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[cobalt-users] How to Value a Web Hosting Company?



We are currently looking at purchasing a few small hosting companies in our area (about 1000 active web sites each).

I was wondering how some of you may have priced your web hosting companies (sold or purchased) in the past year or two?

Was is based on a multiple of expected revenue from the current hosting customer base for say the next 12 months?

Was it based on $X per account?

Was it based on a factor of the previus year's revenue?

Any suggestions or guidlines as to how this is done in the hosting industry would be great.

Franklin Thomas
Webmaster
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