Build a Better Agency Podcast

Episode 515 Build Your Agency Dream Team for 2026 with Drew McLellan

5 snips
Aug 18, 2025
Discover how agency team structures are evolving as we approach 2026. Explore the rise of smaller, nimble teams that blend full-timers with specialized contractors. Learn why the most profitable agencies thrive with 12 to 40 members and the impact of AI on traditional roles. Dive into the need for agencies to transition from merely executing tasks to acting as strategic guides for clients. Embrace a culture of continuous learning and adaptability to navigate the shifting landscape of client relationships.
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INSIGHT

Sweet Spot For Agency Profitability

  • Agencies with 12–40 people tend to achieve the highest double-digit profitability percentages.
  • Bigger headcount does not automatically mean better profit margins.
INSIGHT

Why Very Small Agencies Struggle

  • Agencies smaller than ~12 struggle with coverage, specialization, and documented systems.
  • Reaching 10–12 people enables clearer lanes, specialists, and more reliable operations.
ANECDOTE

From Full Production To Farming Out

  • Early outsourcing began with production and research as agencies couldn't afford whole departments.
  • Drew recounts moving from large shops with full production to smaller agencies farming those services out.
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