How much should a small business spend on Google Ads?

There is no standard amount. Start from what a booked job is worth and what you can afford to test. Hypothetical example: if a job is worth $400 and you can accept $100 in ad cost per booked job, a $1,000 budget needs about ten booked jobs to break even on that target.

Should we use Local Services Ads or Search ads?

Local Services Ads charge per lead and show a Google Verified badge (formerly Google Guaranteed/Screened), but offer fewer controls. Google is moving them into Performance Max campaigns with pay-per-lead goals in phases from August 2026, so check the current setup. Search ads charge per click and give more control. Many service businesses test one, then the other.

Can we run ads without conversion tracking?

You can, but you will not know which searches produce leads, and automated bidding will have nothing reliable to learn from.

Google Ads Readiness Checklist

Business basics

Ads only help if you can take on more work and know what a job is worth.

Confirm you can handle more calls and jobs next month.Owner · Once
Pick one to three services to advertise first.Owner · Once
List the towns or radius you serve.Owner · Once
Estimate what a typical booked job is worth to you.Owner · Once
Set a monthly ad budget you can afford to test for a few months.Owner · Once

Accounts and billing

Set the account up so your business owns it from day one.

Create the Google Ads account under your business's Google account.Owner · Once
Put billing on your business's own payment method.Owner · Once
Give your provider their own login with the access level they need.Owner · Once
Link Google Ads to Google Analytics 4 (GA4).Either · Once
Link Google Ads to your Google Business Profile.Either · Once

Landing pages and tracking

Every click should land on a page that matches the ad, and every lead should be counted.

Have one page per advertised service with a visible phone number and form.Either · Once
Test the form and phone button on a phone.Either · Once
Set up conversion tracking for calls and form submissions.Provider · Once
Choose which conversions count toward bidding (primary conversions).Provider · Once
Decide how you will mark leads as qualified, using a lead tracking sheet.Owner · Once

Before launch

A few settings prevent the most common wasted spend.

Add negative keywords for work you do not do, such as "jobs", "free", or "DIY".Provider · Once
Set location targeting to people in or regularly in your service area.Provider · Once
Run ads during hours someone can answer the phone.Either · Once
Decide whether Local Services Ads (LSA) fit your business.Owner · Once
Book a monthly review of search terms, cost, and qualified leads.Either · Monthly

Google Ads Readiness Checklist

Business basics

Accounts and billing

Landing pages and tracking

Before launch

How to use this resource.

Verify against current sources.

Read the reasoning behind this resource.

Turn the checklist into focused monthly work.

Google Ads Readiness Checklist

Lead tracking sheet

Service page checklist

Account ownership inventory

Turn the checklist into focused monthly work.