Start with one service for one kind of client, such as Meta ads for D2C brands or local SEO for clinics, and sell it as a fixed monthly retainer with a written scope; generalist agencies end up competing on price. No licence exists for this trade in India: you need a PAN, a bank account, Shops and Establishment registration, GST once turnover passes Rs 20 lakh (or earlier, to claim credit on tools and ads), a TAN once you pay freelancers, and a Letter of Undertaking each year to bill foreign clients without GST. Ads bought from Google and Meta in India carry 18% GST, and the 6% equalisation levy on them was abolished from 1 April 2025. Decide per client whether ad spend runs through your account or the client pays the platform directly, because that decides what you pay GST on. Win the first three clients from your network with a case study from a brand you have already grown. What kills most agencies is client churn and a founder who does every task.
A July 2026 guide to the compliance side of an agency: no licence, GST at Rs 20 lakh, a TAN once you pay freelancers, an LUT for foreign clients, 18% GST on Google and Meta ads with the 6% equalisation levy abolished from 1 April 2025, and the choice between billing ad spend as principal or as pure agent.
A tighter second read that makes the "register early" case concrete: it lists 12 scenarios that force registration regardless of turnover and states plainly that below-threshold businesses register voluntarily to unlock input tax credit and to look credible. It also names the documents you need (PAN, ID proof, digital signature) so you know what to gather before you start.
An October 2026 explainer of when a service counts as an export under GST, how the Letter of Undertaking lets you invoice foreign clients without GST, and how to reclaim input credit that piles up when your output carries no tax.
Jonathan Stark's short book for consultants and freelancers on pricing by value instead of by the hour: why hourly billing caps your income and punishes you for getting faster, and how to move to fixed project prices and retainers.
The GST portal's own FAQ on the Letter of Undertaking: who must furnish it before exporting goods or services without paying IGST, including services to a client outside India, and where to file it on the portal (Services > User Services > Furnish Letter of Undertaking).
