BodyMonkey – Sell or Kill?

I’m leaning towards kill.

I’m at an interesting place with this one. BodyMonkey.com, the online store I started over a year ago has been stagnant for a while for one reason: Me.

I’ve successfully grown HouseOfRave.com to a new level, but have neglected BodyMonkey. It started out with promise, but never got the attention it deserved. I’ve talked to many people who’ve tried maintaining two separate (but related) businesses, and it’s always tougher than expected (don’t say anything until you’ve tried it).

Some quick background info:
If you don’t know how House Of Rave works, you can read here.

Body Monkey and House Of Rave are both based off the same supplying company. HoR is more of a specialty light-up novelties shop while BodyMonkey was intended to carry all the other mainstream products the supplier carries.

I have drastically cut down on the amount of different projects I dabble, and it’s the best move I ever made. With every new project I get a little more distracted, and this results in having several just-mediocre projects.

So I’ve decided this: I’m going to get rid of BodyMonkey.com. I can either sell it, or kill it. I really don’t care which one and just want it ended (at least for me).  The fewer things I have going on simultaneously, the better.

Bringing BodyMonkey to a good level will require a little work. Mainly keeping the site fresh and doing all the things I did for HoR the last few months. It’s on the Yahoo Shopping platform, so it brings in of orders just based through that without even marketing. Not to mention the site is already SEO’d quite well.

Sell It:
If I sell, the buyer gets a complete business in a box. The business has a very low cost structure, is easy to operate, everything is already done and it is already accepting (and making) orders.

However if I want to properly sell it I have to make a sales ad, tabulate profits, write about how it runs yadda yadda…I don’t want to do it. The site makes roughly a few hundred dollars a month (despite not being updated for a year…that’s not bad), and honestly I don’t keep any accounting for it. It has no debts and is ready to run and be updated. What it makes right now does not justify the asking price, but having the business ready to go with a good supplier does.

This site can easily be making several thousand dollars a month within the next few months (especially with the holiday season rolling around).

I think the ideal buyer is a reasonably competent computer person looking to buy a small business that already has a foothold, works well, requires little investment and no actual physical work or inventory (everything is drop shipped).

So why don’t I just sell it cheap? Well…look at BodyMonkey and then look at HouseOfRave….see a few similarities don’t you? In fact, the sites look exactly the same. Since both sites use the same supplier, there is the possibility that BodyMonkey will take away from HoR sales. They look the same, AND the product lineup will be similar (except BodyMonkey will always have a lot MORE products). For this reason, I’d rather forgo getting several thousand dollars for the business.

Kill It:
I basically pull the plug and it’s gone (actually, it’s more like a mouse click). I don’t get any money for it, but it’s already made back what I paid to make it and then some….so I’m not losing anything either.  I say good riddance and move on to my other projects with one less thing to worry about.

THE ULTIMATUM:
So unless I get an offer of at least between $5-$10K for the business, I kill it by months end. I think $10,000 is still kind of a pittance, and even if I get it, I won’t be happy about it.

However the growth of other projects is more important than dabbling around on this for any longer.

SO. Any offers? Give me a shout

P.S. If you need more information, here’s all the posts I’ve written about BodyMonkey.
Be Sociable, Share!

    Blog posted on: September 10, 2008

    10 comments on “BodyMonkey – Sell or Kill?

    1. MacMoov

      What about a third option? What about a franchise model or partnership?

      Have someone pay you a smaller amount (say $1,000-2000) as a buy in and you take a percentage of sales on a monthly basis. That way you can get someone else to do the day-to-day and you can still see a portion of the potential upside.

      Reply
    2. Adam McFarland

      Nev -

      If you do kill it (which seems like a good option to me), make sure you 301 redirect everything on BodyMonkey over to the closest corresponding page on HoR. Might as well benefit from any links/traffic BodyMonkey gets.

      Adam

      Reply
    3. TaTouille

      Hi Nev’,

      Long time reader… Why don’t you hire (for nearly nothing) a student (or someone else) who would have the task of improving the website?
      He would mainly be paid at % of sales, so you get some money AND an improving business…

      If after a few months, the website is still a BloodyMonkey, then you would not regret anything in unplugging it…

      Btw, still enjoy every single post ;)

      TaTouille

      Reply
    4. IVSPORT

      That’s impressive that you’re basically doing nothing on it and you’re still pulling in a few hundred a month. Seems like someone out there would be interested in taking over.

      Reply
    5. Robert

      I strongly support not killing it. I am also a big believer in having a few key projects that you focus on, from my own sad experience of having too many. For myself, I find that having less than 5 projects is best, so I can devote one whole un-interrupted day to each one each week.

      My advice: find someone to run BodyMonkey, and pay you a percentage. I think this is better than even an outright sale.

      * Most Important: You can LEARN about transfering a business. I suspect that selling or buying a business successfully is hard, and a different set of skills than starting or running a business.

      * The Worst that can happen is Body Monkey fails, and the interaction with a problemic other person costs you a lot of time and attention and maybe money. This is worth it.

      * Just because BodyMonkey generates what seems like a small stream of income now, and maybe will only ever do that, does not mean it is worthless. There are people out there for whom a small business they could attend to in the evenings that made $300 / mo would change their lives, it could make the differnce between having to put a loved one in a nursing home versus being able to run BodyMonkey at home and take care of them. There are smart, dedicated, hard working people out there, who would be great people for you to know, who would kill for something like that. You just have to find them (maybe that’s not easy).

      Reply
    6. Robert

      I think I clicked “publish” instead of “preview” before I was done with my comment. To continue:

      * A great chef can make good food. Julie Child can make good food, and then write down explicitly how an awful cook can make the same thing; that puts her on a whole new level above chefs. Similarly, franchising is about making a recipe that non-geniuses can follow to do your business all over again, and it is hard and extremely powerful. If you can learn to do that even just a little bit, it will be worth way more than the business itself.

      * To worry about BodyMonkey’s competition with HouseOfRave is misplaced. They probably do compete with each other, but drop-shippng is an area with a low barrier to entry, and their will always be competition. It’s better to have a piece of that competition than not. If you close BodyMonkey, someone else will just get a cool domain name tomorrow and start the same thing. What’s going to happen when all those thousands of Chinese people now gold farming or working on Amazon’s Turk thing discover drop shipping ? There are lots of Chinese and some will be smart enough to make sites even cooler than BodyMonkey. I say, keep your fingers in everything you can.

      * Finally, you mention the trouble of finding a buyer. At $15,000 I don’t know who would buy it, but at a revenue sharing scheme, I know several people who might be interested. Email me at rgristroph@gmail.com if you are interested.

      Reply
    7. nethy

      Hi Nev,

      My advice is somewhere between TaTouille, macmoov & Robert.
      Basically, I suggest reinventing this as a different, more interesting project. There a lot of approaches you could take with this. The potential upsides are substantial & the potential learning is enourmous. Here are a few possibilities:

      franchise
      macmoov outlined this.

      protige
      Get a student on board with a 50%/50% ownership split. Give her some money (for investing in the business). Mentor them & let them come up with their own ideas. Could be very rewarding. Could also help you with your other business (scoping out new suppliers, etc.).

      Charity/Protige
      Teach someone to do what you do. Somewhere that has an impact. Could be great for a single Mum. Could be even more important for someone in the developing world. A couple of hundred a month could maintain a family in some places. A thousand could send kids to Uni.

      Reply
    8. Apply For A Credit Card

      Isnt it funny how Google has inadvertently taken over such a large part of most peoples lives. The use of Google is a daily occurence for most.

      Excellent article. Thanks.

      Reply
    9. Anonymous

      You mentioned that you are using the same supplier, there must be someway of expanding the website to integrate them with each other. I m running a company in europe since 5 year and just started another one 6 months ago so i know what you mean but there is no way i can sell it off as it generates a a very good income, yet i want to balance the risks in different industries.

      Personally i believe that if you seriously think the site can generate several 000′s a month i’d see no reason for selling and definatelly not killing it but if you think it won’t ever make enough to make you happy (that figure would be different for all of us) why not leave it as it is?A couple of 100′s without any work is better than nothing…

      Reply

    Leave a Reply

    Your email address will not be published.

    You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>