Website flipping is similar to a garage sale. You take someone else’s trash and you turn it into your own treasure. There are TV shows were an entrepreneur buy a beat up car and gives it an makeover and then sells it for a huge profit. This is the same thing as website flipping. However instead of a car it is a website.
Similar to any other business flipping site has risks. The best way to minimize those risks is to get as much information as possible. Below are the steps that you need to take and know about before you start flipping websites.
1. -The Spot- The first thing you must look for is a website to buy. There are some things you need to look for in a site. It should be savable. This means that you have to look for the needle in the haystack of sites. You need to plan and think about how to transform a site. This is the first step that can really help you win half the battle.
2.-The Sale – When you find the needle in the haystack you may want to take it. However before you complete a sale you should get some information about the site. First off how much work does the site need? If you know this information you can estimate the cost of the site. You also need an estimate about just how much money you could make by selling the site. This information will help you set a limit on how much to pay for the site. After getting this information then you can start to negotiate. You should try to get the lowest cost possible because if you are to add value to the site you will need to spend more money.
3.-The Upgrade – When you have purchased the site you want now it is time to get the work started on improving this site. You must transform it and there are different degrees and ways that this can be done. You can used simple Search Engine Optimization or an all-out redesign. Many people think that the concept of a site redesign is what they were looking for originally and they have to change the site to sell it. When you are adding value to a site always remember that you need to make a profit in the end. You should have a good understanding of how much work a site needs before you buy it to then sell it. There is always the chance that something bad will happen that you had not planned for. Therefore you need some contingency plans and cash.
4.-The sell – Once you have finished fixing the site and making it into something that other people would want to buy it is time that you sell it. A smart flipper would make sure that the market for the site is good before they buy and change the site. You can find forums and sites to advertise online as well as auction sites. Remember when setting the price to keep all the time an money you spent in mind and as the demand in the market.
You have just gone through the basics of how to flip a site. If you have good talent and instincts you can really make a profit.