---
id: "prereq-agency-model"
type: "prereq"
source_timestamps: ["00:00:00"]
tags: ["business-model"]
related: ["concept-5-employee-ai-system", "concept-ad-driven-client-acquisition"]
reason: "The speaker frequently uses terms like 'agency', 'retainer', and 'client acquisition' without defining the underlying business model."
---
# Understanding of the SMMA / Agency Model

## Prerequisite

The viewer is assumed to understand the basic premise of a **B2B marketing or automation agency**:

- Find clients (typically local businesses).
- Charge a **monthly retainer** plus, optionally, performance fees.
- Deliver services (lead gen, automation, etc.) on an ongoing basis.

## Why It Matters

[[entity-jp-middleton|JP]] uses *agency*, *retainer*, *client acquisition*, *onboarding*, and *churn* throughout the source without defining them. A viewer without an SMMA (Social Media Marketing Agency) mental model will struggle to follow why [[concept-5-employee-ai-system]] is a defensible offer, or why churn risk dominates the design of the [[concept-leaky-bucket-model]] argument.