What is Management Fee? — Meta Ads Glossary — details
A management fee is how performance agencies typically get paid, most often structured as a percentage of total ad spend, sometimes combined with a flat monthly or one-time setup fee. It covers strategy, campaign execution, account infrastructure, and support, distinct from the ad spend itself which goes directly to Meta.
Power Ads charges a 4% management fee deducted from each top-up plus a one-time $3,000 setup fee, a structure common among premium agencies serving $100k+/mo spenders: the percentage scales agency compensation with client growth, while the setup fee covers the cost of provisioning agency ad accounts, tracking infrastructure, and onboarding.
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