62: How To Buy Websites For Cash Flow, with Matt Raad

Want to skip the start-up phase and jump right into a business that cash flows?   Today’s Side Hustle Hero guest Matt Raad will tell us how.   With the help of mentors, he and his wife Liz became rock stars in Australia, analyzing the value of bricks and mortar businesses for potential buyers.   But then they realized the world was changing, and they could pivot and apply their knowledge and skill to online businesses.   Fast forward some years, and today they have an extensive portfolio of “website” businesses and earnings well into 7-figures.   And here’s a fun fact…having expertise or knowledge of the industry in which you’re buying the website business, is not a prerequisite.   Matt explains why.   You’ll also discover,   how to test the waters in a relatively inexpensive way, to see if this side hustle is for you, what to look for when buying a website business, red flags to look out for, how to gain access to a website’s Google Analytics the importance of keyword research best niches to go after, and the “Fallen Angel Strategy”   What You’ll Hear:   03:07 Matt’s income is from a portfolio of investments and website businesses 05:00 First business was a small manufacturing company 06:05 Coming from a science background trained them to be curious 07:30 Rich Dad Poor Dad - a thought provoking book 07:50 Has only owned one retail business…and never again 08:19 Buying and selling businesses for high net-worth individuals and private equity firms 09:45 First website business they bought on eBay - and what they did to increase its income 12:35  “Passion” niches are Matt’s favourite - crafting, pets, golfing sites, etc 13:05 You don’t need to be an expert in the industry 14:38 Three good ways to monetize a golfing site 19:00 With “passion” sites, sometimes the seller will stay on to contribute content 19:44 How to determine if a website is a good buy 20:16 If you want to start, buy a “starter” site under $1,000 20:42 Flippa.com is a main site for beginners 22:12 This is not a “get rich quick scheme”...there is a learning curve 23:00 Look at a website’s profit and traffic. Not sales! 23:29 How to know the numbers a seller is stating is accurate 24.41 Google Analytics is the #1 tool Matt uses for due diligence and to analyze sites 25:01 The things that look “bad” to people, are often the best opportunities 26:01 How you gain access to a website’s Google Analytics 27:47 The importance of SEO in website businesses, and selling out to deep-pocket buyers 29:22 Red flags to look out for when buying a website business 31:06 A main thing to look at is keyword research 31:54 If you stick to these main big industries -  health, wealth, happiness - they’ll always be around 32:25 People come online to look up answers - that’s why keyword research is important 34:36 A primary component of what you need to do for due diligence 36:55 The “Fallen Angel Strategy” 40:31 You can do this part-time and learn 41:33 Matt’s best tip to start or grow your side hustle Pro Tip: 42:51 “The things that look bad to people, are often the best opportunities.”   Platform for buying and selling online businesses: https://flippa.com/ Google Analytics: https://marketingplatform.google.com/about/analytics/   Connect with Matt: https://www.ebusinessinstitute.com.au/ Connect with Joan: https://www.instagram.com/joanposivy/ https://www.facebook.com/posivy/ https://www.sidehustlehero.com/about/ Be on the show! https://www.sidehustlehero.com/guests/intake/