How to Quickly Calculate if Your Ads are Profitable

One of the biggest mistakes I see business owners make once their ads start generating profits is failing to reinvest enough back into advertising.

Yes, it’s tempting to use those profits purely for operations or other business expenses, and that’s completely understandable. But here’s the thing, to truly scale your business, you need to reinvest at least 10-20% of your profits back into your ad spend each month.

In our recent webinar, we talked about the three core pillars of successful advertising:

1. Time – giving ads sufficient runway to collect data

2. Testing – experimenting with multiple creatives to see what works best

3. Math – using clear data to guide your next moves

Once you have the right creative, reliable metrics, and a solid sales process in place, scaling becomes simple math:

If spending $10,000 generates 10 clients (cost per acquisition: $1,000), scaling to 20 clients is straightforward, simply increase your spend to $20,000.

Ads become a predictable money-in, money-out machine, but only if you consistently reinvest and follow these three pillars.

Bottom line:

• Reinvest 10-20% of your ad profits each month

• Give your ads enough time, rigorous testing, and clear data-driven math

• Once you have your winning formula, scale aggressively

Don’t stunt your growth by holding back. Keep fueling your ads, and watch your business scale predictably and profitably.

My Offers:

Content Machine: We’ll create you 90 pieces of short form content and setup/build your Meta Ads (Done For You)

Funnel Build Out for Paid Advertising: We’ll Build you a Paid ads funnel from start to finish.

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