Choose a Google Ads agency that keeps the account in your name, charges a clear management fee separate from ad spend, tracks calls and forms before spending, and reports cost per lead. Australian agencies commonly charge about A$800 to A$2,000 a month to manage a small business account, ex GST, plus the ad spend you pay Google.
Google Ads can bring in enquiries within days, and it can waste a budget just as fast. The agency you pick decides which. This guide covers what Google Ads management costs in Australia, how agencies price it, who should own the account, how much you need to spend, the red flags in a proposal and the questions to ask. For short answers to single questions, see the Google Ads agency FAQs.
Management fee vs ad spend: the two costs
Every Google Ads arrangement has two costs. The ad spend is what Google charges for clicks, and it should go straight from your card to Google, with 10% GST added on Australian accounts. The management fee is what the agency charges for the work: building campaigns, reviewing search terms, adding negative keywords, testing ads, adjusting bids and budgets, checking conversion tracking and reporting. Keep the two separate so you can always see what the clicks cost. Our guide to how much Google Ads costs in Australia covers the click side in detail.
| Cost | Typical range | Notes |
|---|---|---|
| Management fee (flat) | Around A$800 to A$2,000/month | Most common for small business accounts |
| Management fee (percentage) | Around 10 to 20% of ad spend | More common on large accounts; ask for a cap |
| Setup fee | A$0 to around A$2,000 one-off | Covers build and tracking where charged |
| Ad spend | Set by you, paid to Google | Many local service businesses start around A$1,500 to A$2,500/month |
| Scalepoint Google Ads | A$990/month + ad spend | No setup fee, month-to-month, 14 days’ notice |
Flat fee or percentage of ad spend?
A flat monthly fee suits most small and medium businesses: the cost is predictable and the agency gains nothing from pushing your budget up. Percentage pricing ties the agency’s income to your spend, so every extra dollar earns them more whether or not it brings in work. If an agency charges a percentage, ask what the fee would be at your expected budget and at double it, and agree a cap in writing.
Setup fees
Some agencies charge a one-off setup fee for account structure, keyword research, ads and conversion tracking. If you pay one, make sure you keep everything it paid for if you leave. Scalepoint charges no setup fee: the build is part of the monthly management.
Who should own the Google Ads account
You should. The Google Ads account, its billing, conversion tracking and Google Analytics should be in your business’s name, with the agency given access as a user or through its manager account. If the agency owns the account, you lose the campaigns and their history when you leave, and you start again from nothing. To check, sign in to Google Ads and open Admin, then Access and security, and confirm you have admin access.
How much ad spend you need before hiring an agency
Google has no minimum spend, but small budgets produce little data to learn from. As a rough guide, a management fee starts to make sense once you can spend around A$1,500 a month or more on ads. Below about A$1,000 a month, the fee becomes a large share of the total, and a simple self-managed account or a one-off review may be the better first step. Our guide on how much a tradie should spend on Google Ads shows how to set a budget from your job value and close rate.
Freelancer or agency?
A good freelancer can run a small account well and cheaply. The risks are capacity, cover when they are away, and accounts set up in their name. We compare the two honestly in Fiverr Google Ads freelancer vs agency.
9 red flags in a Google Ads proposal
- Guaranteed leads or cost per lead. Nobody can promise results before seeing your market, your account and your tracking.
- The account in the agency’s name. If you cannot sign in with admin access, the campaigns and their history leave with the agency.
- Ad spend paid through the agency. Spend should go straight from your card to Google, so you always see what the clicks cost.
- A markup on ad spend. Any margin on the clicks is a hidden fee on top of the management fee.
- A long lock-in or heavy exit fee. Google Ads shows whether it works within months, so a long contract mainly protects the agency.
- Vague monthly work. A proposal should mention search term reviews, negative keywords, ad tests and budget changes.
- Reporting on clicks and impressions. Those numbers are easy to grow and say little about booked work. Ask for calls, forms and cost per lead.
- Pressure to raise spend before tracking is proven. Until calls and forms are tracked, more spend buys more clicks nobody can judge.
- Any budget accepted without comment. A good agency will tell you if your budget is too small to learn from.
10 questions to ask a Google Ads agency before you sign
- Is the management fee separate from ad spend? It should be, with ad spend paid straight to Google.
- Does the quote include GST? Check the fee and remember Google adds 10% GST to ad spend on Australian accounts.
- Is there a setup fee, and what does it buy? If there is one, you should keep everything it paid for.
- Who owns the Google Ads account, tracking and data? Your business should, with the agency given access.
- Which conversions will you track, and how will you test them? Calls and forms should be tracked and tested before ads go live.
- What happens in a typical month? Expect search term reviews, negative keywords, ad tests and budget changes.
- Who manages the account day to day? Ask to meet them, and ask how many other accounts they look after.
- Is my budget enough to learn from? A good agency will say so if it is not.
- What is realistic in the first 90 days? Look for ranges and caveats, not guarantees.
- What does it take to leave, and what do I keep? Short notice and full access to your account are the answers you want.
How long until Google Ads brings in leads?
Ads show as soon as they are approved, so the first enquiries can arrive within days. The first month is a learning period while the agency cuts wasted searches and tests ads, and cost per lead usually steadies from the second or third month. Give an agency 60 to 90 days before judging it, provided tracking worked from day one. If you have had no enquiries after a few weeks of steady spend, ask to see the search terms report and the conversion setup.
What a Google Partner badge does and does not mean
Google Partner status shows an agency has met Google’s thresholds for account performance, ad spend across the accounts it manages, and staff certifications. It shows the agency is active and certified. It does not show it is good for a business your size, and spend thresholds favour larger agencies. Check any badge in Google’s own Partners directory, then judge the agency on ownership, tracking, reporting and results for businesses like yours.
How Scalepoint runs Google Ads
Google Ads management at Scalepoint is A$990/month + ad spend, ex GST, with no setup fee, month-to-month and 14 days’ notice to leave. We build inside your own account, ad spend goes straight to Google from your card with no markup, tracking is set up and tested before ads go live, and you get a plain-English weekly email showing calls, forms and cost per lead. Based in Melbourne? See how we run Google Ads in Melbourne.
Sources
- How to become a Google Partner or Premier Partner, Google Ads Help.
- About access levels in your Google Ads account, Google Ads Help.
- Taxes in your country, Google Ads Help.
A good Google Ads agency keeps the account in your name, separates its fee from ad spend, tracks calls and forms before spending, and reports cost per lead. Australian management fees commonly run about A$800 to A$2,000 a month for a small business. Scalepoint charges A$990/month + ad spend, ex GST, with no setup fee and no lock-in.
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