Startup cost
$25k–$250k
TRUiC Business Ideas
How to Start a Social Media Marketing Business
Decision Snapshot
Social Media Marketing
Idea Score
60
Profit margin
27%
Break-even
4 mo–12 mo
Time to launch
12 wk–36 wk
Demand trend
Stable
5-yr failure rate
—
Capital intensity
Very high
Time commitment
Full time
Part 1 - How to start a Social Media Marketing business - Background
A social media marketer provides ideas and content for their clients. Some owners may specialize in a particular type of platform (e.g., Facebook only), but most work with all platforms to create a cohesive strategy for a business. Owners may work with one particular type of business (e.g., social media for real estate only) or with a variety of businesses or causes.
You may also be interested in additional side hustle ideas.
Our guide is in 3 parts:
- Part 1 - How to start a Social Media Marketing business - Background
- Part 2 - Our planner tool to see if this idea is the right fit for you
- Part 3 - Action plan to get started
What are the costs involved in opening a social media marketing business?
Most people can get started with a computer, Wi-Fi, and small advertising budget. If you’re planning on incorporating graphic design skills into your business, you may need additional equipment to maximize your impact. There is no need to rent out a professional space though unless you’re planning on offering full agency services.
What are the ongoing expenses for a social media marketing business?
Owners will have to account for administrative costs (including computer equipment), as well as advertising and travel. They may also want to invest in ongoing education. As consumer preferences change, so too do platform algorithms and configurations.
Who is the target market?
The target market is anyone who wants to advertise themselves or their cause. This could be commercial companies, non-profits, or even private parties. You may end up working for an up-and-coming socialite who becomes the next Kim Kardashian!
How does a social media marketing business make money?
Social media marketers charge for their services in a variety of different ways. They may charge per post, per campaign, per hour or per project. For those who are just getting started, they may even consider charging on a commission-only basis. Start-up and incidental costs in this profession are low, so marketers are typically charging their preferred rate based on the scope of the work.
How much can you charge customers?
A full-time social media specialist will earn an average of $50,000 a year. Owners will want to structure their rates so they can pay for all relevant business expenses (including healthcare, transportation costs, etc.), plus additional compensation for their time. It’s not unusual to see people charging between $5 and $10 for a single post, or up to $75 an hour for a full campaign.
How much profit can a social media marketing business make?
Top-paid social media consultants easily make more than $100,000 a year. But the amount you make is highly dependent of the amount your clients make. The more success you bring to them, the more you can demand from both new and existing clients alike.
How can you make your business more profitable?
Social media marketers may want to consider branching out to become full advertising consultants. Or they may choose to start their own social media consulting business on the side where they let other hopeful social media marketers know how to get started.
Day-to-Day and Growth
What happens during a typical day at a social media marketing business?
This type of niche marketing demands a lot of content. Owners will spend a lot of time brainstorming, drafting, and creating campaigns that will drive a brand’s message home to their audience. The other part of social media involves learning more about the background and reputation of your clients.
What are some skills and experiences that will help you build a successful social media marketing business?
Those who have a lot of experience studying social media will do well in this business. A marketing degree may help, but it doesn’t guarantee success. What companies are really looking for is someone with proven success when it comes to engaging their audience.
Most people love social media, but very few understand the nuances behind it. They may puzzle over why one campaign succeeded on Twitter but failed miserably on Instagram. Marketers must have an innate sense of how audiences are interacting with individual posts in order to determine their marketing strategy on a larger scale.
What is the growth potential for a social media marketing business?
The forecast is excellent for social media marketing, especially considering its popularity is only proliferating. While individual platforms may rise and fall, the base audience of social media users is only skyrocketing worldwide. This mass adoption means huge opportunities for those who can find ways to connect with an ever-jaded population. People want less advertising and more substance, and they’re looking toward social media to get it.
What are some insider tips for jump starting a social media marketing business?
The best way to start your social media business is by creating a killer social media campaign for yourself! Decide who you want to target and then start using different platforms to get more eyes on your website. Optimize and promote your posts to further generate more publicity, and make sure you have a solid mobile presence so people can find you via tablet or smartphone.
Make up your own companies and campaigns to use as samples for your portfolio and ensure you showcase your ability to use different voices to reach out to a variety of demographics within the same niche. After all, a retiree buying a home is going to have a wildly different outlook than a millennial buying a home.
How and when to build a team
There is no need to build a team at first, especially if you only have one or two clients to start. Once you have more clients than you can handle, look for an assistant who can support your campaigns with new ideas and content without changing the tone or the brand message.
Part 2 - Is a Social Media Marketing business the right fit for you?
Business Evaluation & Strategy Tool
We'll walk you through the four pillars every business needs: Points of Leverage, Marketing Strategy, Financial Model, and Personal Compatibility. At the end you'll see a personalized report and your action plan below will be tailored to your answers.
Step 1 of 4 — Points of Leverage
Every viable business has natural advantages. Below are common leverage points across four categories. Pick the ones that apply to your Social Media Marketing business. We've pre-suggested a few based on your idea — review and adjust.
Step 2 of 4 — Marketing Strategy
Without a way to connect with customers, even great businesses fail. Pick the channels you plan to use to reach your customers.
Step 3 of 4 — Financial Model
Enter your monthly baseline costs — the minimum overhead to keep the business running. Then we'll calculate how many sales per month you need to break even.
Step 4 of 4 — Personal Compatibility
A business that doesn't fit your life will fail no matter how good the numbers look. Tell us how this business fits you.
Your Social Media Marketing Evaluation Report
Complete the four pillars and your personalized summary will appear here.
Points of Leverage
Marketing Strategy
Financial Model
Personal Compatibility
Part 3 - Action plan to launch your Social Media Marketing business in 90 days
Nine concrete steps to take you from idea to open business, grouped into 30-day phases. Complete the planner above and we'll highlight what's most important for your situation.
First 30 days — Foundation
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Form your legal entity
An LLC keeps your personal assets separate from business debts and lawsuits — the most common reason small business owners choose this structure. Sole proprietorships and partnerships do not provide this protection.
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Get an EIN and register for taxes
Apply for your free Employer Identification Number through the IRS, then register for any state or local taxes that apply to your business (sales tax, franchise tax).
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Open a business bank account and credit card
A dedicated business account is required to maintain personal asset protection. Mixing personal and business finances ('piercing the corporate veil') can void your LLC's liability shield.
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Set up business accounting
Recording expenses and income from day one makes tax filing easier and lets you see when the business is actually profitable. Use software (QuickBooks, Wave) or a part-time bookkeeper.
Days 30–60 — Compliance & Risk
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Get permits and licenses
State and local requirements vary widely. Brick-and-mortar businesses typically need a Certificate of Occupancy; service businesses may need specific professional licensing; food businesses need health permits.
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Get business insurance
General Liability Insurance is the most common starting point. If you'll have employees, most states require Workers' Compensation. Specific industries need additional coverage (product liability, professional liability, etc.).
Days 60–90 — Launch
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Define your brand
Your brand is how customers perceive and remember you. A clear name, logo, and visual identity make every later marketing decision easier and protect you legally as you grow.
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Create your business website
Every legitimate business needs a website. Social media pages are not a substitute — you don't own the platform. Modern website builders mean you can launch a clean site in a weekend without a developer.
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Set up your business phone system
A dedicated business number keeps your personal life private, makes the business look legitimate, and lets you route calls professionally. Cloud phone services start under $20/month.