10: Empire Flipper’s CEO: Investing in profitable, cash flow websites

Joe Magnotti is the founder and CEO of Empire Flippers. Since they launching a few years ago they have successfully sold several thousand websites over their p-2-p market place. Empire Flippers only sells profitable, cash flowing websites that are typically in the range of $5,000 to $1,000,0000. Joe discusses with us how they set valuations in the marketplace, trending niche categories such as Amazon FBA, and why 40% of the marketplace buyers are repeat customers.

We also take a deep dive into 3 sites currently listed including specifics on revenue, maintenance, and future growth prospects. This episode gives us a unique look into modern investing and is particularly appealing for anyone who is interested in internet commerce.

Relevant links for guest:

Empire Flippers

Website – https://empireflippers.com/
Twitter – https://twitter.com/EmpireFlippers
Facebook: https://www.facebook.com/EmpireFlippers/

Joe Magnotti

Facebook: https://www.facebook.com/magnotti
Linkedin: https://www.linkedin.com/in/josephmagnotti

Where are we:

Sam – Singapore
Joe – Manila, Philippines

What we are drinking:

Sam – water (nursing hangover from night before)
Joe – San Miguel Light

Recommended (books, subscriptions):

Empire flippers Podcast
MONEY Master the Game

Discussed (relevant links):

AdSense site, Finance niche (investing) been around almost 8 years, making $1,230 a month net – $44,288
Amazon Associates site, sport niche (golf), been around 2 and ½ years making almost $3,200 a month net –$79,790
Service based site delivering a small gift, been around 5 and ½ years making almost $8,200 a month – $237,196
Jon Haver’s site
Website buyer type profiles (which one are you?)
Empire Flippers Valuation Tool
Accredited investor definition
Webfolio Management – Invest in internet business fund
ILAB 02 – Dropshipping
TLAB 115 – Selling my store for $60k
Boss Lounge – Facebook

Show notes:

04:00 – Difference between Dropshipping and Amazon FBA
11:00 – How to find a buyer through a website broker
12:45 – Can you auto pilot your online business
13:30 – Selling my dropshipping business for $60k
24:11 – Intro starts
24:45 – What is Empire Flippers
26:30 – Number of sites sold through Empire Flippers
27:50 – Price range of sites on market place
28:45 – Determining profitability of website cash flows
29:45 – Vetting process
31:00 – Determining multiple and valuation
34:40 – Trending sites right now
36:45 – SaaS valuations
38:20 – Redundancies of sites revenues
41:15 – Seeing thousands of profitable websites
42:00 – Types of buyers in marketplace
44:30 – Getting into Amazon FBA
48:50 – Buying first building a business
49:20 – Determining profitability of the website
50:30 – Repeat buyers
51:50 – Reviewing 3 sites currently for sale
53:00 – Buyer due diligence
54:45 – Setting up process to support the business
54:45 – Starting their internet investment fund
56:30 – Vetting accredited investors
57:00 – Future expansion of the fund
59:30 – The future of Internet commerce