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Your Guide To Starting a PPC Agency
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Marketing & SEO
December 21, 2022

Your Guide To Starting a PPC Agency

Avatar for Peter Devereaux
Peter Devereaux
Peter is a Marketing Director with extensive success in SEM/PPC, SEO, email, social media, and digital marketing that drives revenue across multiple channels.

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PPC
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A pay-per-click (PPC) agency could be profitable if set up properly. Now that small and large businesses are online, vying for search engine rankings, a PPC agency proves vital. This is especially for businesses that opt to outsource marketing or advertising.

Some companies can't afford marketing divisions. So it would be excellent if you are ready and easily found if these companies start looking for their campaign managers.

Now is the right time to start a PPC agency, and this guide will help you set up.

Are you looking for your next PPC agency partner? Listen to our colleague, Jason, to learn about our approach & process for your next PPC campaign.

Why Open a PPC Agency?

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If you are interested in helping people and organizations advertise their brands, then a PPC agency would be a good business for you. Besides, Forbes reports that business conditions are now improving, so setting up a PPC agency would make sense now.

The International Monetary Fund (IMF) predicts 4.4% global economic growth, and Forbes sees more businesses can invest in marketing, including PPC advertising.

SMBs spend is between $108,000 and $120,000 annually on PPC, said Smallbizgenius.net. And a PPC agency can create four times the return on ad spend (ROAS), offering clients optimum profit. So, it's easy to see why PPC is valuable.

PPC helps businesses reach more people for less money. A PPC, like other online marketing efforts, can reach millions more people than a billboard. However, not all companies are willing to do this on their own. That means there’s a market for your service.

Ultimately, now’s the right time to start a PPC agency.

How To Start Your PPC Agency

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Starting a PPC agency requires business registration, office rent contract, sanitary permit, and official receipt. Tax and employment laws must be followed. Here are the PPC agency startup steps.

  • Do market research. This will tell you if your business idea has potential. You can learn about your target clients and your competitors. As such, you’ll know how to position your agency in the market.
  • Create your business plan. Your business plan is crucial. It's your guide to starting, running, and growing a business. It will help persuade people to work with you or invest in your PPC agency.
  • Identify your location. Even if you intend to operate online with no brick-and-mortar office, you will still need to declare a business office from which your taxes and fees would be based.
  • Fund your business. Your business plan should have given you an estimate of how much you’ll need to start and operate your agency. You don’t have the money available, you need to find some means to raise it.
  • Define your business structure. Are you going for a sole proprietorship, partnership, LLC, or corporation? The legal structure you choose affects your business registration, taxes, and personal liability.
  • Name your agency. You need a catchy name. One that’s easy to recall, but check first the name availability. Typically, you’ll do this by visiting your local government’s website to check entity names, but for a PPC agency, you also need to do a domain name search on sites like GoDaddy. If you find your name available, reserve it immediately.
  • Register your business. Of course, you must register with the government to avoid any legal issues. This protects your company's reputation with suppliers, customers, and employees. Visit your local government website for registration forms, requirements, and costs.
  • Get federal and state tax IDs. You'll need an EIN to open a bank account and pay taxes when starting and operating your business. Some states require a tax ID.
  • Open a business bank account. A business checking account can help you with legal, tax, and daily issues. With the right registrations and paperwork, it's easy to start one.
  • Get a domain name and web hosting. You're starting an online business, so a domain name will help people find you. Web hosting costs $2.49 to $13.95 per month, while a domain name is $10 to $20 per year.

Once you have your business set up, it's time to get your people. Find a good mix of employees who can create a positive work culture. Create your policies to make sure you and your employees are on the same page when working together, not to mention being compliant with the laws.

Of course, you also need to purchase equipment, software, and other technical requirements to start planning and running your clients’ PPC campaigns. When all these are ready, then you can start looking for clients.

Tips When Starting Your First PPC Project?

The most exciting part comes in doing your first PPC project. Here are a few tips on making a great start:

  • Assess what works and what doesn’t. You may decide that some keywords better suit your brand and wish to bid on them again. Documentation is crucial for your first PPC project. The statistics will let you evaluate the strategy's effectiveness.
  • Learn continuously. Consider your first PPC project as a learning and risk-taking opportunity. Running a PPC agency is a novel concept in digital marketing, and there is no set formula for success.
  • Quality is king. Remember to work for quality in all aspects of your campaign. Your website should have current features, relevant material, and relevant keywords.
  • Keep it cool. It's as simple as researching the ideal keywords for your company, optimizing your website, and creating focused ad campaigns. You may need to determine your website's Ad Rank and the winning bid amount. Enjoy the challenge and learn from it.

Final Words

Starting a PPC agency is fusing your interest in advertising and business. Setting up your PPC agency involves careful ad research and planning, obedience to federal laws, and getting everyone excited as you all board in.

There will be a lot of hard work and patience as you all fine-tune the elements you need for the PPC agency. Eventually, you will see how your brands gain dominance online and the money grows on its own. Sooner, you will realize how profitable a PPC agency really is and that you made a good decision in starting one.

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