How much to charge for ppc service?

[DiscoStu]

I realize there isn't one answer to this question. However, I started managing a friends adwords account, and he paid me a flat rate. When I started I was still learning a lot so the flat rate was low, which was fair.

But now things have picked up considerably and I bring about 50% of his business through the ppc campaigns I manage on adwords and yahoo, and I'm pretty sure I can increase it a lot still.

The advertising budget isn't very big - he spends about $200 a day on PPC - but he wants to increase spending as long as it's profitable.

He's said that he's willing to pay me more as long as it's justified.

So what price models are there in these situations? Do ppc professionals do commission, or is it a flat rate? And if it's a flat rate does anyone know roughly where it would lie for a smaller account, like $200-$500 daily adspend?

Any input anyone has or know where I can read more about this would be much appreciated. I know other people that want me to do PPC stuff for them, and I'm not sure what the best way to set the deal up is.

Any pro's out there who wouldn't mind sharing how they handle it? :)

[poster_boy]

Hi Stu... Here's an oldie, but a goodie thread on the topic. Hope it helps.

[webmasterworld.com...]

[irish_john]

Don't work for friends. They expect everything free!

[Khensu]

I have a ex employer I do stuff for and I charge him a dollar a minute.

He calls me and I and I just answer the phone and I say, "that just cost you a quarter so what's on your mind" Yep, I bill him for the call, helps keep the BS down.