Agency Foundations

Most founders end up running an agency almost by accident.

They start out as a practitioner, then begin dishing out extra work to freelancers, then they hire some people — and suddenly they have an agency.

If your story is similar to that, you’re in very good company.

But it means that too often we, as founders, haven’t taken the time to really understand the agency business model.

That can lead to problems, especially when growing.

If you grow past 10 people without really understanding the business model, it’ll feel like there are huge speed bumps in your way. You’ll grow a bit, then fall back — time and again. It’ll feel hard.

If you grow past 30 people without considering these foundations, then it will be incredibly stressful and frustrating. And is likely to present sudden crises. It’ll feel like a rollercoaster ride that you’ll eventually do anything to escape.

Understanding the foundations of an agency business is the key to having a healthy business, and being a wealthy founder.

The foundations

So in this section we’ll explore the key aspects of the agency business model.

Then, in other sections of the playbook we can build on this with detailed knowledge of every area.