Sell My Directory Website Business – AI-Powered Brokerage & Valuation
Thinking of an exit? Get a data‑driven valuation, a buyer‑ready package, and a confidential process designed for directory website owners.
How Much Is My Directory Website Business Worth?
Short answer: Valuation ≈ TTM revenue or SDE × market multiple, adjusted for growth, renewal/churn, unit economics (LTV:CAC, payback), margins, traffic/channel dependence (SEO/paid/referral), contracts/IP, and platform risk.
Valuation, in brief (5 steps)
- Choose method: SDE multiple for owner‑operated sites; EBITDA for larger teams; revenue multiple sometimes for subscription‑led directories.
- Normalise metrics: TTM revenue & monthly net profit, gross margin, renewal rate/churn, LTV:CAC, payback, RPM/ARPA.
- Benchmark with comps: size band, growth, niche/category, ARPA, monetisation mix (listings/ads/affiliate), traffic mix (organic/paid), billing terms.
- Adjust for risk: customer/partner and traffic channel concentration, contract assignability, IP & content rights, data/privacy posture (GDPR/consent), algorithm dependence.
- Run scenarios: base / upside / de‑risked, then set a defensible range for negotiations.
Directory Website Valuation Multiples in 2025 (Indicative)
Ranges vary by size, quality, and buyer type. Treat these as directional bands, not guarantees.
Profile | Basis | Indicative Range* |
---|---|---|
Owner‑operated, sub‑$1m TTM revenue | SDE multiple | ~2.5×–4.0× SDE (≈30×–48× monthly profit) |
$1m–$5m TTM revenue, recurring listings/ad mix | EBITDA multiple | ~4.0×–7.0× EBITDA |
$5m+ TTM revenue, strong retention & traffic moat | EBITDA multiple | ~6.0×–9.0× EBITDA |
*Illustrative bands only; actual outcomes depend on growth, renewal quality, margins, risk, buyer type, and market conditions.
How We Value Directories: Revenue, Renewals, Traffic Quality, LTV:CAC
Driver | Strong Signal | Effect on Multiple |
---|---|---|
Revenue Growth | Consistent YoY growth with stable/improving organic traffic & pipeline | Higher (durability of growth) |
Renewal Rate | High advertiser/listing renewals; low churn | Higher (recurring, predictable cash flow) |
Unit Economics | LTV:CAC ≥ 3:1; payback < 9–12 months | Higher (efficient growth) |
Gross Margin | ≥ 85% with stable fixed costs | Higher (profit potential) |
Concentration Risk | No advertiser > 10% revenue; no channel > 50% | Higher (lower revenue/traffic risk) |
Contracts & IP | Assignable contracts; clean IP/trademarks; GDPR/DPAs | Higher (smoother diligence) |
SDE vs EBITDA for Directories: Which One Matters?
Smaller, owner‑operated directories are often priced on SDE (profit + reasonable owner compensation + normalised add‑backs). Larger teams trend to EBITDA, with revenue multiples considered when subscription retention is strong. We compute both and align to the buyer pool.
How our AI model improves the valuation
- Maps your metrics to live deal/comparable bands (niche, size, growth, renewal rate, traffic mix, authority).
- Runs sensitivity on renewal rate, RPM/ARPA, and SEO/channel risk to show multiple uplift.
- Ranks buyer fit (strategic vs portfolio aggregators/financial) to indicate likely price/structure scenarios.
What to prepare (faster valuation)
- Last 24 months P&L + balance sheet; TTM revenue & monthly net profit bridge (new advertisers, renewals, churn).
- Cohort/retention exports; churn reasons (voluntary/involuntary) & billing/dunning metrics.
- Revenue by stream (listings/subscriptions, ads, affiliate), ARPA bands, billing terms (monthly/annual/pre‑pay).
- Top 20 advertisers/partners with % of revenue; traffic/SEO dependence notes (GA4/GSC snapshots).
- Contracts/IP checklist: assignability, content rights, licences, trademarks, domain age/history, GDPR/DPAs, security/policies.
Quick answers:
Are directories valued on revenue or profit? Owner‑operated sites are mostly SDE/EBITDA; subscription‑led directories with strong retention may attract revenue multiples.
What matters most beyond profit? Renewal rates, traffic quality/diversity, authority/brand defensibility, and monetisation efficiency (RPM/ARPA).
What improves my multiple fastest? Better renewals/churn, diversified traffic (reduced Google dependence), higher RPM/ARPA, cleaner contracts/IP, and reduced advertiser/channel concentration.