When it comes to choosing the right adult website broker for you, you need to know what questions to ask to help you find the right brokerage for you and your needs. In this article, Adult Site Broker walks you through what questions you should ask your adult website broker before you sell your website.
What Is a Website Broker?
In general, a website broker helps with the buying and selling of online businesses and their websites. They can offer advice and support you within the sales process. They should assist with website valuation and due diligence, and help you find and work with legal counsel for the sales agreement and escrow.
As the name suggests, an adult website broker serves as an intermediary for buying and selling adult websites. They operate in the adult industry, so they offer extensive knowledge of the current market, trends, and opportunities within the adult industry for porn sites, fan sites, cam sites, adult dating, and adult e-commerce businesses.
Why Work With An Adult Website Broker?
One of the main issues when it comes time to sell your adult website is that, while you may have connections with others in the industry, you may need to know who is looking to buy an adult site.
You can either sell it on a marketplace and handle the process yourself, or send multiple emails to your network, which yields few results because people aren’t looking to buy at that moment. This is why working with an adult website broker, like us at Adult Site Broker, can be helpful.
Whether you are new to the adult entertainment industry or have been working within it for decades, an adult website broker can be your greatest asset when it comes time to sell your adult website.
Through their network of buyers and sellers, they are in the perfect position to match your adult site with a buyer who meets your needs, saving you time and energy by avoiding direct negotiations.
Also, having an adult website broker helps keep the fact that your site is for sale confidential. A good adult website broker will promote your site as a “blind listing,” not disclose its name.
The process of selling an adult website through a broker
The overall aim of an adult broker is to act as an intermediary between a buyer and a seller on a website. An adult website seller will contact the adult website broker, and when a buyer comes along looking for the same type of site, the broker will see if they are a good match. Once an offer has been made, the broker will oversee the purchase and sale of the adult website and earn a percentage of the sale price as commission.
What Questions Should You Ask Your Adult Website Broker?
However, before you decide to work with an adult website broker, it is crucial to ensure you are getting the most out of the experience. That is why we have compiled a list of some of the questions you should ask an adult website broker before you choose to work with them.
How Will They Value Your Website?
Understanding how your adult website’s valuation will be determined is crucial to assessing the potential you can earn from the sale. When asking them, you want to know what they need from you (usually three years of financials) and whether they will use revenue, net worth, or traffic value when completing the website valuation.
What Is Their Buyer Network Like?
One of the main benefits of working with an adult website broker, in addition to their market knowledge and expertise, is their buyer network.
You want to ask them how extensive their buyer’s network is (currently, Adult Site Broker has over 9000 names on our mailing list) and how they will market your adult website to potential buyers.
In most cases, alongside advertising their Porn listings on their website, through email, and other forms of advertising, like social media, they will email your listing directly to drum up interest if they have a specific buyer in mind.
How Much Experience Do They Have?
Another reason you may choose to work with an adult website broker instead of overseeing the process yourself is that you are looking for help from someone with expertise in the adult industry and the process of buying and selling an adult website.
Asking them how many years they have been working as a broker, what type of websites they are used to selling, and how many years of experience they have in the adult industry allows you to gauge if they can offer you the best possible advice and support throughout the process.
How Do They Facilitate Communication Between Sellers and Buyers?
Once an offer has been made and you enter due diligence, being able to communicate with your buyer quickly and easily to answer their questions is critical to ensuring the sale goes through smoothly.
You want a broker that will support you throughout the negotiation process and help facilitate communication between you and your buyer. Understanding their process also helps you know how hands-on you will need to be when communicating with a potential buyer.
What Services Do They Offer?
A website’s sales process requires multiple services, including a buyer network, legal assistance, and the opening of an escrow account.
Understanding what advice or support a potential brokerage can offer when drafting a letter of intent and purchase agreement helps you determine whether their services are worth the commission fee you will pay at the end.
In most cases, although they won’t provide legal help or open an escrow account, they may partner with others who do.
How Will They Protect Your Confidentiality?
Another critical question is what their confidentiality process is for selling your adult site, and how they can protect it. In most cases, a good adult website broker will make you sign an NDA and put as few details as possible in their listings, keeping your name, website’s name, and financials confidential as they seek a buyer.
Will They Assist With Due Diligence?
Due diligence can be a lengthy process, as the buyer investigates your website and asks you questions about your adult site’s finances, legal obligations, operations, and website analytics to gain a broader picture of how the site operates. Your adult website broker will often have many details, such as previous financial records, to make the process smoother.
Conclusion
Like a real estate agent, when choosing the right adult website broker, you need to ask questions to ensure you get the most for your money.
Understand the type of support you are looking for and ask the following questions to help match you with the right adult website broker the next time you sell your adult site.
Read more:
- What Mistakes To Avoid When Selling Your Adult Website
- How To Choose Your Valuation Multiple When Selling Your Adult Website
