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by hnfong
1298 days ago
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I'm involved in maintaining a dictionary website for Cantonese. We're not strapped for cash since expenses are minimal, but if we did put up ads there (according to Google's estimate) the yearly revenue might be in the say 10+k range. So the business itself at "10 P/E" would be a roughly 100k dollar business. (FWIW, I believe the estimate is probably higher than the would-be real numbers, but then we haven't finished the dictionary itself yet.) I think there's a lot of small-medium sized websites that fall into such a category. |
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That would be P/S (price to sales), not P/E (price to earnings/profits). Not sure about web stuff, but for other small businesses no one would pay anywhere close to 10x P/S (or P/E for that matter but profits are more valuable than revenue).