# How to start a drop servicing business (in 8 steps)

Omid G Jul 15, 2024

#### Start selling your services

Ready to start your drop servicing business? Get started with Assembly and get access to powerful client management and billing tools.

4.9 rating

## What is drop servicing?

Drop servicing is a business model where entrepreneurs sell services, often digital marketing, graphic design, SEO, or copywriting, without performing the work themselves. Instead, they act as a middleman, outsourcing these tasks to freelancers or agencies found on platforms like Fiverr, Upwork, or niche white-label service providers. This model enables individuals to offer a range of professional services, capitalizing on their skills in sales and client management rather than the service itself.

### Difference between drop shipping and drop servicing

Although both drop shipping and drop servicing operate on the principle of outsourcing, their domains differ significantly.

Drop shipping is common in the e-commerce world, where a store sells physical products without keeping inventory, passing the order to a third party to fulfill and ship directly to its customer. Conversely, drop servicing deals with the sale of services rather than physical goods. Entrepreneurs in drop servicing leverage their expertise in areas like digital marketing or social media management to secure clients. Once they land a contract, they outsource the actual service work to other professionals.

## How to start a drop servicing agency in 8 steps

Here are my 8 steps to starting a drop servicing business:

1. [Find your niche](/content/blog/drop-servicing#find-your-niche/index.html)
2. [Sign your first client](/content/blog/drop-servicing#sign-your-first-client/index.html)
3. [Do the work yourself (first)](/content/blog/drop-servicing#do-the-work-yourself/index.html)
4. [Productize your services](/content/blog/drop-servicing#productize-your-services/index.html)
5. [Create a real business structure](/content/blog/drop-servicing#create-a-real-business/index.html)
6. [Find white-label service providers to outsource work](/content/blog/drop-servicing#outsource-the-work/index.html)
7. [Hire an assistant to manage operations](/content/blog/drop-servicing#hire-an-assistant/index.html)
8. [Build a loyal brand to retain and attract clients](/content/blog/drop-servicing#build-a-brand/index.html)

### 1\. Find your niche

When starting a drop servicing business, the first important step is picking your drop service niche — the specific area you will sell services in. You want to choose something that people are willing to pay for and that you know how to market. Services that you can outsource, like website design or logo design, are popular options.

Examples of services to consider:
- Email marketing setup
- Content writing
- Website development
- Shopify development
- Video editing
- SEO (search engine optimization)

### 2\. Sign your first client

Getting your first customer can be challenging since you won't have examples of your work. Personalized outreach and delivering excellent work are key in landing that first client.

### 3\. Do the work yourself (first)

Initially handling work yourself helps inculcate a thorough understanding of the tasks involved. This builds trust with clients and lays the groundwork for future success.

### 4\. Productize your services

Turning your services into packaged products with defined options and clear prices can streamline your operations, making it easier to deliver consistent quality.

### 5\. Create a real business structure

Transitioning from an informal operation to a legally recognized company enhances your credibility and helps you manage financial and legal aspects more effectively.

### 6\. Find white-label service providers to outsource work

Choose reliable partners to handle tasks under your business name. Their quality aligns with your brand’s standards.

### 7\. Hire an assistant to manage operations

As your business grows, hiring an assistant helps manage daily operations, allowing you to focus on acquiring clients and service improvement.

### 8\. Build a loyal brand to retain and attract clients

A trusted brand retains clients and attracts new ones through positive word-of-mouth. Consistent quality, engaging with clients, and sharing success stories are crucial.

## Automate your drop servicing business with Assembly

Automation capabilities from tools like Assembly help streamline and grow your drop servicing operations efficiently.