So the skeptics' jokes never panned out and, instead of having trouble paying 
for itself, Business.com made the financial ugly-duckling-to-swan switch. Jake Winebaum and Sky Dalton stand an excellent chance of reaping extremely high profits.
Why does anyone think its worth the hundreds of millions of dollars asked? Well, for one thing, it's no longer an empty URL. Now it's Business.com, a real business with real income and very real profits.
When Winebaum and Dalton bought the URL, business.com, from Marc Ostrofsky in 1999, the dotcom boom was winding down. That wind-down paved the way for the search advertising surge and Business.com took full advantage to the point that its directory and pay-per-click business made a rapid upward spiral.
The numbers speak well. Earnings before Interest, taxes, depreciation, and amoritization (EBITDA) for 2007 are already $15 million. During the first quarter of this year, traffic grew fifty percent compared with the first quarter of last year.
Speculation points to Yahoo! or Google as possible buyers; they're quite able to afford the site. Or, possibly, Dow Jones, the New York Times, or other traditional offline media, which would also make sense. Traditional media looking to fill in their online gaps might be ready to pay the asking price.
Source: Ashkan Karbasfrooshan, Business.com on the Auction Block?, HipMojo
Source: Om Malik, Business and a dot com, Sales higher than reported?, GigaOM
Source: Vindu Goel, Business.com's shell game is the Web at its money-grubbing, cynical worst, Vindu's View From The Valley
See more information about Home Based Business, Business Credit Cards and Business Web Design.
Business.com is the perfect domain name along with the now perfect business. The company is only going to see profits go up and up within the next few years. The name is worth many millions by itself. The company together and a few hundred million does seem like a bargain.
Posted by: FundsOption.com | June 28, 2007 7:22 PM | Permalink to Comment