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How to set a Google Ads budget for a small business

A Google Ads budget should come from the number of calls you want, not a round number that felt safe. Here's how to work it out from your own business.

By Ben Raymond · · 5 min read

Work backwards from jobs

  1. How many extra jobs a month do you want?
  2. How many callers does it take to win one job?
  3. So how many calls a month do you need?
  4. Multiply by a realistic cost per call for your trade and area.

How daily budgets actually spend

Google treats your daily budget as an average. On busy days it can spend more than the daily figure, and less on quiet days, while keeping the month close to the daily budget times the days in the month. So a $30 a day budget is really a monthly budget of around $900.

Too small to learn

A budget that only buys a handful of clicks a week never shows you what works. It's better to run one campaign on one job type with enough budget to get regular calls than to spread the same money across six campaigns that each get two clicks.

When to raise it

  • Calls are coming in at a cost you're happy with.
  • You're running out of budget early in the day.
  • You have the capacity to take more work.

When to cut it

  • You're booked out for weeks.
  • Calls cost more than a job is worth.
  • Tracking isn't working, so you can't tell either way. Fix tracking first.

Ad spend and management are separate

Whatever budget you set goes to Google. If someone manages the account for you, their fee sits on top. Make sure any quote shows both clearly.

Want it run for you? Our Google Ads management is built around tracked calls, not clicks.

Questions

Straight answers.

How much should a small business spend on Google Ads?

Work back from the calls you need: jobs wanted, callers per job, and cost per call. For many trades that lands in the hundreds to low thousands a month.

Can Google spend more than my daily budget?

On some days, yes. It averages out so the month stays close to your daily budget times the number of days.

What's the minimum Google Ads budget worth running?

Enough to get regular calls on one job type. Spreading a tiny budget across many campaigns teaches you nothing.

Get in touch

Want your budget set from real numbers?

Tell us your average job and how many you want, and we'll show you what the budget needs to be.

Get in touch