Friday, September 08, 2006

Blog Valuation

The easy way to value your blog is take a look at your earnings in cash for the last twelve months and discount it, projecting your earnings over the next twelve.

There are obvious issues with this, the primary being that 'past performance' is no indication of future performance, but it can give you a rough guideline.

What may be difficult to add to the calculation is how much actual work you had to do on your blog to get the traffic that click on the ads that generated all the revenue.

There are a number of blog valuation sites that offer up algorithm type formulas to calculate the value of your blog.

As an example Blog Worth does this by looking at your alexa ranking and your incoming links and then putting an arbitrary US dollar amount to this.
See example:

Of course, this doesn't mean that there's an actual buyer out there that will buy your blog for that much money, but its a start. In trying to determine an appropriate valuation, its important to look at your blog from the perspective of several approaches.

With that in mind I'm building a directory of Blog Valuation services which I'll host at Softduit similar to the Blog Directory listing I have accumulated offering Blog Directories in alphabetical order, ordered by Alexa Ranking and ordered by's PageStrength. These directories allow you to target and prioritize the best directories to list your blogs in order to get the most traffic and listings the fastest.

So in a future post, I'll include a similar group of directories of Blog valuation directories.

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