If you are looking to start a business the key is to solve problems that many businesses have. Almost every business out there today needs the right marketing strategy.
Yet, many small and medium businesses can’t afford to have a full-time digital marketing team. That is where you come in.
If you start a small digital marketing agency, you will always be in demand. The better you are able to connect businesses with their target market, the more money you will make.
Assuming you already have the background and education, here are some ways to start off on your own and succeed.
Start as a contractor
After you have been working in an agency, then you should be a contractor before jumping off on your own. You can mitigate the risk and expense of founding an agency while building a solid network.
You can be doing this while you still have a job to allow your reputation to build without having to go without an income for the foreseeable future.
Raise some funds
Cashflow is going to be your bugaboo for the first couple of years once you found the agency. It’s one of the biggest hurdles for startups and can make or break an agency.
You’ll need money to get started and then have a steady flow of funds while you build up a solid revenue stream from your clients.
There are several ways to make sure you have enough operating capital. Small business loans are probably your best bet to get started.
As you grow, however, quick infusions of cash will be needed and you shouldn’t be going to the bank every time. Peer to peer lending is a quick way to come up with small amounts of cash when you need it.
Have the right business model
It is very important to figure out how you bill your clients. Your options are to bill for hourly work, or take retainers.
The best way to start is with a retainer. It is the simplest way to go and works well for both the client and your agency.
You’ll need to have an idea of how much each phase of the marketing campaign will cost you. Calculate how many hours your staff or yourself will need to complete what the client is asking for and how much any tools that you use will cost. Once you have this number then you will know how much of a retainer to request based on the clients’ needs.
Have a simple way to demonstrate results
Clients want to know that they are spending money on results. Have a simple set of metrics that a client can understand to show them what they are getting for the money. Track conversions, traffic, and engagement with data that they can see so they understand that you were responsible for these gains.
If you can’t point to specific results, then a client may wonder what they are paying for.