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From £5,000 to £100,000+ A Year
August 2, 2015|General

From £5,000 to £100,000+ A Year

From £5,000 to £100,000+ A Year

I wanted to write this to demonstrate how practically anyone with digital marketing knowledge can earn £100K+ a year within 8 years by starting out with £5,000.

Now I should start off by saying that what I have to share is realistic (no bullshit), so it will require time, patience and discipline. While it’s theoretical, the fundamental principles here work, and it’s something I personally try follow myself. I also know that this isn’t the quickest way to make money online either, but it’s what i’d consider a ‘safer’ route, which I’ll explain later in this post.

I appreciate not everyone has £5,000 lying around, but you can start off with less money (but it will take you longer to hit £100K+).

So how is this possible? It’s so simple that I’m actually surprised at the amount of people that aren’t doing this. The key is buying existing and already profitable websites, and then using the income generated to buy more profitable sites. By repeating this and reinvesting your income, over time your earnings mount up. You’ll also be creating money earning assets in the process, which you could always sell if you want/need to.

If you start off with £5,000 and buy a website for the amount it would earn over a period of 18 months, and then continually reinvested all your profits, below is the amount you’d earn over a 10 year period. After 5 years you’d be earning close to the average UK salary of £26,000. Take a look below.

Year Reinvested Profit Average Monthly Income Payback At End Of Year
1 N/A (intial £5K investment) £277.78 £3,333.33
2 £3,333.33 £462.96 £5,555.56
3 £5,555.56 £771.60 £9,259.26
4 £9,259.26 £1,286.01 £15,432.10
5 £15,432.10 £2,143.35 £25,720.16
6 £25,720.16 £3,572.25 £42,866.94
7 £42,866.94 £5,953.74 £71,444.90
8 £71,444.90 £9,922.90 £119,074.84
9 £119,074.84 £16,538.17 £198,458.06
10 £198,458.06 £27,563.62 £330,763.43

If you’re curious as to how much could be made with a different initial investment I’ve added a google spreadsheet here. You can edit the initial investment amount, and the monthly multiples for which you’d buy sites for and it will automatically update so you could see potential earnings over time.

Where to find websites
There’s a few places you can keep an eye on, such as flippa and acorn domains, uk business forums etc. It’s worth noting though that sites listed for sale at these places get put in front of the eyes of many other digital marketeers which can push up prices. So you might struggle to buy a site for 18 months revenue, although it is possible as I have done it myself. If you want to find the deals, then you’ll have to put a bit of ground work in and go where they aren’t in front of everyones eyes.

The important thing when you’re looking to buy a site is that you do your due diligence. Failure to do this properly could result in the purchase of a site that was only ever destined to fail. For example, sites that have had questionable seo tactics done to rank them which show good traffic and earnings now, but in a few months time will be penalised by Google.

If a site is getting most traffic via SEO, I try to go for sites that have a decent history of traffic and earnings. This shows to me that it has been able to survive the ever-changing SEO landscape, and should hopefully be able to maintain earnings moving forward. I always try and get a second opinion too.

You could also opt to buy sites through a broker such as Empire Flippers or FE International, you’ll usually require a bigger budget here, as these are higher end sites, and don’t expect to pay 18 months revenue for a site either. BUT what you will get is an expert who can help you through the process and due diligence, which would offer you some piece of mind. FE International have actually done a really good piece on due diligence here.

Now I mentioned earlier how I thought this was a ‘safer’ route when investing online. What I meant by that was that if I had money to start an internet business from scratch, it may or may not work. Regardless of how confident you are, it’s unknown. Whereas buying a site that is already earning, you already have proof that it works. While it still carries risks, it’s less risky.

Of course there are some flaws with the above ‘plan’, and i’m making assumptions that all funds get reinvested, sites are continuously acquired at 18 months revenue etc. But the principle is there and the numbers don’t lie (unless i’ve done my calculations horribly wrong).

I’ve now made it a ‘test’ of mine and think to myself “If I can make this investment back in 18 months or less I should probably try buy it” – provided I have the funds of course.

I was actually inspired to write this post by Ryan Gibson, who around a year ago now used interest free credit cards to fund his website acquisitions. Ryan has now recently paid off the cards in full, and everything he makes from now on is 100% profit. A wonderful achievement!

The internet is a big place now, there’s opportunities to invest in websites and make money for everyone. If you’re not doing it already, I really do suggest you give it a go.

10 coments
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10 coments

  • August 3, 2015 at 8:57 am

    I know this is the best way to go about things but I have struggled to find decent sites for sale and that is the biggest issue. I think it’s plenty of research but also a little luck too.

    The sites I do own are just pure profit though and that recurring income is great especially when you there is often minimal work to keep them maintained. I am guilty of not reinvesting the money though and in the end a third of the profit goes towards tax so this year I really should try and reinvest everything so no income this year but next year I should be reaping better rewards.

    Good luck and keep us posted!

    • Mark Rofe
      August 3, 2015 at 7:20 pm

      thanks Adem, keep at it!

  • August 3, 2015 at 12:06 pm

    Interesting post.
    Bit short but not bad

  • Pedro
    August 3, 2015 at 3:02 pm

    Of all the worst “make money online” blog posts I’ve read over the last 10 years, this one really must rank in the worst 10. And given how many turds of blog posts there are in that niche, thats actually quite impressive.

    Its pretty clear you’ve never done what you’re telling other people to do. Or you’d realise its simply not viable.

    So come on Mark then, this will be interesting. Please go to Flippa or Digitalpoint today and pick us out one single website for sale that would fit the bill here.

    Since you haven’t built a single failed website or any additional promotional costs at any point into your business model, I will expect the chosen site to be penalty proof, future proof (no selling Ronda Rousey t-shirts, cd-players or something else nobody will care about in a few months), competitor proof (no, I’ve no idea how you’d even begin to do this), Google entry to your niche proof, Panda proof, Penguin proof, negative seo proof, and future unannounced Google update proof.

    You already failed at being an affiliate once, remember?

    “It’s been a little under a month since I returned to the rat race. I’m doing the daily commute on the packed tube, I’ve got less freedom, less free time and only twenty something days of annual leave.”

    So feck knows how you feel qualified to lay out an 8 year business plan for someone else to have a go at it! Lets be serious… its IMPOSSIBLE for an affiliate to even come up with an 8 month plan, in fact an 8 week plan is pushing it at times.

    Utter drivel post, aimed solely at people who’re too stupid to realise that its IMPOSSIBLE. Spend your £5k on lottery tickets, far more chance of success.

    • Mark Rofe
      August 3, 2015 at 7:29 pm

      Thanks for taking the time to leave a comment “Pedro” – although I can pretty much guess who you really are. I’d write a proper reply to you, however I’ve decided it’s not best use of time. It’s clear that if you think this post is “turd” that you really don’t know what you’re talking about. Your comments have really motivated me, thank you.

      • August 3, 2015 at 8:58 pm

        ha. fags

  • pedro
    August 3, 2015 at 9:34 pm

    Why not just extend the timescale of your table then? Do it over 15 years and you’ll be a billionaire (might not be true on my phone now and can’t calculate it in my head 😀 )

    The reality is the numbers don’t make sense. The post is a farce. You might be able to buy a qualifying site once in your life time, you can’t run a business buying more and mor of them as they don’t exist.

    If you actually had one then the real £££?was in improving and improving, not flipping it then risking getting scammed trying to spend the proceeds on a new site.
    Anyway cheers for approving it, the guy who showed me your original post was laughing and didn’t think you would.

    Will chat tomorrow , as I said on phone and not capable of writing or looking at links etc currently :p

    • Mark Rofe
      August 4, 2015 at 5:41 pm

      “The reality is the numbers don’t make sense. The post is a farce.” The reality is you don’t understand how to do it, which is probably why you don’t think it’s possible. Which is fine, because you’re entitled to your opinion, and it just means there’s more opportunities out there for me.

  • pedro
    August 4, 2015 at 8:02 pm

    So how many times have you done it then?

  • May 22, 2016 at 9:31 pm

    For a few years I did something similar buying failing hosting businesses and low scale affiliate sites, I didn’t have as much success but it was a part time thing that paid my way through uni, totally possible if you’ve got the skills and experience to make it work …

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    About Me

    I’m Mark, but you can call me Rofe. I'm an internet marketing guy based in London Dubai.

    I believe the internet is full of money making opportunities, and I seek to take advantage of them where I can.

    If there’s a way to make money online I’ve probably tried and failed at it, and then attempted it again with some degree of success.

    I’ve tried my hand at affiliate marketing, lead gen, ecommerce, trading domain names, adsense, and I’ve even created a novelty gift.

    Here I share my journey making money online, my outlook on life, and whatever other stuff I feel like. Thanks for dropping by.