Start-up Businesses: Launch Your Very Own Advertising Agency
Businesses, no matter how big or small, need to advertise themselves to reach potential customers. They rely on agencies that specialize in effective marketing strategies across traditional media and digital platforms. If you have a background in business or marketing and are looking for a business venture that is currently in demand, here’s a guideline on how you can start your own advertising agency.
What is Advertising?
Generally speaking, the business scope of an advertising company is to create ads and campaigns that can boost the presence of a particular brand or business. Your job is to take on the role and effort needed to sell a product to the public.
You would research the company that you’re representing and gather reactions or feedback from the customers. You are also in charge of planning when it comes to deciding which type of media to use.
Advertising agencies also handle the production of ads that will be released on televisions and other media places. When deciding what type of agency you want to put up, you can choose from the 5 classifications below:
- Full Service – this is normally large-sized agencies that deal with all the stages of advertisement. Works by gathering data and analyzing the response of people to the media.
- Media Buying Agencies – operates by buying places for advertisement and selling them directly to advertisers. They sell the time that is needed for the exposure of the advertisement. Media buying agencies are also responsible for checking if the ad has been telecasted or played at the opted time.
- In-House Agencies – Works the same way as full-service agencies. Big companies or businesses prefer this type of agency because it is considered as their in-house marketing team.
- Interactive Agencies – uses a more modernized approach in advertising. They work by sending direct messages to customers and placing ads on various online platforms such as YouTube, Facebook, Instagram, and Twitter.
Benefits of Having an Advertising Company
There are many benefits of having your advertising agency. For starters, it has low startup and overhead costs. Since most of the projects are done remotely, you do not need to spend money on large physical office spaces. You only need to invest in a couple of basic equipment such as computers, hardware, and software and a strong, stable internet connection.
Another upside to this business and what makes it successful is your almost limitless potential client base. This is possible because of the many digital tools that are emerging today. Your client base will continue to grow as more and more people spend their time online.
The team that will work for you is most likely experienced in traditional and digital marketing, making your agency capable of providing a full-service campaign using service engine optimization (SEO), email marketing, and copywriting. When finalizing the ads, you can either hire your own designer or collaborate with graphic design companies.
How Will I Start?
Behind every successful business is a well-thought strategy. Business plans are often written to make sure that you properly establish your company, attract potential executive leaders, and secure funding if you’re planning on working with investors. Other details that should be included in the draft are:
- Company description – your definition as a company
- Executive summary – what is the scope of your business?
- Service and Product Overview – the types of services that you will offer to your clients
- Market Analysis – your target client pool
- Financial Plan – your expected expenses and your financial capability to keep the business up and running
Secure Necessary Permits and License
Most states do not require any special licenses if you want to open an advertising company, but you still need to obtain the basic legal paperwork. Once you have decided on the name of your future company, the next thing to do is to have it registered. In general, there are four different ways to have your business registered. These are:
- Entity name – protects your name on a state level.
- Trademark – protects your business, services, and goods at a federal level. It also prevents other upcoming businesses in the same industry from using the same trademarked name that you have.
- DBA – also known as Doing Business As, DBA can be used when applying for a business bank account and national tax ID number (EIN).
Once you’re finished registering your business name, the next thing that you have to do is to get a business permit from your local state office. Each state has its own set of rules when it comes to this license. You can visit the US Small Business Administration (SBA) website for a more detailed guide on the application process.
Tapping on the advertising industry can give you the chance to run a business that is always in demand. As long as companies need to advertise their brand, you will not run out of clients.