When Is the Right Time to Run Paid Ads for Your Contracting Business?

By Nelly Perez

People ask me all the time,
“When is the right time to run paid ads?”

There are a lot of ways to get customers.

  • Referrals.
  • Word of mouth.
  • Home shows.
  • Other contractors sending you work.
  • Yard signs.
  • Networking.
  • Website traffic.
  • Paid ads.

People also ask, “What’s your favorite way?”

My favorite way is paid ads.

Paid ads are pay-to-play.

They’re a mathematical equation you can actually control.

In your first month in business, it’s possible to be profitable using paid ads without relying on anything else.

That’s what makes them powerful.
And that’s also why most businesses run them at the wrong time.

Why Paid Ads Are Not the First Thing You Should Do

If paid ads are so effective, the obvious question is:
Why not just run ads right away?

Here’s the truth.

Paid ads are usually the last thing you should turn on.

Ads don’t fix problems.

They amplify them.

When you run paid ads, you’re paying for attention, per impression, and per click. The moment ads turn on, every weakness inside your business gets more expensive.

That’s why so many contractors say, “Ads don’t work.”

They do work.

They’re just exposing leaks.

The Leaks That Make Paid Ads Expensive

There are three main places I see businesses bleed money when ads turn on.

1. Speed to Lead

How fast do you contact a new lead?

If you don’t have someone calling immediately, ideally within the first minute, following up consistently, and booking estimates, you’re losing money.

That delay alone can cost you hundreds of thousands of dollars over time.

2. Conversion

If you don’t have a real sales process where at least 1 out of every 3 estimates turns into a deposit, you have a problem.

This isn’t about referrals.
Referrals are easy.

This is about cold leads, people who don’t know you yet.

You need an engineered sales process that works with strangers.

3. Fulfillment

If your delivery, installations, service, and customer experience aren’t solid, ads will amplify that too.

More leads don’t help if customers are unhappy or jobs aren’t being handled well.

Ads make whatever you already have louder, good or bad.

So… Can You Run Ads Early?

Yes. You can run ads at almost any time.

But don’t expect amazing results right away.

Not because you won’t get leads, you probably will, but because those three leak points will eat into your ROI while you’re dialing everything in.

Facebook ads (and paid ads in general) can still be a great option early if you:

  • Have the capital
  • Are you willing to measure everything?
  • Are you committed to constant improvement?
  • Understand you’re paying to accelerate learning

Ads accelerate everything: growth, feedback, and mistakes.

This ultimately becomes a time vs. money decision.

Which do you have more of?

If you don’t want to wait years to learn what works, ads compress time. 

You just have to be willing to pay the price upfront.

When Paid Ads Become a Cheat Code

Once your system is dialed in, paid ads become a cheat code.

At that point, growth turns into math.

You know:

  • What does it cost to get a lead?
  • How many leads does it take to book an estimate?
  • How many estimates turn into jobs?
  • What does it cost to acquire a customer?

That equation tells you exactly how much you need to spend to grow to the level you want.

No guessing.
No hoping.
No gambling.

Just controlled, predictable growth.

That’s why paid ads are my favorite, not because they’re easy, but because they’re measurable and controllable when the system is ready.

Real Talk: Every Situation Is Different

We’ve worked with brand-new businesses that were hungry, committed, and willing to listen, and they dialed in all the core pillars quickly.

We give them the systems to:

  • Handle leads efficiently
  • Automate as much as possible
  • Educate and pre-qualify prospects
  • Book higher-quality estimates
  • Follow up consistently

If you’re hungry and willing to do what needs to be done, you can dial these numbers in within 90–120 days and turn growth into math.

If you already know what you’re doing and have these numbers, we can reverse-engineer your growth goals and put a clear plan in place to hit them.

When Is the Right Time to Run Paid Ads?

The right time is when your foundation is built, or when you’re committed to building it fast.

When sales are fast and consistent.

When conversion is predictable.

When delivery is solid.

When numbers are tracked and understood.

Paid ads are not the starting line.

They are the accelerator.

When used at the right time and in the right way, they stop being risky and start being strategic.

And that’s how you scale without chaos.

Frequently Asked Questions

Can I run paid ads as a brand-new contracting business?

Yes, you can. Paid ads can work at almost any stage, but results depend on your systems. If you’re brand new, expect ads to accelerate learning more than profit at first, unless speed to lead, sales, and fulfillment are already dialed in.

Paid ads don’t fix problems; they amplify them. Contractors with fast follow-up, a clear sales process, and solid delivery see strong ROI. Contractors without those systems feel like ads “don’t work” because the leaks get expensive.

Turning them on before the business is ready. Slow response times, weak conversion, or poor fulfillment will burn ad spend quickly and make ads feel risky when the issue is actually internal.

Ideally, within one minute. The longer the delay, the lower the chance of booking an estimate. Speed to lead is one of the biggest profit multipliers in paid advertising.

For cold traffic, a healthy benchmark is at least 1 out of every 3 estimates turning into a deposit. If your numbers are lower, the issue is usually the sales process, not lead quality.

No. They complement them. Referrals are great but unpredictable. Paid ads give you control, consistency, and scalability once your system is ready.

If you’re focused, willing to listen, and take action, most businesses can dial in their numbers within 90–120 days. That’s when growth stops being guesswork and starts becoming math.

Yes, when used correctly. Facebook ads are especially powerful for generating demand, but only when leads are handled quickly, qualified properly, and followed up consistently.

It depends on what you have more of. If you want to learn slowly, you can rely on organic growth. If you want to compress time, paid ads let you buy data, feedback, and momentum at a cost.

When you know your numbers. Once you understand cost per lead, booking rate, close rate, and customer acquisition cost, scaling becomes a controlled decision, not a gamble.