March 31, 2006
What is a website/web-business worth?
This is a question I have asked several times myself, and the answer is always different. I love the old saying (I think it is an old saying anyway - note to self, I may need an editor) that something is worth what the buyer wants to pay for it. Anyway, I ask this question today because news is out that Reader's Digest is buying allrecipes.com for $66 million. I haven't had a lot of time to look into the numbers yet, but $66 million seems like a lot of money. The thing that is most shocking to me though is that I spend my life on the web, I love to cook, and have searched for recipes often - but I don't think I have every heard of or saw allrecipes.com before. So, today's answer it that allrecipes.com is worth $66 million. I plan to post a lot more on the topic of valuing a website, stay tuned.