How to set a marketing budget for your small business

Deciding how much to spend on marketing — and where — stresses a lot of small business owners. There's no magic number, but a few principles help you spend enough to grow without wasting money.

How to think about it

• •Base it on a realistic slice of revenue you can sustain.
• •Invest first in assets you own (website, SEO, email).
• •Track what each channel returns, and shift toward what works.
• •Treat marketing as an investment with a return, not just a cost.

Prioritize the foundation

A fast, effective website and solid local SEO give lasting returns, unlike ads that stop the moment you stop paying. Build the foundation first, then layer paid channels on top as budget allows.