We write proposals for a living, which means we also know exactly how they’re built to look good on paper. Most proposals are sales documents first and strategy documents second — and the gap between the two is where a lot of businesses get burned.
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Here’s what to actually look for, section by section.
1. The Projected Results Slide
Almost every proposal has a slide with a projected ROAS, CPA, or lead volume. Ask one question before you get impressed: what is this projection based on?
Red Flags
- The number is a round, “nice” figure (5x ROAS, RM50 CPA) with no source.
- It’s based on “industry averages” rather than your actual historical data or a comparable account they’ve managed.
- There’s no range — just a single confident number, with no acknowledgment of a learning period.
A credible projection comes with a range, a timeframe, and a caveat. An overconfident single number is usually there to get a signature, not to set expectations.
2. The Scope of Work
This is where most disputes start six months in. Vague scope is not an oversight — it’s often deliberate, because it lets the agency say “that wasn’t included” later.
What to check
- Is creative production included, or is it “strategy only” with production billed separately?
- How many campaigns/platforms are covered under the retainer, and what happens if you want to add TikTok six weeks in?
- Is reporting a live dashboard, a monthly PDF, or a call — and how often?
If the scope reads like it was written to be reinterpreted later, it will be.
3. The Fee Structure
Flat retainer, percentage-of-spend, or performance-based — each has a different incentive built in, and that incentive shapes the advice you’ll get.
- Percentage-of-spend agencies are financially incentivized to recommend you spend more, regardless of whether more spend is the right call.
- Flat retainer agencies have less incentive to push spend, but also less incentive to scale hard when scaling is genuinely warranted.
- Performance-based sounds appealing but often comes with minimum spend requirements or longer lock-ins that offset the “risk-free” framing.
None of these is inherently wrong. What matters is whether the proposal is honest about the incentive it creates.
4. The Exit Clause
Read this before you read the results section. A 30-day out with no penalty tells you the agency is confident enough to earn your business every month. A 6- or 12-month lock-in with heavy exit fees tells you something else.
Red Flags
- Auto-renewal clauses buried in the fine print.
- Penalties for leaving that exceed one month’s fee.
- No defined off-ramp for underperformance — just a fixed term regardless of results.
5. What’s Conspicuously Missing
The most useful part of reading a proposal is noticing what isn’t there.
- No mention of when they’d recommend pausing spend.
- No section on what data or access they need from you (pixel setup, product feed, brand assets) — meaning delays are coming.
- No named point of contact, just “a dedicated team.”
The Uncomfortable Truth
A polished proposal and a good agency are only loosely correlated. Some of the best media buyers we know write plain, unglamorous proposals. Some of the worst write beautiful ones. The proposal isn’t the product — read it for what it reveals about incentives and honesty, not for how confident it sounds.
Not sure which option makes the most financial sense for your business? Book a free strategy call and we'll review your numbers honestly—even if the conclusion is that you don't need an agency yet.