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Why most agencies make no money (the $15,000 LTV rule)
If your clients can’t profit, neither can you. Here’s how to choose clients with real economics—and use AI to serve them profitably.

Daniel Fazio

@thedanielfazio
How Low-LTV Clients Keep You Broke—and the Simple Math Behind Profitable Agencies
In this post, I explain the single biggest reason most agencies stay broke: bad client economics. You can have great skills, good systems, and solid work ethic—but if your clients’ business models are broken, your agency will be too.
I break down the $15,000 LTV rule and why targeting clients with low-ticket products or thin margins (like supplements, ecom stores, or local businesses) is financial suicide. Their lifetime value (LTV) is too low, their customer acquisition cost (CAC) too high, and the math never works. Even if you perform perfectly, there’s no room for error—and they’ll still struggle to pay you.
Instead, I show why the real money comes from working with high-LTV clients—coaches, consultants, surgeons, and luxury service providers—who sell expensive offers, have wide profit margins, and pay well because you help them scale real revenue. These clients are easier to work with, less stressed, and give you breathing room to test, grow, and profit.
I also share how to deliver premium-level results to these clients using AI—automating 90% of fulfillment while keeping 80%+ margins. The goal isn’t to work harder. It’s to work with better clients, use smarter systems, and finally build a business that pays what you’re worth.
Stop Working With Broke Clients—Start Your AI-Assisted Agency
You can’t fix bad economics with hard work. If you want to build an agency that actually makes money, you need to work with clients who can afford to pay you—and AI that lets you deliver at scale.
My new AI-Assisted Agency program gives you the complete system: the proven high-ticket models, pre-trained AI tools, and client acquisition frameworks to sign $3K–$10K/month retainers with ease. You’ll get the exact offers, automations, scripts, and templates to land high-LTV clients—and fulfill everything in a fraction of the time.
Click below to watch the full breakdown and see how to start working with clients who can actually make you rich.