Discover the best business model for your creative agency

Yesterday, I discussed the importance of having a clear business model and how it can help you make informed decisions and grow your agency.

Today, we start diving into the different types of business models that are available to creative entrepreneurs. Understanding the different options is crucial in discovering the best business model for your agency.

To determine your business model, answer just three questions:

1. How does your company deliver value to its customer? I call this fulfillment. Or you can call it operations. Does it provide a service, sell a product, or something else?
2. How does your company get paid? This is pricing and billing. Do you bill for time, price per project, or sell subscriptions?
3. How does the company fit into your—the owner’s—personal vision? Do you prefer a lifestyle business providing you with steady cash flow, or do you want to scale your agency, sacrificing some cash flow and possibly equity to build a sellable business?

Each business model has its pros and cons, so it’s essential to understand them and compare them to your specific needs and opportunities.

So let me know…

What business model do you currently use for your creative agency, and why did you choose it?

Have you ever considered switching to a different business model? If so, which one and why?

Are there any specific types of business models that you want me to cover in more detail?

Hit REPLY and tell me about it!