There are thousands of Facebook ad agencies out there, and navigating the market to find the right one can be tough. As a business owner, knowing the difference between a good and bad agency is essential. The right ads partner can take your business to the next level and help you reach your goals. Our guide will walk you through what a Facebook ads agency does, how to spot a good one from a bad one, and how much it costs to hire one in 2025.

What is a Facebook ads agency?

Businesses are spending more on Facebook ads than ever before. Last year alone, companies invested over $120 billion on the platform. But not every business has the luxury of being able to hire an in-house advertising professional. That’s where a Facebook ads agency comes in; they run campaigns on your behalf, bridging the knowledge gap and crafting and delivering strategies to get the most out of your ad spend.

Most agencies operate on a monthly retainer and work with businesses of all sizes, managing budgets ranging from a few hundred to thousands of pounds per month. A good agency ensures your ads generate real returns, helping you scale effectively without wasting money.

What a bad Facebook ads agency does

Whilst we’re not here to name and shame any agencies. Here’s some warning signs to look out for for those already working with one or those looking to hire one:

If you are considering hiring one:

• No previous work examples: A good agency should be able to showcase case studies, past campaigns, or client results. If they can’t, that’s a red flag.
• Lacking key credentials: A good agency usually has the credentials to back up the work they do. A key one to look out for is the Meta Business Partner badge.
• Poor reviews from previous clients: This one is pretty self-explanatory. If past clients haven’t received good service, then it’s more than likely your business could follow the same fate.
• Overpromising results in proposals: No agency can guarantee overnight success, even with the power of paid ads. Be wary of any agencies promising unrealistic levels of return on investment. Some agencies only do this to secure an extra client, without any intention of ever achieving the results promised.

If you are already working with one:

• No clear strategy: If things are going really well for you and you’re seeing the results you want, then great. But what if you aren’t? What changes are your agency suggesting? Is there any proactiveness on their behalf? An agency that stands still despite poor results is a clear red flag.
• Lack of transparency: Not sure what you are paying for? Trying to interpret vague reports or struggling to get access to your own Facebook Ads Manager? These are major warning signs. You should always know where your money is going, to the penny.

So, what makes a good Facebook Ads agency stand out?

The difference between a good and bad Facebook Ads agency is astronomical. A good agency sees you as a strategic partner, not just another number in the revenue pile. Here are some qualities to look out for:

• They understand your business: They take the time to understand your product, audience, and industry, crafting campaigns that truly convert. A one-size-fits-all approach is never the answer for the best agencies.
• They produce eye-catching content: A Facebook ad is only as good as the visuals and messaging. A great agency blends data with compelling creatives to stop the scroll and drive action. Great content can significantly increase your overall conversion rate.
• Data-driven decision-making: Instead of guessing, they rely on real-time data, split testing, and analytics to refine campaigns and improve performance over time. Great agencies understand that data is the backbone of any advertising campaign.
• Consistent performance: If you’re seeing great results sustained over a long period of time, chances are your agency is probably good at what they do.
• Continuous optimisation: Facebook Ads is not a set-it-and-forget-it platform. A great agency will continually test, optimise, and refine campaigns to ensure they remain effective as market conditions change.
• Stay on top of the latest best practices: The Facebook ad landscape is always evolving. The best agencies stay ahead of trends, update strategies, and continuously optimise for results.

How much do agencies charge for Facebook ads?

Pricing for Facebook Ads services depends on factors like the agency’s experience, the number of campaigns to manage, and your ad spend. Typically, agencies charge between 10-20% of your total ad budget, though this can vary based on the agency and your business’s size. Some agencies offer set packages for small businesses, while others have flexible pricing based on the complexity of your campaigns. We follow the latter model, as we understand the budget constraints that SMEs face.

Conclusion

Selecting and working with the right Facebook ads agency can take your business to the next level and unlock truly awesome growth. On the other hand, a bad one can take your business back numerous steps. With the help our guide, we hope you are now well equipped to spot the good from the bad. Our Derby-based Facebook ads agency has worked with a wide range of clientele across varying sectors, check out some of our success stories by clicking here.