Mergers & acquisitions take time — both before and after the sale. But subscription websites looking to sell shouldn’t feel they have to submit to a long and drawn-out courting process with buyers.
As we discuss in this week’s How-To on Subscription Site Insider, it’s best if websites looking to sell court multiple buyers — and place a timeline on all prospective buyers to bid. This auction-style bidding process gives sellers the advantage since it’s all too common for one-on-one conversations with buyers to linger and end up with no sale. And by courting multiple buyers, sellers are also more likely to get the maximum value for their site.
Also, when looking for buyers, strategic buyers with a foothold in your industry, or a complimentary one, often pay more than private equity and venture capital firms. In niche publishing, your competitor is always your frenemy.
Subscription sites are also at an advantage for getting premium prices since subscription revenues are valued more than other revenue sources given their recurring and predictable nature. To find out just how much, check out our Member-Only How-To and Infographic, Ten Steps To Get Your Subscription Site Ready for Acquisition.