ResortNews, September 2020

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INTONET

What is the value of your website? Buying or selling a business today invariably includes a website. It does not really matter whether you are the seller or buyer because either party must establish a dollar value as it is an asset. Just as obviously, the vendor’s view is a mirror image of the purchaser’s considerations and diametrically opposed.

So, why does a website have a value? The reason that a website has value is because a potential buyer can make a profit from it just as the seller can claim he has derived that profit. Nothing more, nothing less. If you seek the help from a plethora of various professional valuers, you may become totally confused and arrive at a very inflated value. Their usual equation looks something like this: total worth of the website = value of the amount of revenue earned from the website + value of age and inbound links + value of the domain name

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website is invariably included in the trading account’s income column. The other components often break down into subcomponents and unless we are dealing with a major enterprise like the eBays or Amazons of the world there is a far simpler and, in my view, a more realistic way to unravel this conundrum. Arvo Elias, Cybercons

+ value of the page views and the unique visitors to the website + value of the amount of the website’s content. My first reaction is to wonder how one can possible establish the value of each variable in that equation. The monetisation method of each factor is debateable and often quite obscure even before that view is flavoured with the assessor’s own agenda. That equation is fine if one considers the website as a standalone commodity. In your case that is not so because the income generated by the

To begin, I would start to rearrange the order of the factors in that equation… The first component to inspect is the domain name. If it mimics the business name, we are doing well and if it ends in dot com or preferably dot com.au the first goal has been reached. In other words, if your enterprise is called “My Great Venture” then the preferred domain name should be “mygreatventure.com.au”. The second most important component is the actual content. That should be extensive but without repetition. Reading the content should be akin to a book; lots of valuable, concise, relevant, and interesting

MANAGEMENT

text. The sole purpose of all this content is to sell. Sell whatever the business you are buying offers to your potential clients. The most important information, complete with a call to action, should come first.

Clever selling prose relies on emotion rather than cold facts Effective content must have keywords accurately placed within the text with sentence structures playing a major part in search engine optimisation. There is also a relation between the visible text and certain aspects of code structure. If you have any doubts about evaluating these aspects, then professional advice is highly recommended. Today the compliance of the design for mobile rendering is very critical. Google has declared that dual indexing has commence and ultimately evolve into an index of mobile sites only. This means that currently a website will be listed in the normal manner irrespective ResortNews | September 2020


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