In the past year, I’ve spoken with over 200 agency owners, and there’s one recurring theme that sends their stress levels skyrocketing:
👉 The “big” client.
Sure, the revenue from that one major client is fantastic. It’s what helps keep the lights on, pays the team, and gives you a sense of stability. But there's an uncomfortable flip side that no one talks about enough:
→ Owners are terrified of losing that client.
→ When the client does churn, it can leave the agency on life support.
I’ve lost count of the number of conversations I’ve had with agency founders who are stuck in a state of perpetual anxiety. Their stress isn't just about running a business; it's about survival. When 30-60% of an agency’s revenue is tied up with one client, the stakes are ridiculously high.
The Harsh Reality: Dependency Creates Vulnerability
I get it. I’ve been there myself.
A few years ago, I joined an agency that had nearly 50% of its monthly revenue coming from one client. On the surface, things looked great—steady income, bills paid on time, everyone happy. But behind the scenes? It was a ticking time bomb. One wrong move, one contract renegotiation, or one shift in the client’s strategy could send everything crashing down.
The agency's leadership was always on edge, and the entire business was effectively at the mercy of this client’s whims. Sound familiar?
How We Turned It Around: Diversifying Revenue Streams
The thing is, this doesn’t have to be your reality. Less than two years after I joined that agency, we completely flipped the script:
→ We tripled the size of the business.
→ Our largest client accounted for less than 10% of our monthly revenue.
How did we do it? It wasn't luck or a stroke of genius. It was about taking a hard look at the numbers, diversifying revenue streams, and scaling what we were already doing well.
Breaking Free: The Two Questions Every Agency Owner Needs to Ask
If you’re reading this and you’re feeling that familiar knot in your stomach because you know exactly what I’m talking about, it’s time to act. Here’s where to start:
- What have you been doing exceptionally well that justifies the higher fees or revenue from that big client?
- Chances are, there’s something you’re doing right. Maybe it's your team's expertise, your killer project management, or the insane results you've been delivering. Whatever it is, identify it. That’s your secret sauce.
- Can these strengths be replicated for other businesses?
- If you can pinpoint what's made you so valuable to that one client, there’s a good chance other businesses would be just as willing to pay for it. The trick is to package it up and start pitching it elsewhere. This isn’t about reinventing the wheel—it’s about leveraging what you’re already doing well and spreading that value across a diversified client base.
A Final Thought: The Power of Diversification
The goal isn’t just to grow your agency. It’s to protect it. It’s to give yourself room to breathe, innovate, and actually enjoy the process of building your business. Because the reality is, no client—no matter how big—should have the power to make or break your agency.
Yes, it’s easier said than done. But if you’re willing to ask yourself the tough questions and put in the effort to diversify, you can take control of your revenue streams and finally get out from under that crushing weight of dependency.
So, take a deep breath. Look at where you are now and where you want to be. Start replicating your successes and spread your wings a bit.
Because trust me, the moment your biggest client is no longer your biggest worry? That’s when you really start to thrive.
