How can I make sure that I'm not underselling my web application? -> one easy way that I know of: say no to an offer. If they come back with an higher offer, you were underselling.
Ask HN: How to do proper valuation of a web appliation?
11–14 of 14 posts
Re: Ask HN: How to do proper valuation of a web appliation?
#12How can I make sure that I'm not underselling my web application? -> one easy way that I know of: say no to an offer. If they come back with an higher offer, you were underselling.
What if they reject it, and you realize you should have taken it and go back to them, but then they quote lower than the original offer sensing that you are desperate to get it off your hands. It works both ways.
Re: Ask HN: How to do proper valuation of a web appliation?
#13How can I make sure that I'm not underselling my web application? -> one easy way that I know of: say no to an offer. If they come back with an higher offer, you were underselling.
What if they reject it, and you realize you should have taken it and go back to them, but then they quote lower than the original offer sensing that you are desperate to get it off your hands. It works both ways.
The question wasn't "how can I get the highest amount of money for my web app."
Re: Ask HN: How to do proper valuation of a web appliation?
#14Easy. Using the Standard Q2 2011 Bubble Valuation Form:
Start with $500k.
Application Factors: If it has anything to do with "social", multiply by 5. If it's written in a functional language, multiply by 2. If it ends with -ify or has a .ly TLD, multiply by 3.
Personal Factors: If you live in silicon valley and hang out at hipster bars, multiply by 2. If you're far better at name-dropping than you are at producing actual value, multiply by 4.
If none of the above are applicable and you have an actual product or service that people actually use, figure 12x annual earnings, plus a premium for growth expectations.