CASE STUDY: Honesty is the best policy

11

When Patrick needed to quickly turn an asset into cash, he decided to sell a website he had been working on, Reorder-checks.com, on Flippa. “This was my first consistently profitable site. It was exciting to build, and its revenue was up to around $2000 a month. Up until October, I had no intention of selling, but a looming five-figure debt came due and I needed the cash as soon as possible.”

Patrick was a first-time seller, and he had some apprehensions early in the selling process. “I’ll be honest, the sales process was very scary at first. I had people coming out of the woodwork telling me not to trust anyone, and that I was asking way too much. I think it was obvious that I was new to the process, and there were some people that wanted to take advantage of that.”

Though Patrick was apprehensive during the first days of the auction, he soon found a community of buyers who were eager to guide him through the sales process. “This was probably one of my most rewarding experiences. I ended up meeting a buyer who gave me a ton of good advice on buying and selling websites, and another buyer chatted with me on Skype.”

As Patrick soon learned, honesty pays off when it comes to selling a site. “If I could make any recommendation to future sellers, I would tell them to be transparent. Even if you have to tell potential buyers that sales have dropped off in the last few months, or that changes to Google’s ranking algorithm have hurt your traffic, honesty is the best policy.” Some buyers requested additional information before their bid, which resulted in Patrick spending hours compiling data for them.

It all paid off in the end when one buyer purchased the site for Patrick’s Buy It Now price, eight hours before the end of the sale. At that point, bids were running around $5000 under his BIN price.

The sales process continued smoothly after the auction’s end. “We used Escrow.com to transfer money and ownership, and I’ve since put the buyer in contact with a number of connections I made in the industry while initially building the site. I also built him a guide for the site, and made recommendations for the future of the site. I think he’s going to do an excellent job with the site, and should turn a positive ROI in the near future.”

This wasn’t the end of Patrick’s website building adventures. Indeed, he says, “Thanks to Flippa I was able to sell the site, take care of the debt, and keep building sites. I feel very lucky to have had this opportunity.”

So what’s next? “I am currently working on a few different review sites. I’m spending quite a bit more on quality content production. I think this makes a big difference in the long term potential for the website. I am also running a couple of services for website owners, including LinkFool.com, a high quality backlink service, and my new project, FanFake.com, is launching soon.

Would he consider selling any of his other websites on Flippa? “I don’t plan on selling all my sites, but having the option of using Flippa if I do want to offload a few is excellent! Now that I’ve completed a successful transaction, I would highly recommend Flippa to everyone. It’s a great community with tons of opportunity. Follow the rules, be honest, and you’re sure to succeed.”

Image by Danielle Scott

Share.

About Author

  • https://flippa.com/users/412604 fena3000

    Flippa indeed provides us with the opportunity to sell and buy websites. Most of them of high quality and this is why we do our best to make quality websites ourselves. Thank you Flippa!

  • https://flippa.com/users/434195 TwentySix

    Flippa is a great place to earn big money. I am always use this rule “Honesty is the best policy” that’s why my previous buyer is so much happy from me and want to purchase more sites. I think this is difficult one but not impossible. When you built your trust in the market, your sales grows up and up in days and I think you make more cash. So lets say together, “Honesty is the best Policy”.

  • http://www.trendingforum.com Trendy

    I appreciate your efforts in promoting honesty. Most people thought that the internet is a place of dark business. Not least online marketers are cheating to get money.

    Now the honesty should be the spirit of people to do business in Flippa.

  • https://flippa.com/users/467380 simplesite

    Brilliant article, it’s true it’s a great opportunity for buyers and sellers to meet.

    What I like about Flippa is its efficiency.

  • https://flippa.com/users/450382 flippina

    Got this fortune cookie yesterday :)

    “Never risk your reputation”

    Accept nothing less than 100%

    Honesty and Integrity will take you where ever you want to go…

    Deception, Dishonesty, and Greed will surely make you fall…

    With that being said Thanks for the Great article and keeping us in the know…

    Flippa Rocks!

  • https://flippa.com/users/123076 nomar86

    He is a first time buyer and says honesty pays off, even if sales dropped.. But how can he know? He just sold this site only…

    Nevertheless, great site, great sale and good work!

  • https://flippa.com/users/381076 otensilnoel

    Yes I love flippa and transparency is key to getting what you deserve for a site and you can sell the next project easier, faster and for more. Thanks for this article.

  • https://flippa.com/users/139673 chovy

    Don’t short sell yourself — I would skip the BIN price. I accidentally put a BIN way too low and the site sold in only 2 days.

  • http://tungstenbranding.com Phillip Davis

    How often do you make sales on sites for $20K or more?

    • http://Flippa.com Ophelie

      Hi Phillip — sales of more than $20K happen several times a week. You can see all recent sales here: https://flippa.com/just-sold

  • Tony B

    I do agree that honesty is the best policy.

    ways to make money