Monthly Archives: November 2007

Website Valuation Tool released

After a few almost sleepless nights and a lot of help from other members of our team we were finally able to release the first beta version of our new website valuation tool. This tool is a free online web site value calculator that can help you find the value of a website you want to sell or are interested in buying. Give it a spin and let us know what you think. We are always looking for suggestions to improve this tool.

Unfortunately, we were a little busy to create the tool that we still have not had a chance to create any documentation for the tool. However, it is pretty self-explanatory and is pretty easy to figure out.

Hi-Media Group acquires Fotolog.com

Hi-Media Group today acquired of Fotolog.com. Hi-Media is a diversified European pure play Internet company that includes advertising, and micro-payment services.

Fotolog was launched in May 2002, added 3 million members in August 2007, and passed 13 million members. It receives over 16 million unique visitors per month, 3.9 billion page views and has 350 million pictures posted. It is ranked number 18 by Alexa.

It has been reported that the price tag was roughly $90 million in cash and stock.

American Greetings to Acquire PhotoWorks.com

American Greetings Corporation and PhotoWorks, Inc. which operates photoworks.com and was formerly known as Seattle Film Works, announced that they have entered into an agreement whereby American Greetings will acquire PhotoWorks for approximately $26.5 million.

PhotoWorks is an online photo sharing and personal publishing company that allows consumers to use their digital images to create quality photo-personalized products like greeting cards, calendars, online photo albums etc. It also allows users to connect with friends and within communities of similar interest.

American Greetings had recently acquired Webshots.com.

PhotoWorks.com is ranked 55,536 on Alexa and Compete.com reports about 256,000 monthly visitors.

Factors to take into account when valuing a website

There is no established formula for the valuation of a web site. However, there are several factors to consider when valuing a website. These items are discussed more fully in our website valuation article, but we wanted to provide you with a brief summary:

A. Profits and Cash Flow (This is really revenue minus costs)

1. Source of Revenues
- a. Monthly products or services sales from site.
  b. Monthly membership dues
  c. Subscription
  d. Commissions from other sources
  e. Revenue from partnership deals
  g. Advertising
  - i. Sell through rate
  - ii. Does the site have an ad delivery system in place

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Business.vn Signs LOI to Acquire Hotels.vn

Business.vn, Inc., a Nevada corporation, which specializes in providing online marketing for the travel/tourism, import/export industries, has signed a Letter of Intent to acquire assets from Ho Chi Minh City based Business.com.vn, Inc., a Vietnamese Internet marketing and software development company which owns the Hotel sites www.Hotels.vn and www.Hotels.com.vn, 250 hotel participation contracts, a directory of 4,500 Vietnamese hotels and tour companies, and related software.

DevStart, Inc. acquires ServerSeek.com

DevStart, Inc. (www.devstart.com), an Internet media company serving the web development and promotion markets, has recently acquired ServerSeek.com, which is complementary to DevStart’s own web hosting directory, HostReview.com (www.hostreview.com) – a popular website according to Alexa and Compete.com. The acquisition is aimed at extending DevStart’s offerings to web hosting consumers and advertisers. ServerSeek.com provides a Web-based, bid exchange service where companies wanting to lease servers can find hosting companies with dedicated servers available to lease. The terms of the deal were not disclosed.

DevStart’s websites attract a monthly audience of nearly one million unique visitors and include HostReview.com, DomainInformer.com, PromotionWorld.com, HTMLPrimer.com, CGIDIR.com, JavaScriptSearch.com and IdeaCafe.com.