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The Agency Profit Podcast: Daily Summaries Delivered
by Parakeeto, Marcel Petitpas
Welcome to the Agency Profit Podcast hosted by Marcel Petitpas, CEO and Co-Founder of Parakeeto.Finally, an agency podcast that isn't JUST about getting more clients. On the show, we bring in experts, agency owners and consultants to share their actionable tips for improving profitability and operational efficiency. Here, you'll learn what systems to implement in your business, what kind of KPI's to track, and benchmarks to aim for. How to manage things like capacity, utilization, billing rates, processes and procedures, what tools to use, mistakes to avoid and so, so much more. If you're tired of putting out fires, working long hours, and growing revenue but not profits, you're in the right place.
Latest Episodes
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- 1 weeks ago46 min
What AI is actually doing to your margins and what to do about it, With Marcel Petitpas
Points of Interest0:01 – 00:58 – Introduction: A rare full-team episode, Kristen, Carson and Marcel, built around Marcel's recent talk on agencies versus SaaS in the age of AI.00:58 – 03:33 – Where the Talk Came From: The vantage point behind the argument: running Parakeeto as a tech-enabled service business, time inside SaaS Academy, and work with an AI venture studio.03:33 – 05:54 – Redefining What "Product" Means: Product is the whole customer experience, not the software. Most agencies reach for the software first and skip the part that makes it worth buying.05:54 – 10:43 – The Four MVPs: The order of operations: minimum viable problem, minimum viable point of view, minimum viable process, and only then minimum viable product.11:14 – 15:21 – Testing Your Own Clarity: A practical test for whether you actually understand the problem you solve, with a chiropractor analogy that shows what deep customer understanding sounds like out loud.15:22 – 19:15 – The 37signals Trap: Why the unrelated side-project product almost never works: it borrows the origin story without borrowing the process and expertise that made it possible.19:15 – 23:12 – The Value Equation: Value as dream outcome multiplied by perceived likelihood of success, Alex Hormozi's framing, applied to how an agency builds and presents an offer.23:12 – 25:59 – Time Delay and Effort as Levers: Two levers most agencies leave alone: how long the client waits, and how much work you leave on their desk. UPS shipping tiers and airport security lines make the point.25:59 – 29:16 – Is Full-Service at Risk: Whether full-service digital agencies are the most exposed to commoditization, and why the tightness of any position erodes as an adoption curve matures.29:16 – 32:27 – Full-Service Isn't Inherently Bad: Breadth added deliberately, from a clear read on the client's core problem, still creates value, with Parakeeto's own move into bookkeeping as the example.32:27 – 38:52 – Price Sensitivity and Segmentation: Pricing pressure is usually a mismatch signal: what your firm values isn't what this client values. How to segment buyers by what they will actually pay for.38:52 – 46:44 – Pricing Models and the Agency of the Future: Alternatives to time and materials billing, the scope problem industries like PR can't escape, and what the agencies still winning in five years will look like.Show NotesFree Agency ToolkitParakeeto Foundations CourseFree access to our Model PlatformConnect via LinkedInMarcel PetitpasCarson PierceKristen KellyRelated EpisodesWe Take Care of the Money: Parakeeto’s New Positioning, Explained – Ep.226The Most Common Agency Pricing Mistakes, with Kristen Kelly – Ep.192Operationalizing and De-Risking Positioning, with Mike Grinberg – Ep.195 Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- 3 weeks ago47 min
Why Chasing Growth Can Wreck Your Agency's Profitability, with Eric Brown
Points of Interest 00:34 – 02:25 – Introduction: Eric describes his 20-plus years in agency growth consulting and explains that he and his co-founder started their firm to give agencies both a clear growth strategy and the dedicated resources to execute it. 02:25 – 07:02 – Why Growth Isn't a Natural Skill: Eric argues that most agency founders build their business around a craft skill rather than growth expertise, which leaves agencies relying on early relationships until those relationships run out and margins tighten. 07:02 – 15:37 – The Four Pillars of Growth: Eric outlines his framework of positioning, messaging, tactics, and growth operations, starting with a multi-year revenue and profit strategy that anchors everything else. 15:37 – 20:40 – Applying the Framework to LinkedIn: Carson asks for advice on his own struggle to post consistently on LinkedIn, and Eric responds by tying content consistency to a documented plan built around a single core metric: monthly conversations. 20:40 – 23:11 – Vitals, the Growth Readiness Assessment: Eric explains that Vitals evaluates 40 variables tied to an agency's growth readiness, giving his team the data needed to make an accurate diagnosis before recommending a strategy. 23:11 – 27:29 – Clarity, the In-Person Workshop: Eric describes Clarity as a two-day, in-person workshop with agency leadership that produces a growth strategy, a 30-60-90 action plan, and a set of committed tactics. 27:29 – 35:49 – Impact, the Execution Partnership: Eric explains that most agencies lack the internal capacity to execute a growth strategy on their own, so Impact provides ongoing support to move that strategy forward. 35:49 – 39:47 – Reframing Growth as Enterprise Value: Eric introduces enterprise value as a healthier lens than raw revenue growth, tying it to the overall health of the agency and its people. 39:47 – 41:36 – Four Strategic Paths: Stabilize, Sustain, Scale, or Sell: Eric lays out the four strategies his team applies depending on an agency's current position and available runway. 41:36 – 45:40 – When Growth Would Just Scale Losses: Carson and Eric discuss agencies whose real problem is thin margins rather than a lack of leads, and Eric explains why margin visibility has to come before any growth plan is built. Show Notes Connect with Eric Brown LinkedIn Website Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Aug 12, 202635 min
From Time Tracking to Time Intelligence, With Elizabeth Thorn
Points of Interest 00:01 – 00:35 – Introducing Time Intelligence: Carson Pierce welcomes Elizabeth Thorn to discuss how agencies can use better time data to improve profitability and decision making. 00:35 – 02:18 – From Agency Owner to SaaS Leader: Elizabeth shares how her experience running a digital marketing agency shaped her perspective on operational efficiency and measuring time. 02:18 – 04:31 – Why Time Tracking Needs to Evolve: The conversation explores why simply recording hours is no longer enough and how agencies can use time data to make smarter business decisions. 04:31 – 06:46 – The Foundation of Reliable Data: Elizabeth explains why accurate, consistent time tracking is essential for forecasting, pricing, utilization, and project profitability. 06:46 – 09:15 – Improving Time Tracking Adoption: Carson and Elizabeth discuss practical ways to reduce friction, encourage team participation, and improve the quality of time data. 09:15 – 11:44 – Balancing Privacy and Accountability: Elizabeth explains why agencies can collect meaningful operational data without relying on invasive employee surveillance. 11:44 – 15:35 – Using Time Data to Prevent Profit Loss: The discussion covers how historical time data can help agencies improve capacity planning, identify delivery issues early, and prevent projects from exceeding budget. 15:35 – 17:28 – Understanding Where Profit Leaks Away: Elizabeth highlights common sources of lost profitability, including scope creep, non-billable work, excessive context switching, and inaccurate project estimates. 17:28 – 19:12 – Busy Teams Are Not Always Productive Teams: Carson explains why teams can feel overwhelmed while still falling short of profitability goals, and why utilization alone does not tell the full story. 19:12 – 23:20 – Measuring the Cost of Context Switching: Elizabeth recommends tracking a typical workweek to uncover hidden inefficiencies and better understand how work is actually distributed. 23:20 – 29:18 – Learning from Historical Performance: Carson and Elizabeth discuss how agencies can use historical project data to create more realistic forecasts, staffing plans, and utilization targets. 29:18 – 32:48 – Connecting Time Data with Agency Operations: The conversation explores how time tracking works alongside project management, finance, and operational workflows to improve visibility across the business. 32:48 – 35:13 – Building a More Profitable Agency: Elizabeth closes by encouraging agency owners to establish trustworthy operational data first, making it easier to improve margins, utilization, capacity planning, and long-term profitability. Show Notes Connect with Elizabeth Thorn & Toggl LinkedIn YouTube Heist Calculator (Agency Profit Leakage Tool) Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Jul 29, 202641 min
Owner's Clarity and the Four Constraints, With Mike Grinberg
Points of Interest 00:00 – 02:50 – Introducing Owner's Clarity: Kristen Kelly welcomes Mike Grinberg back to the podcast to discuss why founders should develop personal clarity before focusing on positioning or marketing strategy. 02:50 – 05:30 – Why Successful Founders Still Feel Miserable: Mike explains how many founders build profitable businesses that ultimately fail to support their personal goals, values, or fulfillment. 05:30 – 07:10 – A Real-World Example of Misalignment: Mike shares the story of a founder whose business model eliminated the mentoring opportunities that gave his work meaning, despite excellent financial performance. 07:10 – 10:15 – Learning from Personal Experience: Reflecting on his own agency journey, Mike explains how removing himself entirely from client work created a leadership role that didn't align with his strengths or interests. 10:15 – 16:05 – The Four Constraints of Owner's Clarity: Mike introduces the four pillars of Owner's Clarity—purpose, identity, intent, and capacity—and explains how each influences business decisions and long-term satisfaction. 16:05 – 20:00 – Discovering Purpose Beyond the Business: Mike discusses how uncovering a founder's true purpose often requires deep personal conversations that go far beyond surface-level business objectives. 20:00 – 24:35 – Translating Clarity into Operational Decisions: The conversation explores how understanding intent and capacity influences hiring, delegation, automation, forecasting, and leadership responsibilities. 24:35 – 29:55 – Burnout Is an Alignment Problem: Mike explains that burnout is often caused less by workload and more by operating outside your strengths or building a business that conflicts with your identity. 29:55 – 33:45 – Building a Business Around Founder Constraints: Mike shares how Owner's Clarity influences technology investments, financial planning, reinvestment decisions, and sustainable business growth. 33:45 – 35:40 – Using the Constraint Alignment Test: Mike outlines when founders should revisit their Owner's Clarity, including after major business milestones, partnerships, or significant life changes. 35:40 – 38:25 – Think About Your Exit Early: Mike encourages founders to define how they want to feel at the end of their ownership journey, using that vision to guide strategic decisions from the beginning. 38:25 – 41:50 – Advice Mike Would Give His Younger Self: Mike reflects on the importance of designing a business that supports the founder, embracing healthy selfishness, and intentionally building a company around personal fulfillment rather than external expectations. Show Notes Connect with Mike Grinberg on LinkedIn Owner's Clarity Toolkit™ Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Jul 15, 202631 min
Pass-Through Revenue: The Money That Was Never Yours, With Carson and Kristen
Points of Interest 00:01 Introduction and New AI-Driven Call Analysis: Kristen and Carson introduce a new process where they use Claude to analyze client calls regularly and surface recurring themes for the podcast, starting with today's topic: pass-through. 01:14 Defining Pass-Through: Kristen defines pass-through as any money that flows from a client through the agency to another vendor, where the agency isn't responsible for that cost's profitability, citing examples like media spend, print budgets, and stock imagery. 03:26 Defining AGI and the Formula: Carson explains Agency Gross Income (AGI) as top-line revenue minus pass-through, emphasizing that a $5 million agency by billings might actually be a $1 million agency once pass-through is removed. 05:34 Case Study: Media Spend Masking True Agency Size: Kristen shares an example of a $3 million agency that was really closer to $1.5 million once media planning and buying income was stripped away, due to a messy chart of accounts. 07:26 Case Study: Off-Balance-Sheet Media Slush Fund: Kristen describes a second client who kept media dollars off their P&L entirely, creating the illusion of abundant cash on hand and complicating tracking of which funds belonged to which client. 09:17 Cash Flow Risks of Fronting Pass-Through: Kristen and Carson discuss how agencies that don't collect pass-through funds upfront risk becoming an unintentional bank for their clients, leading to cash flow trouble. 10:16 Case Study: Events Agency Mistaking $10M for $2M: Carson recounts a client who operated as if they were a $10 million agency when 80% of that revenue was pass-through events costs, leaving them a $2 million agency with unsustainable spending habits. 12:02 Case Study: Understaffing Miscalculation on a $100K Event: Carson shares a second events example where a team overstaffed a $100,000 event without realizing only $20,000 of that actually belonged to the agency, locking them into a multi-year contract destined to lose money. 16:26 The Contractor Decision Tree: Kristen walks through a sequential framework for classifying contractors as pass-through, delivery expense, or shared delivery cost, based on questions about salary status, compensation structure, and cost attribution. 23:15 Pricing and Estimating Projects with Pass-Through in Mind: Kristen and Carson explain how to separate people costs from pass-through costs when building project estimates, using breakeven calculations to arrive at a target price with margin. 25:09 Making Pass-Through Visible on the P&L: Carson advises working with bookkeepers to separate pass-through from cost of goods sold so agencies can clearly see their AGI rather than having it obscured within a muddled COGS section. 28:15 Tracking Costs and Empowering Project Managers: Kristen recommends empowering project managers closest to the delivery work to track and flag cost overruns proactively, rather than leaving pass-through reconciliation solely to bookkeepers or finance. Show Notes Free Agency Toolkit Parakeeto Foundations Course Free access to our Model Platform Connect on LinkedIn Carson Pierce Kristen Kelly Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Jul 1, 202642 min
Profitability Is an Operations Problem, with Sarah Still
Points of Interest 00:00 – 01:43 – Introduction: Marcel introduces Sarah Still, Partner and COO at RAYNE IX, and frames the conversation around agency operations, profitability, scaling, and building valuable businesses. 01:44 – 02:28 – Helping Women Build Valuable Agencies: Sarah explains how RAYNE IX works with women agency owners to improve performance, build enterprise value, and prepare for future exit opportunities. 02:29 – 04:33 – From Finance to Agency Operations: Sarah shares how her accounting background led her into agency operations after helping clean up the books of a startup marketing agency. 04:34 – 06:10 – Building RAYNE IX After Agency Leadership: Sarah describes leaving her COO role after 11 years and eventually partnering with Kylie Peters to support women building healthier agencies. 06:11 – 08:39 – Why Focus on Women Agency Owners: Sarah explains the personal and professional motivation behind helping women founders capture the value they are creating in their businesses. 08:40 – 11:32 – Operationalized Leadership: Sarah argues that agencies often miss the importance of defining values, behaviors, standards, and leadership cadences that protect the business as it scales. 11:33 – 13:58 – Clarifying Founder Values: Marcel reflects on how unclear values at Parakeeto led to frustration, poor leadership moments, and delayed decisions around hiring and accountability. 13:59 – 15:43 – Culture as the Result of Enforced Values: Sarah explains that culture is not created through intention alone, but through the behaviors, standards, and values that leaders consistently enforce. 15:44 – 19:18 – The Power of Clear Expectations: Marcel and Sarah discuss how expectations shape leadership, performance, accountability, pricing, forecasting, and enterprise value. 19:19 – 24:52 – Assumptions Before Certainty: Sarah and Marcel explore why agencies should not wait for perfect clarity before taking action, but should make assumptions explicit so results can be compared against expectations. 24:53 – 28:59 – Time Tracking and Precision Traps: Sarah and Marcel discuss why unreliable time-tracking data can be worse than no data, and how agencies often overcomplicate measurement without knowing what question they are trying to answer. 29:00 – 43:38 – Finance, Operations, and Profitability: Sarah and Marcel unpack why profitability is an operational problem made visible through finance, and why agency leaders must understand the tradeoffs between margin, hiring, utilization, pricing, team health, and growth. Show Notes RAYNE IX Connect on LinkedIn Sarah Still Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Jun 17, 202628 min
We Take Care of the Money: Parakeeto's New Positioning, Explained, With Kristen Kelly & Carson Pierce
Points of Interest 00:01 – 00:53 – Why Revisit Positioning: Carson and Kristen introduce Parakeeto's repositioning effort and explain why they wanted to publicly discuss the evolution of the company's messaging. 00:53 – 02:18 – The Profitability Problem: The discussion explores how Parakeeto's heavy emphasis on profitability created confusion about what the company actually does for clients. 02:18 – 04:21 – The Challenge of Category Creation: Carson and Kristen reflect on attempts to create or fit into categories like FinOps and why unfamiliar categories often create more confusion than clarity. 04:21 – 06:18 – From Profitability to Stewardship: The conversation introduces the new positioning centered around helping agency owners focus on building their businesses while Parakeeto takes care of the money. 06:18 – 09:11 – The Emotional Side of Finance: Carson shares how financial discomfort and avoidance can affect decision-making and explains why confidence is a critical outcome of financial stewardship. 09:11 – 11:31 – What Taking Care of the Money Means: Kristen outlines the practical components of Parakeeto's approach, including accounting, forecasting, reporting, and operational guidance. 11:31 – 13:19 – Agency-Specific Financial Expertise: Carson explains how deep agency experience allows Parakeeto to interpret financial data within the operational realities of agency businesses. 13:19 – 15:06 – Turning Financial Insights into Action: The discussion highlights the importance of translating financial reporting into operational recommendations that improve agency performance 15:06 – 17:37 – Expanding into Accounting and Bookkeeping: Kristen explains how bringing bookkeeping and accounting services in-house creates continuity between financial data and strategic decision-making. 17:37 – 19:54 – The Agency CFO Perspective: The conversation explores why the title "Agency CFO" better communicates Parakeeto's blend of financial expertise and operational advisory support. 19:54 – 24:13 – Who Benefits Most from This Approach: Carson and Kristen discuss ideal client profiles, including agencies crossing the $1M mark and larger firms seeking greater visibility and clarity. 24:13 – 28:19 – Building Confidence Through Partnership: The episode concludes with a discussion about education, long-term partnerships, and helping agency owners feel more confident managing the financial side of their businesses. Show Notes Free Agency Toolkit Parakeeto Foundations Course Free access to our Model Platform Connect on LinkedIn Carson Pierce Kristen Kelly Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
- Jun 4, 202641 min
Shifting From Operator to Owner, With Jason Swenk
Points of Interest 00:00 – 02:12 – Jason Swenk's Agency Journey: Jason shares how he accidentally started an agency in 1999, grew it to more than 100 employees, sold it after 11 years, and eventually transitioned into coaching agency owners worldwide. 02:12 – 06:22 – Designing a Lifestyle Business: Jason explains how agency owners often aspire to more freedom and flexibility, sharing how he structures his own workweek and prioritizes experiences outside of work. 06:23 – 10:14 – Escaping the Operator Trap: Jason introduces an exercise that helps founders identify the tasks they dislike and begin designing their business around their strengths instead of remaining stuck in daily operations. 10:15 – 13:19 – The Manager Stage and Delegation Challenges: The conversation explores why many founders struggle after hiring employees and how poor delegation often creates more work rather than less. 13:20 – 16:50 – Building Trust and Better Decision-Making: Jason explains the 1-3-1 framework for problem solving and discusses how leaders can develop trust while allowing team members to learn through small mistakes. 16:51 – 19:41 – The CEO Identity Shift: The discussion focuses on how founders must evolve their role as the business grows, moving from execution toward vision, coaching, and strategic leadership. 19:42 – 22:17 – Becoming an Architect: Jason outlines the Architect stage, where leaders create systems, processes, and frameworks that allow teams to operate independently without constant oversight. 22:18 – 24:09 – AI as a Founder Knowledge System: The conversation explores how agency owners can use AI to capture expertise, document decision-making processes, and reduce dependency on the founder. 24:10 – 27:31 – Avoiding the Rubber Band Effect: Jason explains how founders often sabotage growth by reverting to old habits and stepping back into roles their team is capable of handling. 27:32 – 30:31 – The Difference Between CEO and Owner: The discussion examines the Owner stage, where the business no longer relies on the founder for day-to-day decisions and leadership functions. 30:32 – 34:30 – Growing Leaders Within the Organization: Jason shares insights on helping employees develop their own careers while recognizing that not everyone wants to move into leadership positions. 34:31 – 41:02 – Building a Business Around Your Goals: The episode concludes with Jason discussing his book, Operator to Owner, and emphasizing that agency owners should intentionally design businesses that align with their desired lifestyle and ambitions. Show Notes Agency Mastery Website Operator to Owner book details Smart Agency Masterclass Podcast The Seth Godin Episode Upcoming Events Epic Friday Jason Swenk on LinkedIn Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.
About The Agency Profit Podcast
Welcome to the Agency Profit Podcast hosted by Marcel Petitpas, CEO and Co-Founder of Parakeeto.Finally, an agency podcast that isn't JUST about getting more clients. On the show, we bring in experts, agency owners and consultants to share their actionable tips for improving profitability and operational efficiency. Here, you'll learn what systems to implement in your business, what kind of KPI's to track, and benchmarks to aim for. How to manage things like capacity, utilization, billing rates, processes and procedures, what tools to use, mistakes to avoid and so, so much more. If you're tired of putting out fires, working long hours, and growing revenue but not profits, you're in the right place.
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