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The benchmark behind the calculator
Business Development Resources places healthy growth-phase home-service companies at 8 to 12% of total revenue on marketing, with the share varying by size: under $1M revenue at 10 to 15%, $1M to $3M at 8 to 12%, and established $3M+ at 5 to 8%.
Smaller companies spend a higher share because they are buying awareness they do not yet have. Established companies spend less because reputation and repeat work carry part of the load. That is the whole reason the calculator asks for revenue before it shows you anything.
What belongs inside the number
Agency fees, ad spend, your website, vehicle wraps, print, sponsorships, review tools, CRM if you bought it for marketing, and the salary share of anyone in-house doing the work.
Owners routinely count the agency fee, forget the rest, and conclude they are spending 3% when the real figure is 9%. Add up all of it before deciding you are under-invested.
Three cases the band gets wrong
A growth push. Entering a new market or recovering from a reputation problem means exceeding the band deliberately, and for a defined period.
A business at capacity. The right figure is under the band. Generating work you cannot deliver is the most expensive mistake on this page, and the reviews take the damage.
A small business. Below roughly $400,000 in revenue the band produces a number that competes with payroll. Free fundamentals will move more than a retainer at that stage, and we will tell you so.
Questions owners ask
What percentage of revenue should go to marketing?
Business Development Resources places healthy growth-phase home-service companies at 8 to 12% of total revenue, with businesses under $1M at 10 to 15% and established $3M+ businesses at 5 to 8%.
Does that include ad spend and my website?
Yes. Agency fees, ad spend, website, vehicle wraps, print, sponsorships, review tools and the salary share of anyone in-house doing marketing all sit inside the number.
What if the figure looks impossible?
Then the question is whether the business can carry the investment yet. Spending to generate work you cannot deliver is worse than spending nothing, and it damages the reviews you spent years building.
See what your budget is currently buying
A free Visibility Check runs twelve real buying questions and shows where you stand. You keep the findings.
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