Why You Should NEVER Charge Ad Spend & A Rant On Streamlining

Описание: Why you should never charge ad spend.

One of the most common questions I get asked - full stop - is whether you should include ad spend in a client’s monthly retainer.

The answer is an unequivocal, categorical, indisputable, NO.

Never.

No exceptions.

Here’s why:

When you start to take in money that’s not yours (not your service fee) - but someone else’s (Facebook), you can never discern between the two in your bank account. It’s a logistical nightmare.

Then you get on to cashflow - when does the money come in? When does your client pay? What happens if you overspend? What happens if you underspend?

What if, one month, it’s completely redundant spending the full amount you’ve invoiced for because of issues with the back end, and you end up having to return the money - or hold onto it?

One of the very worst mistakes I consistently see people making is charging a flat fee - and then deducting variable amounts of ad spend from this.

That’s insanity. One of the major benefits of owning an agency is that you have a reliable monthly income - this messes with this.

All of this is indicative of an agency that’s unable to scale.

It’s weighed down by complexity, offering way too many services

The key to scaling your agency is simplicity.

Strip down your agency, then scale it.

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Hey! If you’re new to the channel… my name is Iman Gadzhi.

I own a digital marketing agency that does $100k/pm+ and an E-Learning business that does $150k/pm+

I’m on a mission to reform the education system by delivering the best online programs in the world.
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