Website Flipping: Outsourcing 101
Fri, Oct 10, 2008
If you want to make money flipping websites on a consistent basis, you will eventually come to a point where you are feeling burnt out if you’re focusing on just creating and selling brand new websites by doing all the work yourself. If you’re just looking to sell a site here and there to make a few extra bucks, you won’t have a problem. However, if you want to sell volume to make bigger, more consistent money, you will need to outsource some of that work.
But doesn’t that outsourcing money cut into my profit?
Yes it does! For one site. The idea is to sell more sites in the same amount of time. Even if your profit margin is less per site, your actual total profit is more. Here’s a basic example:
- You typically sell one site with 10 articles for $200 that takes you 10 hours to build.
5 of those hours are writing articles. 5 hours doing everything else. - You decide to outsource by hiring a writer that writes 10 articles for $50.
With your extra 5 hours (that you used to spend on writing articles), you can build a second site. - Now, within 10 hours, you built 2 sites instead of 1 and sold for $400 ($200 each).
- Subtract the $100 you spent on articles ($50 per site)
Your profit is less per site, but total profit in the same amount of time is more.
In the 10 hours, your profit was $300 instead of $200.
Obviously, there’s variables to consider, and you’ll want to calculate your net profits with all the costs and expenses added in, but that is the basic idea of selling volume and using outsourcing to help make you more money.
Where Do I Find Talented Freelancers For Outsourcing?
I’m only going to list a few well-known ones that I’ve either had experience with myself or have had solid recommendations for, but these are definitely enough to get you started.
Digital Point Forums
ScriptLance
eLance
GetAFreelancer
oDesk (I haven’t used, but John Cow just posted a review, and I’m planning on testing it out).
One important tip I have for you is to put your new freelancers on a trial. Let’s say you want to outsource 30 articles, but you don’t know any reputable writers. Hire 6 different writers to do 5 each for you. Choose the best ones for your next project. Do the same thing again for your next batch until you have a few solid, reliable writers that you can count on.
The unfortunate part of outsourcing is that there is a high percentage of a chance that you will run into a few freelancers that don’t produce the quality you expected (unless you already have reputable sources). The good part is, it doesn’t take that long to weed them out and if you treat the good ones well, it’ll be easy to build solid relationships that will last.
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Cheers!
Jay
Tags: outsourcing, website flipping
October 10th, 2008 at 1:53 pm
A major problem a lot of people have with this is the spending. Most people are afraid to spend before they make. I know I have reluctantly purchased products for my blog and said ouch I can’t afford this yet.
But as they say it takes money to make money.
Adam
October 10th, 2008 at 3:08 pm
Hi Jay….
I agree that outsourcing can be very beneficial. I have a few guys who do some work for me when I am slammed busy and it relieves a great deal of stress from my plate!
Tara @ Home Business Blogs last blog post..Big $$ Website Flips or Fast Profit
October 10th, 2008 at 5:37 pm
It’s good, but I guess you need to be an experienced site flipper. By that I mean that if you invest something like 100$ and instead of selling for 400$ you sell for 50$, you’re actually loosing money. So that’s why I think if you really have a good estimate of how much you can sell your websites, outsourcing is definitely the way to go, especially for writing articles!
Ben - frogstr.coms last blog post..125×125 advertising experiment
October 10th, 2008 at 8:55 pm
Hi Jay,
I loved reading the post. I agree with you that if one can find reliable article writers to outsource, the net profit could be increased. That said, it’s quite tough to find reliable ones.
Subscribed to you!
Swastik
Swastiks last blog post..Revolution theme to be publicized?
October 11th, 2008 at 2:10 am
Ever since I figured out where to find cheap outsourcing sources, I seldom write articles anymore.
Outsourcing is the way to go. It’s the key element that made me money in site flipping, bum marketing and PPC.
Desmond - DesmondBlog.coms last blog post..How I Overturned This Current Awful Economy and Made $560 Out of It
October 11th, 2008 at 4:51 am
Good points using simple math. Of course you are still gambling on getting the sale you expect but I assume that once you are experienced enough you know your market.
Although I have no plans to flip sites, I am building some niche sites so the content outsourcing info is useful. I would love to outsource some writing but for niche building (adsense sites)I think the risk of not making your money back is higher since you can’t predict easily which sites will be profitable. But I guess if you are building multiple sites you could use the same logic you used here for making money in quantity.
Carries last blog post..Niche Site Update - Getting Some Traffic
October 11th, 2008 at 9:57 am
I use and like DP for content and for custom banners. You can’t beat the rates there.
I still need a good content writer, though. It is harder to find writers than designers.
Can you spare a writer from your outsourced team? Hook me up. But they have to be cheap. (a/k/a less than $5 per post)
Missys last blog post..10 Ways To Generate Blog Income, Part I
October 11th, 2008 at 10:31 am
@Adam: Yeah, if you are just starting, it’s best to do some yourself anyway, imo, to learn a few things.
@Tara: It’s definitely good to have a few people on hand to turn to when you’re busy…
@Ben: Yeah, this was a very basic example, but obviously, you have to have a pretty good idea hat the money’s coming back, or it least on average.
@Swastik: Hey, thanks for coming by and subscribing! I’ve seen you around before…maybe IMWithJoe’s site? Unfortunately, in some areas, it is tough you find reliable freelancers, but that’s why you need to spread your work out to find them, and then keep them
Hope to see you around more. Thanks for subscribing!
@Desmond: Yes, articles are the time-sink for many of us. I’ve actually learned to write niche articles a bit faster recently, but I still prefer to outsource them. You you have to only choos eone thing, outsourcing your weakness is the best one to start with!
@Carrie: In most cases, especially if the articles are well written in a hot niche, your site has at least the value of what you paid for the unique articles, but yeah, it only makes sense if you’re selling for profit. You’re right on the niche sites. But, outsourcing can help you double, triple up the sites and increase you chances of profit sooner. There are a few ways to look at it, and depends on the sites and your situation. Thanks for coming by, hope to see you around more!
@Missy: Yeah, DP is pretty good. I’ve seen some good deals there on content/sites already written…very cheap too.
Don’t you know that site flippers keep their writers locked in the basement?
Cheers guys! Thanks again for coming by and taking the time to comment!
Jay
October 11th, 2008 at 2:34 pm
Thanks for the tips.
I noticed most people just don’t want tp spend but want all the reward. I’ve heard it from a few people. As long as you come out ahead then everything is great.
Bruno Augers last blog post..What Is Web 2.0?
October 12th, 2008 at 10:53 am
So this is what they call, “Working Smart”, is it not? I only realize this not too long ago while browsing DP and I’m surprised that ghost writers can be so easily hired at a very affordable price. Food for thought….
Yan
Yan Shall Blogs last blog post..Stop! Step Back and Think! by Miss Gullible
October 12th, 2008 at 3:38 pm
Great post Big Head! I’ve been exploring some new outsourcing options and this helped a great deal. Particularly since outsourcing will allow me to continue my annual 4 month vacations, I will at the very least, be hiring writers for my sites now.
TY!
Pineapple.
BrilliantJENI Pineapples last blog post..BrilliantJENi is officially off vacation!
October 12th, 2008 at 7:10 pm
There’s also rentacoder.com My freelance friend in the health niches picks up most of her non-regular-client work there.
Another option would be to go with a freelancer who has a stable of writers under him or her, as they tend to screen writers first before hiring them in order to protect their own reputations.
Since my writing passion is fiction, I actually do intend to start hiring other freelancers for my sites when I start making more money off of them, so that I can focus on my passions. Luckily, I’m connected to a lot of good to excellent writers.
Though they do charge a bit more.
You know, I’m almost afraid to apply to freelance positions now. I keep thinking I’ll end up working for a friend. There are worse situations, of course, but the idea is a little creepy.
WordVixens last blog post..No, I Haven’t Forgotten About Squidoo
October 13th, 2008 at 2:26 am
Great post Jay.
The tip about testing your freelancers struck me as very true. The first time I tried using the services of freelancers (I ordered 20 articles on DP) I got burnt as the writer just cut off contact completely.
Instead, if I had ordered 5 articles form 4 different writers, I would’ve been safer.
Just recently, I put together a list of all the designers/writers/coders I’ve worked with in the past and have picked out the best 3-4 in each category. This saves me the hassle of constantly nagging them and makes sure that I get my work done promptly.
Blackhat Ways last blog post..How Blackhat Is Blackhat?
October 13th, 2008 at 12:16 pm
Good stuff, J!
I have to echo what Black Hat is saying above. The part of the article about testing was so on point. You have to test to find the best, but to protect yourself as well. I have not been burned yet, but this is just very useful information.
Sound advice coming from the J Man!
Freddies last blog post..Around the Blogosphere: October 8th, 2008
October 13th, 2008 at 9:20 pm
I have never tried this before but I think it would be a good source of incomings. Thanks for sharing yours tips!
October 14th, 2008 at 7:30 am
“come to a point where you are feeling burnt out”
Real site flippers never get wore out!
Or so they say..
Danny Coopers last blog post..Top 10 Link Building Blogs of 2008!
October 15th, 2008 at 9:54 pm
Sounds like a winning strategy. All depends on how much outsourcing costs, content quality and available free time for site flipping.
October 15th, 2008 at 10:03 pm
Hey Jay,
Haven’t been commenting in ages because of family stuff/wedding organisation but I am back now and I released my ebook “Make Money Commenting” you can get it form my blog if you are interested.
Would love if you could do a review for me?
October 17th, 2008 at 3:01 am
@Bruno: Yeah, that’s the problem with a lot of people. Not even the spending part, but taking action in general.
@Yan: Yeah, you either come to a point where you outsource to do more volume, or you figure out ways to be more efficient yourself. ….or stay doing things the same. lol
@BrilliantJeni: OOOhhhhh..4 month vacations…mine are coming!!!
@WordVixen: Great tips! Actually, I might add RentACoder into the post. Thanks! LOL@ working for friends being creepy…and it might happen without knowing if you both used different usernames. lol Thansk for dropping by!
@BlackHatWay: Yeah man, you could end up wasting both valuable time and money trying out only “one guy at a time” when first trying to find someone. Good to hear you’re doing it the smart way.
@Freddie: Thanks Tator! I appreciate the compliments. Glad you liked it. Now, go outsource your offline biz so you can be online more often. lol
@Mr Javo: Hey dude! Yeah, and the good thing is, you can test the waters on a couple real small tasks. there are freelancers out there available for anything big or small. Thanks for dropping by, hope to see ya around more!
@Danny: LOL. Yeah, I guess cause real flippers end up outsourcing EVERYTHING so they don’t get burnt out.
@Max: Good to see ya back buddy. Yeah, it’s a good plan…one that has to be well thought out and executed though, which is easier said than done, but doable!
@Ryan: Hey, cool man. Good to see you got it out. I’ll get over and check it. Email about review.
@all: sorry for the late response guys, I’ve been a bit under the weather, and working pretty hard at the same time…not a great combo. lol
Cheers guys!
Jay
October 22nd, 2008 at 7:35 pm
Awesome man, I much prefer designing than writing so outsourcing that part is going to become a big part of what I do.
I already have a test of 20 articles coming for a flip I am just starting so am excited to see how this fares.
Forests last blog post..I have Finally Flipped!