In this episode Adam breaks down one of the most misunderstood numbers in the trades. Customer acquisition cost. Also called CAC. If you’ve ever wondered how much you should be spending to get a new customer or whether your marketing dollars are actually paying off this conversation will clear it up fast.

Adam explains what CAC really measures and why it’s not the same as cost per lead. He walks through the full formula in plain English and breaks down every category that should be included. Marketing spend. Sales labor. Software. Content. Overhead. He also explains the biggest mistakes contractors make when trying to calculate CAC and why most undercount their true costs without realizing it.

You’ll hear practical examples including a full walkthrough of a sample CAC calculator with real numbers so you can see how the math works in real life. Adam also covers what a healthy CAC looks like for home service businesses how the number changes based on the market you’re in and why your average ticket and lifetime value matter more than anything.

Finally he shares how to calculate CAC by marketing channel so you can see which platforms are actually profitable and which ones are burning cash. Google Ads Meta Ads SEO referrals print and more.

If you want clarity on scaling your business spending more confidently and knowing where your best customers come from this episode gives you the blueprint.