How Much Does it Cost to Outsource vs. Hire In-House Marketing for Your Small Business?
By ERIN LARISON
COO, Larison Media
At some point, every small business hits a wall. You’ve grown through referrals, a little social media, maybe a few ads. Then you realize — it’s time to take marketing seriously.
And that’s where the big question comes in: do you hire someone in-house, or do you outsource to an agency?
Both can work. The better question is which fits your business right now.
Let’s look at what each really costs — and what you get for it.
Hiring in-house
Bringing someone on staff gives you consistency. You have a person in your corner every day who knows your brand inside and out. That can be a big advantage.
But it also comes with a real price tag.
Most small businesses spend $55,000 to $80,000 a year for a full-time marketing coordinator or manager. Add benefits, taxes, software, and training, and the true cost often lands closer to $65,000 to $100,000 per year.
That’s a major commitment, especially for a small company.
And remember: one person can only do so much. Maybe they’re great at social, but not SEO. Or they can design a flyer, but they can’t manage Google Ads. You may still end up hiring outside help for specialized work.
Outsourcing to an agency
When you outsource, you’re not hiring one person — you’re hiring a team.
A good agency brings specialists for strategy, content, design, SEO, and ads. They already have the tools, processes, and experience to move quickly.
Most small businesses working with an agency invest $1,500 to $4,000 per month, depending on the size of the project and how aggressive the plan is.
That’s about $18,000 to $48,000 per year — often less than one full-time hire.
You trade daily on-site presence for broader skills and faster execution. And because agencies work with multiple clients, you also benefit from what they’ve learned across different industries and strategies.
When hiring in-house makes sense
There’s no one-size-fits-all answer.
If your business is large enough to keep a marketing person fully busy — managing vendors, running campaigns, building partnerships — in-house can make a lot of sense. You’ll have full control and someone who breathes your brand culture.
But if you’re still growing, outsourcing is usually more cost-effective. You get a team of experts for less money, and you can scale your investment as your business grows.
The real tradeoff
In-house gives you control and consistency. Outsourcing gives you depth and flexibility.
The right choice depends on your budget, goals, and how hands-on you want to be.
Some businesses even blend the two — keeping someone in-house for day-to-day tasks while partnering with an agency for higher-level strategy and execution.
That’s often the sweet spot.
The bottom line
Both paths can work. The key is to understand what you’re actually paying for — and what kind of marketing horsepower you really need right now.
At Larison Media, we help local businesses figure that out. Whether you’re ready for an outside team or just trying to understand your options, we’ll walk you through what’s realistic for your budget and goals.
