Internet businesses, the economy and the election.
The historic day has arrived after 20 months of an intense political race, economic uncertainty and global recession. How does the effect of the election and the apparent recession affect your internet business or the opportunity of buying a website business now?
I am personally looking forward to completion of the process and hope that ultimately the division in this country is reigned in and we can start unifying to take on the enormous challenges of this new century. I think that in itself will allow people to refocus on their opportunities and challenges in their personal and business life without the distraction of the political pundits and abrasive political campaign ads.
The internet has been more of a harbor in the tempest of this economic meltdown – many prospective buyers are looking at investing in solid cash flow internet opportunities because there is a greater sense of control of the potential returns that in the volatile real estate and stock markets. In addition, internet businesses tend to have more resilience to economic downturns because the more affluent and educated consumers are shopping online, researching online and saving money online instead of spending more time and money driving to make purchases for certain products. Website businesses also have a broader market to sell to – with a national or international customer base verses a more local or regional market like most brick and mortar businesses.
In economic downturns there are always niches that thrive and opportunities that become much better deals than they were when the market was up. This means it is a buyers market with more attractive opportunities to consider and at less inflated multiples than a year ago. Looking for an established website business for sale that has a long history of growth, profitability and stability will be a wise investment in a downturn providing the niche is resilient to consumer spending – such as necessity items verses luxury products.
There are lots of excellent opportunities to cherry pick now that will be worth a lot more when we rebound from this morass of poor leadership and uncertainty into a new era of global respect, a healing in this country and new opportunities arising from the enviromental, economic and health challenges we face currently.