrade my package too from the $19 basic price to have it highlighted, perhaps featured. That’ll push my costs up to about $60 without guaranteeing a sale. Flippa now automatically renews private sale listings (as opposed to an auction) for free which can help keep your product in front of the eyes of potential buyers longer.

BTW, I’m not going to name which site I’m readying for sale just yet, but I can tell you that it isn’t this website. There is a slight chance I’ll be able to find a buyer without Flippa’s assistance which means I’ll save on fees as well as avoid the hassles of responding to numerous inquiries once that site is on the market.

See Also — Launching Your Own Business? Consider These Steps First!

Unlike previous downturns, this one is likely to have long legs to it, especially for mid and later career workers who are discovering that their original career path has come to a dead end. For these people, they’ll have to retrain whether that means formal schooling or learning a new business.

Birthed Out Of A Recession

Do you have a bright idea to launch a new business? With so many workers rethinking their career plans, carefully cultivating your business plans is a must.

I launched my writing business in November 2002, when the New York City area was going through a downturn. That recession was localized, a direct result of the terrorist attacks of September 2001. Recovery came the following year, but by then I was already immersed in my new venture.

Since then, I’ve tweaked and refined my business, shedding those tasks that were poor money makers (or I was disinterested in) while acquiring new skills and clients. I have to say that I’m happy with what I do, but the work isn’t easy. Good thing I like working sixty hours a week because I can’t imagine myself holding down a job I hate even if that means “only” working forty hours each week.

Different Strokes For Different Folks

People ask me how they should get started with a business, but I know that there isn’t any “one size fits all” plan. However, over the past seven years I’ve picked up enough ideas so that I can confidently share with you what works for me including the following:

Work Your Passion – Never, ever start a business that doesn’t interest you. Why would you want to run a flower shop if you’re more interested in selling model cars? Sure, one job may “pay the bills” but I believe in the long run your passion will pay you more. Besides, if you have to work hard, why not work hard at doing what you love?

Plan Carefully – “The best laid plans of mice and men often go awry.” John Steinbeck said that, I didn’t. But his statement is true. In any case, you still need to craft some sort of business plan outlining your ideas, listing your short term goals and what you need to do to help sustain your business for many years. While initial planning is an absolute necessity, tweaking your plans as you go along is essential.

Stick To A Budget – The “B” word or budget isn’t a favorite of many people, but it will help you survive for the long term. The percentage of business failures is quite high, but it could be much lower if small business operators stuck to a budget, regularly and carefully reviewing their income and expenses.

Smart Networking – Social networking is all the rage, a way to bring people together online. For internet based businesses this is a must, while brick and mortar shops would do better to concentrate on local networking first. Join the Chamber of Commerce, seek assistance from SCORE (Service Corps of Retired Executives), find a mentor, take a class, etc. After that, make sure that your online profile is known, joining LinkedIn, Facebook and Twitter to cultivate a wider network of contacts.

Ask For Help – When you’re immersed in a business, you can get overwhelmed by the many different responsibilities and problems that crop up. Your networking base can be tapped when you need advice or a friend consulted during those times when things seem like they are unraveling. There will be times when you need to give the business side of you a break, while you pursue activities that you enjoy (reading, exercise, lunch with a friend, travel, etc.). You may not be able to take a one or two week vacation just yet, but a few hours off here or there could be all of the refreshing that you need for the moment.

Managing Your Own Business

As I mentioned earlier, there is no “one size fits all” plan for running a small business, even if your business is operating the local franchise of an international food establishment. Guidelines can certainly help, but people, places and circumstances are frequently unique, requiring that you respond accordingly.

Years later I can attest that starting my business was the best step I’ve taken over the three decades that I’ve been working. I’m not likely to ever work full time for anyone ever again, but that is okay for me. I’ve tasted self employment and am perfectly happy to be my own boss — perhaps you would be too.

See Also — So, You Want To Be A Freelancer?

Making Something Out Of An Abandoned Domain Name

The name Finley Racing actually belongs to a real life race car family who developed the site in 2003. Apparently, they abandoned the domain name and went with something else, which I found to be a curious move. I snapped up the name when I found it on GoDaddy for next to nothing.

Regardless, my site has nothing to do with Team Finley but I thought that the name sounded cool. Besides, an aged domain looks good even though I’ve sat on it for the better part of the last year. Think SEO!

Right now, I’m covering NASCAR related topics for the simple reason that my motorsports knowledge is fairly limited. Admittedly, I have yet to take in a NASCAR race, but since I now live in North Carolina (I moved here in 2004) I don’t really have an excuse not to go. Of course, being given tickets to the pricey Coca-Cola 600 in Charlotte later this month would be nice. You hear that Coke?

When It Comes To Car Sites, Three Is A Charm

Finley Racing represents my third major automotive site following The Auto Writer (launched February 2006) and Auto Trends (launched April 2008) as car sites I know manage. I’m still writing automotive articles for one customer and I have a monthly automotive column that appears in 435 South Magazine (Overland Park, KS) as well a bi-monthly column in Wisconsin Golfer.

Let’s just say that I have found my niche and I enjoy covering cars from many different angles — i.e., by manufacturer, car parts, accessories, automotive trends, sporting, you name it.

Speaking of niche, I have several small sites I plan on launching over the coming few weeks (probably months) basically activating a number of domains I have held onto for the past several years. I’m of the mind that a small, tightly knit network of sites can be beneficial, a good way to share links as well as to bring in traffic for new business.

Stay tuned!

Thankfully, my business remains stable, but the dark clouds are on the horizon. If I pay too much attention to the daily layoff reports, I can quickly grow discouraged. Instead, I’ve chosen to focus on those things which are much more uplifting or at least those things which have nothing to do with the economy!

The Time To Launch A Business Is Now

I am discovering what seems to be a greater number of people who have decided to go into business for themselves.  My cousin is partnering with a friend who launched a “green business” after spending the last twenty-five years in retail. He has had the unfortunate experience of working for two retailers who went bankrupt, though those jobs disappeared well over a decade apart.

I think a lot of people are deciding that they’ve had enough and have decided to venture out on their own. After all, what have they got to lose? Answer: steady pay, an ungrateful boss, crabby co-workers, lousy commute, etc. Best wishes with everything, Jerry, your past successes heading up various retail locations will work to your advantage.

As far as my current group of clients, I’ve encouraged everyone to hang in there. It is easy to focus on the negative while missing opportunities that are sitting right before your eyes. This is a good time to snap up a business (such as an online store or a blog) as prices are much lower and some people want to get out. I like to keep my eyes on Sitepoint to see what is out there.

Prepare Now And You’ll Prosper Later

I truly believe that people who position themselves now for the coming recovery — and the recovery will come — are those folks who will shine later on. I’ve come across any number of people who are panicking which can lead to irrational behavior. Don’t be too quick to make a drastic decision when the heat has been turned up in your life!

I distinctly recall the tough recession of the early 1980s and it was worse than this one, but we recovered and the economy eventually soared. That gave way to the go-go 1990s when the technology sector boomed. I am, however, cautious about this pork laden “stimulus” bill making its way through Congress — what impact that it will have on the economy several years hence is the great unknown.

Taking My Business To The Next Level

Besides meeting all of the needs of my present clients, I am keeping my eyes open for more work. But, instead of actively pursuing specific jobs at the moment, I’m gauging what is out there and considering how I can best accommodate an increased workload.

Part of that review involves me reassessing my business and planning for the future. I’ve never done this before (at least that far out), but I’m looking at establishing attainable goals that I want to reach three years or more down the line. I can see that laying a solid plan now will help me move in that direction.

Not Ready To Put Out The Help Wanted Sign

To this day, I’ve been a one person business but I’m mulling taking on — gasp! — at least one employee or perhaps contracting out work. Don’t send your resume to me just yet, because I don’t have anything in place right now and I can’t see me going that direction before the year is out.

I can recall quite a number of conversations I had with people early on (I launched my business in November 2002) where I insisted I would never take on staff. But, some of the projects I could end up handling would be all the more easier to do if I had people working with me. I write like the dickens all throughout the day, but some of those assignments could be farmed out to a qualified writer.

I suppose what we think is right for the moment will apply always, but just thinking about working with someone is a fresh thought, one that involves a lot of consideration. If and when I do make a change you’ll know about it here.

Enjoy your weekend.

I’m not your average blogger nor am I your typical freelance writer. I maintain six active blogs, four of which are updated daily, with the remaining two updated once or twice a week; I’m also currently serving as the automotive columnist for a pair of print publications.

Most particularly as when the news has something to do with cars, I’m often the recipient of requests to review a product, make an announcement, tell a story or share something else with my readers.  Admittedly, I can’t respond to every request personally and I sometimes miss the announcement completely.

To that end, I want to share some tips with those of you whose responsibility it is to disseminate news, particularly when you’re trying to see if I will follow up with what you have.

Not all news is equal, but not all press releases and announcements are either.  This means that you have a better chance of getting a “read” and an eventual article placement if you follow my advice:

Contact me carefully — I no longer publish a phone number where people can contact me. My current clients have that number and I also give that information out to people who are part of my trusted circle of news providers. For everyone else, contacting me via my on site contact forms or direct email address is the best way to go.

I put a lot of weight on those contacts who provide all of the information I need from the get go including at least one related photograph. I just don’t have time to play email tag — be thorough and I’ll have a clearer understanding of what you want and can make my decision based on the information you supplied.

Please be patient — I don’t always respond to contact requests as quickly as I probably should. No excuses, but life does happen to get in the way. Juggling a number of responsibilities means that some tasks get pushed to the side. Plus, there are times I am on deadline and absolutely nothing will get me to stop what I’m doing to focus on your news.

More often then not, I’ll go through my inbox several times during the week to catch up on my messages. Yes, if I detect that something is spammy or isn’t relevant, I’ll simply delete it and move on.

Follow up with me — If someone has something that is very interesting or truly believes that what would benefit my readers, I have no problems with receiving a follow up note. Pushy people are usually ignored while polite folks get moved to the head of the line.

Just to let you know that I’m from the old school: I value personal relationships and I enjoy long term business dealings. I’ve been online steadily since 1995 and have managed my own sites since 2002. I like to think that what I do now will be something that I’ll be doing the rest of my life. I love my job!

I need your people — Got people? I hope so. From time to time I’ll rewrite a press release and add my thoughts to the conversation. However, I prefer the human contact (remember, I’m old school) and am much more likely to go with your story if I can speak to the name behind the story.

This means the person who designed the automobile, runs the division, created the concept or is heading up the ad campaign is of interest to me. I won’t take up a lot of their time (we’re all very busy these days) but if I can have ten to fifteen minutes, that will certainly help your cause. In some cases I’m satisfied with a brief quote sent to me via email.

The bonus round — Last of all, you can increase your chances of having your news published by writing a jam up press release in the first place (I toss away anything smacking of self promotion) and by offering to cite my article somewhere on your website or blog.

I’m not looking for a “pay to play” exchange but if I’m publishing something newsworthy about your organization, product or personnel you can bet that I’m providing a valuable path to your site, one that my readers will likely travel frequently over the weeks, months and, yes, the years ahead.

Photo Credit: Sanja Gjenero

The first five months of 2008 were a real struggle for me as I found demand for my work to be down. But, beginning in June things began to turn around so much so that for the remainder of the year every month beat my budgeted projection. This, despite a worsening recession, which saw a number of large businesses hit the skids and the federal government coming up with a cockamamy bail out plan.

My customer base remains unchanged from last summer though my work load has definitely shifted more to two clients from three. I still am writing for a pair of print publications as an automotive columnist and I do rely on some ad revenue thanks to AdSense and other arrangements. I am detecting that advertising is down because of the economy, so I certainly won’t rely on that during 2009.

I plan on using the first few weeks of the month to come up with a fresh marketing plan for my work. Not so much for promoting the many sites that I control, rather to solicit fresh business from quality clientele. I’ll probably be scaling back on some of my social media involvement while pitching my work to some interested parties.

During the Christmas break I received an inquiry about my work, but haven’t gotten back yet. With the kids being at home (they’re back in school today) I’ve been balancing my work with their needs while also finding it difficult to work when they’re in the house. Thankfully, my wife keeps them occupied, otherwise I would have gotten nothing done these past two weeks.

In 2008, I was able to take in a pair of auto shows, which are critical to my work. In January I made it to the Detroit show (North American International Auto Show) while in November I visited Los Angeles for that show. In February, I made a visit to Wilmington, NC to cover the Battleship U.S.S. North Carolina, notes of which are part of an unsold article I have developed.

I will not be attending the Detroit show this year, but I am registered for the Chicago Auto Show which will be held next month. However, because of the current state of the economy, I may skip Chicago and wait until April to attend the New York International Auto Show. That latter show is in the vicinity of family, so I have a place to stay. I also would like to go to Las Vegas in November for SEMA (no, not for betandwin or is it bet and win?) as I’m still writing quite a few articles for the specialty automotive market.

In between we have a family trip coming up and I hope to pull in a writing assignment while we’re away. I’ve gotten in the habit of bringing my laptop along with me and as long as I’m not engrossed in all things internet while we’re away, my family doesn’t mind. If they did, they’d tell me!

One area of writing that I would like to pursue in 2009 is a full feature gig with a national magazine or newspaper. This kind of writing is very research intensive, involves 3000-6000 words, and takes a significant amount of time to complete. But, the rewards in the form of pay and exposure are terrific, just the sort of breakthrough assignment that can change everything.

I established Cabin Managers in April 2004 as a message board for my previously owned Corporate Flight Attendant Community. In October 2007, I modified the site’s purpose, rebuilt the pages on WordPress, and added fresh content. What you see today is a site that receives a good amount of traffic, is well indexed, and has tons of backlinks.

The Buy It Now price for Cabin Managers is $3500, reflecting its ad revenue ($359 for June 2008), age, content, and links.  The site is hosted on GoDaddy; free push of domain included.

If you have any questions, please visit Sitepoint where the auction is being conducted.