How to Buy and Sell Websites: The First Steps

The entire processwhen you websites.com/selling-websites/buy-and-sell-websites/']);" href="http://www.flipwebsites.com/selling-websites/buy-and-sell-websites/" target="_blank"> buy and sell websites can be quite complicated for those who are beginners and while on my blog I’ve written some articles already on different aspects of website flipping, this is the first time that I will be going over the process in detail. This article specifically covers the initial steps that both parties undertake if they buy or sell a site.

Step 1:  Buyer and Seller Agree on the Deal

Before any step can be taken, the transacting parties, i.e. the buyer and seller, have to come to an agreement. Of course, it all begins with the seller auctioning off his website, then the buyer showing interest, and finally, they reach a deal.  The process may be done through reliable marketplaces like Flippa.com or through a private deal.

Step 2: The Payment Method

The next step is for the parties to agree on the mode of payment. There are a couple of options here: direct payment or let an escrow service handle payment. If you opt for direct payment, you are further provided with more paying options – PayPal, bank wire, and check or money order. If paying via escrow is the agreed payment scheme, there are several things you need to consider.

Using Escrow

Not all website purchases have to be done via an escrow service. There’s no specific policy for this, but if possible, transactions that go above $1,000 should use escrow. A widely-used escrow service that has even been integrated into Flippa.com’s system is Escrow.com. Some find the fees charged by Escrow.com a bit pricey but (although definitely worth it I should say), there are alternative services you can tap such as SafeFunds.com.

Whichever company you select in the end, make sure you are comfortable letting that service handle your deal. Next, sign up for an account with that escrow service. Having used both Escrow.com and SafeFunds.com previously, I know that joining either of these two is simple and costs nothing. No matter how seldom you intend to flip a site, it’s always recommended to have an account beforehand so you will already have a good idea of how an escrow service can assist you.

So what really is an escrow service’s function? In a nutshell, the process goes like this:

Once the terms of the sale are ironed out and are acceptable to both buyer and seller, the buyer then places the funds into the escrow account. The escrow service verifies the funds and confirms this to the seller.  Upon verification, the seller must then right away start the transfer of the site to the buyer, who then checks the “goods”. If the transfer goes without a hitch the buyer gives the go signal to the escrow service and the seller receives his payment.

While it all sounds pretty clear-cut, some disputes may arise such as the buyer alleging that not all the goods have been delivered as per terms of the contract. When this happens he can submit a dispute claim with the escrow service’s dispute resolution system.

Now you know that the first basic steps in buying and selling websites can be easily done even by those new to the business, and with the assistance of escrow services when needed, there’s no reason why you can’t flip websites for profit.

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