I've had an email from someone who wants to buy the source code for my website so they can adapt it and do something similar in their own country.
Assuming this is genuine and not some sort of scam, I was wondering if anyone could help me out with a valuation for my code. The buyer doesn't have a massive budget so i don't want to overprice but on the other hand, a lot of work went in to it.
The URL is http://www.swapaholic.co.uk (http://www.swapaholic.co.uk/). It is coded in PHP & MySQL and includes login functionality, detailed searching and filtering, file uploading, feedback (a bit like ebay) and quite a complicated bit of code for automating swaps. They have said they will change the design.
I'd really appreciate any advice as what to charge. Also, how should I asked to be paid (paypal or something similar?) and should I ask for payment before sending the files?
This is all quite new to me so any help would be great!
Thanks in advance.

Hi,
Very nice site, firstly is this all your coding i.e. there aren't snippets of code or modules used from other scripts or open source ? If not then certainly you could sell this its quite impressive, however i guess you'd also have to ask yourself if you'd be happy for it to no longer be a unique site.
Secondly this is quite a large script and would have required alot of work. I'm assuming this would have to have a backend for the administrator to approve swap ads and users, can the admin also create users and ads from the admin section ? Features like these would determine the value of the script.
Personally i don't like to put a value on anyone elses work however my advice to determine a fair amount would be to look at the amount of hours you spent and decide on an reasonable hourly rate for those hours. If you're only going to be selling this to one other individual you'd be best to look for a greater amount. If you plan to sell it to more clients you may be able to charge a lesser amount and still feel you've received a reasonable return on the effort you put in.

I agree with Useful. Though it may be difficult to determine the amount of hours spent, do your best.
It's been said "something's only worth what someone's willing to pay for it". Keep that in mind, but be fair to yourself

Thanks for the replies.
The site doesn't have a back end as i never got around to doing this. I don't approve users (although there is an email sent to them to activate the account) or ads. If I had complaints about anybody not completing the swaps, i would disable the account or remove the ad directly in the database. This wouldn't be ideal if the site got popular but at the moment i don't have that many users! I can see this may de-value the site so i may work on this.
As to how many hours i put in to this, I spent time on it on and off for about 3 years as I was pretty much learning PHP as I went. So if I worked it out on an hourly rate then the site would be worth thousands and i'm sure no-one would be willing to pay that!
I think I modified a few bits of code from other scripts but the majority of it was written from scratch. Unfortunately, I can't remember as I started on it years ago. I was always doing it as a personal project as i never considered anyone would want to buy it.
Any ideas about how to go about getting payment if i do agree a price?

Well maybe you don't have alot of users at the moment however neither did any other swap or auction site starting out. I think with further development scripts like this one can be worth thousands. To give you an idea of other auction scripts and their value i have a client that uses PHPProBid, have a look at their site and what they're selling an unbranded license for (unbranded being the removal of phpprobids copyright notices). The best way to accept payment for your script would be Paypal, mae sure that the buyers money has cleared into your account before providing them the product. If you're not sure about Paypal get them to send you a money order and again wait until you've cleared it into your account. Hope i've been of some help.

Thanks for your advice, much appreciated!

working code is always worth more than the hours that it took to build it.
Look at it from a project manager's perspectiive:
If he buys your code, he already knows it works, and he gets it now. No risk involved. Saving time and eliminating risk is worth a premium.
Now, if he were to spec the design, hire a developer, manage a developer, he will have to wait months to get to where he wants to be, and there will be no guarantee that the developer chosen will be able to deliver on the design specification, or that there won't be a cost overrun.
Thus, proven code is worth more than the number of hours multiplied by the hourly rate.
To sell this way, you *have* to present the benefits properly. And, you have to mean it. Remember, you were doing just fine before his email came, and will continue to do just fine if the sale doe not happen. You already knows he wants it, otherwise no email would have come.
Also consider whether it is to be a restricted or unrestricted license. Assume unrestricted because you are giving up source code.
edit: about paypal, make sure he acknowledges in writing that the payment is for the electronic delivery of files. that cuts him off from a dispute. or, at least lessens his leverage. also, when you send the paypal electronic invoice, have the same stipulation in the invoice.

Thanks for your advice, much appreciated!
You're most welcome.

Also consider whether it is to be a restricted or unrestricted license. Assume unrestricted because you are giving up source code.
This is all very new to me (I'm not a professional, I made the site in my spare time).
Would I need to write a licence agreement or are there standard licences that i can get from somewhere and adapt? I presume unrestricted would mean that the code could be changed as much as they want but I still own the rights to it? Would I need to copyright each file?