How to Start a Promotion Company. Businesses spend millions of dollars in the promotion of their goods and services each year. Appropriate advertising is required in order to reach consumers. Without such promotion, most businesses would fail. To capitalize on the need for advertising, you can start a production company to provide these highly lucrative services.

Step 1.

Choose a field of expertise. To become an effective promotion company, you must learn all you can about a specific industry. The promotional requirements for a plastics manufacturer vary greatly from those of a rock band, for example. For best results, select the type of business you will specialize in based on your interests and regional opportunities.

Step 2.

Study the existing promotional materials of companies in your customer base. Note if they're advertising on billboards, television, magazine ads and the like. Pay attention to the giveaway materials they use, the contests they run and the sponsors that appear in their ads.

Step 3.

Brainstorm ideas for cost-effective promotions the companies appear to be lacking. Keep a written record of all your ideas--they can come in handy for future clients.

Step 4.

Determine how you'll finance your business. You will have start-up costs including office and legal expenses, your own advertising, travel expenses. Prepare yourself for the financial undertaking before committing to a new venture.

Step 5.

Hire a consultant from the promotional marketing industry. Only a professional can give you realistic expectations of the requirements, risk factors and potential of your business idea.

Step 6.

Create a business plan. It's imperative to clearly outline your financial position, as well as show potential investors that you've done your homework.

Step 7.

Show your business model to a financial consultant before investing into your business. Consider this second opinion carefully before moving forward. You're about to invest a great deal of time and money into a business venture that's not guaranteed. Look at the facts objectively for the best chance of success.


Find a mentor in the field in which you plan to work. Although this person will one day become your competition, you can learn a great deal from a successful promoter. Take an apprenticeship if you can, or apply for any position the promoter has available. Even an office assistant can tap into a wealth of information.