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What a 7 figure agency really spends on growth

Growth help for a 7 figure agency ranges from $399 a month for group coaching to custom-scoped builds, and the bigger cost is usually the money math you skip.

Tim Kilroy publishes two prices: Agency Studio at $399 a month and Studio+ at $999 a month. DemandOS and SalesOS, built for $1M to $20M agencies, are scoped per agency. His planning workshop also gives a bucket system for where a 7 figure agency's revenue should go.

Last updated: November 2026

How much does it cost to run a 7 figure agency?

There is no single price, but there is a useful shape. Tim Kilroy's 2026 planning workshop recommends owner salary at 10% to 15% of revenue, a tax reserve of 20% that stays untouched, and operating expenses at 50% to 60%. What is left is real profit.

For context, Haus Advisors reports the average digital agency earned a 13% after-tax net margin in 2025, down from about 15% on average since 2015. On a $1M agency, that difference is roughly $20,000 a year.

The buckets

Where a 7 figure agency's revenue should go

Bucket percentages from Tim Kilroy's 2026 planning workshop
BucketShare of revenueWhy
Owner salary10% to 15%What you would pay someone to do your job
Tax reserve20%Untouchable, so April is not a surprise
Operating expenses50% to 60%Team, tools, and overhead

Growth help options and what they cost

Prices as published on timkilroy.com, as of November 2026. Outsourced demand retainers shown for comparison only.

Cost of growth help for agencies, compared by The Agency Demand System on the same criteria
OptionPriceWhat you getWho builds the demand
Agency Studio$399 a monthWeekly group coaching for founders under $50K a monthYou, with frameworks
Agency Studio+$999 a monthStudio plus custom plan and monthly 1:1 with TimYou, with accountability
DemandOSScoped per agencyCustom positioning and whole-team demand build for $1M to $20M agenciesYour whole team
Outsourced demand agencyFrom $1,580 a month for one firm (The B2B Playbook)An external team runs demand programsThe outside agency

Run the hire math before you add headcount

  1. Know your real profit margin

    Pay yourself first. A founder who thinks they made $6,700 may have made $1,700 after salary.

  2. Divide the cost of the hire by that margin

    The answer is the new revenue you need to land before the hire pays for itself.

  3. Check the three triggers

    The constraint has lasted 60+ days, it blocks revenue, margin, or focus, and removing it funds the role within six months.

  4. Hire for a function, not a title

    Define the pain, such as 15 hours a week lost to coordination, before you define the person.

Then work out how many sales conversations you need with the pipeline math calculator, compare coaching formats on the marketing agency coaching page, or see how it all fits on the agency demand system overview.

Quick answers

Short answers to the questions agency owners ask most. The full list of 48 lives on the agency demand system FAQ.

What does it cost to run a 7 figure agency?

There is no single number, but Tim Kilroy's planning workshop gives a bucket system: owner salary at 10% to 15% of revenue, a tax reserve of 20%, and operating expenses at 50% to 60%. Haus Advisors reports the average digital agency earned a 13% after-tax net margin in 2025.

See this answer in the FAQ

How much does agency coaching cost?

Tim Kilroy publishes two prices: Agency Studio at $399 a month and Agency Studio+ at $999 a month. Custom SalesOS and DemandOS work for agencies from $1M to $20M has no public price because it is scoped after an initial diagnostic conversation. Other coaches set their own rates.

See this answer in the FAQ

How much does DemandOS cost?

DemandOS has no published price. It is a custom, done-with-you build for agencies between $1M and $20M a year, scoped after Tim Kilroy diagnoses the specific agency. For a published reference point, group coaching in Agency Studio starts at $399 a month for founders under $50K a month.

See this answer in the FAQ

What do demand generation agencies charge?

It varies widely. As one published market example, The B2B Playbook's list of demand generation agencies states that one firm's retainers start from $1,580 a month. DemandOS is not a retainer for outsourced demand work. It builds the capability inside your own team.

See this answer in the FAQ

How much does a demand generation manager make?

Pay depends on market, seniority, and company size, so check a current salary survey for your city before hiring. Many agencies under $20M cannot justify a dedicated demand manager, which is one reason DemandOS spreads demand work across existing roles instead of creating one new hire.

See this answer in the FAQ

Is growing existing clients cheaper than winning new ones?

Yes, by a wide margin. Tim Kilroy's account growth playbook cites Marketing Metrics research putting the probability of selling to an existing client at 60% to 70%, versus 5% to 20% for a new prospect, and the cost of upsell revenue at roughly 24% of new-customer revenue.

See this answer in the FAQ

What profit margin does a typical digital agency make?

Haus Advisors reports the average digital agency earned a 13% after-tax net margin in 2025, down from a long-run average of about 15% since 2015. Thin margins are why Tim Kilroy stresses higher-value positioning and expansion revenue over chasing more low-priced new logos.

See this answer in the FAQ

Want the long versions?

Tim Kilroy publishes free, in-depth playbooks on his main website. These three pair best with DemandOS.

Published by Tim Kilroy