Should You Hire an Agency or Build an In-House Team?

This question comes up a lot when a business starts growing or recognizing its gaps.

Should you hire an agency?
Or should you bring someone in-house?

And like most things in life and in business, the answer is not as simple as one being better than the other. There are pros and cons to both (sorry, not sorry).

Your best answer depends on a few different things: the size of your business, the stability of your revenue, your growth goals, what kind of work you need help with, how much internal management you want to take on, and honestly, whether you have found the right person or the right agency.

Because a great agency can be a game-changer.

And so can a great employee.

The real question is not, “Which one is better?”

The better question is:

Which one makes the most sense for your business right now?

First, to Address the Elephant in the Room

Yes, Malibu West (where you are reading this) is an agency.

But we have also worked inside companies, led teams, hired people, trained people, managed creative projects, and seen what it actually takes to build a business from both sides.

So no, this article is not here to convince you that every business should hire an agency forever.

That would not be true.

Our goal is simply to help you look at both options clearly so you can decide what actually makes the most sense for your business, your goals, and the season of growth you are currently in.

Because the wrong hire, the wrong agency, or the wrong timing can all get expensive quickly.

And nobody needs that little surprise.

Option 1: Hiring In-House

The biggest benefit of hiring in-house is the time dedication that individual will have.

That person is focused on your business and probably only your business. That means:

Your brand.
Your team.
Your customers.
Your goals.
Your internal conversations.
Your daily priorities.

That can be incredibly valuable, especially as your business grows.

An in-house team member can become deeply familiar with how your business works. They can learn your preferences, your operations, and your overall rhythm over time.

An in-house team member can also be more available for day-to-day needs.

Need someone to jump into a team meeting?
Grab behind-the-scenes content?
Update a page?
Respond to a last-minute idea?
Help support internal communication?

An in-house person can be amazing for that.

And a really strong employee will not just execute. They will teach you things along the way, bring new ideas to the table, and become a true part of the company.

That is special.

Especially for larger businesses or businesses with enough consistent work to fully support a dedicated role.

What People Forget About Hiring In-House

Hiring someone sounds phenomenal… until you remember everything that comes with it.

Because when you hire in-house, you are not just paying a salary.

You may also be paying for:

• Recruiting time

• Benefits

• Higher salary

• Training

• Management time

• Performance reviews

• Turnover risk

• The responsibility of keeping that person busy and supported

That last one is the big one.

When you hire someone full-time, they are depending on you for a stable role.

That can be a beautiful responsibility when your business is ready for it.

But if your needs are still changing every few weeks, or you are not sure if you truly have enough work for one dedicated person, it can also feel like a lot of pressure.

And this is where a lot of small businesses and solopreneurs can get stuck.

Because many founders think:
“I just need one marketing person.”

But what they actually need is:

• Strategy

• Branding

• Website support

• Social media

• Content planning

• Design

• Copywriting

• Editing

• Creative direction

• Launch support

• Video work

That is a lot to ask from one person and honestly we've seen things be more obscure and off-the-agreed-upon-track than those listed above in a true start up environment.

Now, to be fair, there absolutely are incredible hybrid employees out there who can wear many hats and support a growing business in amazing ways.

If you find one, hold onto them (and if they have an identical twin please let us know)!

But, most people have a specialty.

Option 2: Hiring an Agency

For many growing businesses, agencies can offer flexibility and breadth that is difficult to get from one single hire.

Instead of hiring a designer, web developer, strategist, video editor, copywriter, social media manager, and project manager separately, an agency often already has those systems and specialties in place.

That can be incredibly helpful when you need momentum, but are not quite ready to build a full internal department.

And contrary to what some people assume, agencies are not only for huge companies.

In fact, many startups, founders, and small businesses lean on agencies specifically because it can feel lower risk while they are still growing.

Especially when business needs are changing quickly.

One month you may need a website.
The next month you may need launch support.
Then branding.
Then social media strategy.
Then content editing.

An agency can often adapt to those shifting needs more easily.

What You’re Actually Paying For With an Agency

When you hire an agency, you are usually paying for more than the deliverable itself.

You are paying for:

• Strategy

• Creative direction

• Specialized skill sets

• Systems

• Project management

• Outside perspective

• Experience across multiple brands and industries

• Speed

• A team that already knows how to work together

A good agency should not just be asking:
“What do you want us to make?”

They should also be helping you think through what makes sense, what your audience needs to understand, what order things should happen in, and what will actually move the business forward.

That is a big difference.

A lot of times, an agency is helping coach the business owner on what to prioritize, what to look for, and how to make smart brand and marketing decisions.

With an in-house employee, that dynamic is often flipped.

You are usually the one training, directing, managing, and helping them understand what success looks like inside your business.

Again, neither is wrong.

It is just a different structure.

The Downside of Working With an Agency

To keep this article fair, we should also talk about the downsides of working with an agency.

An agency is usually not a full-time employee dedicated only to your business. When they are not working on your company, they are supporting other clients too. That is simply the nature of the model.

That also means they are bringing a wide range of experience from different industries, businesses, and projects, which can be incredibly valuable.

But unlike an employee, an agency is also usually not as “moldable.”

A good agency should absolutely listen to feedback, collaborate with your vision, and tailor strategy around your goals. But they also come in with their own systems, processes, and professional experience.

An employee is often someone you train.

An agency is often someone helping guide and support the business.

Those are simply two different dynamics to consider.

A Simple Cost Comparison

Let’s talk about money for a minute, because this is usually where the conversation gets very real.

These numbers can vary wildly based on experience level, location, scope, and quality of work, but here is a general way to think about it.

If you hire in-house, one full-time creative or marketing role can easily become a significant annual investment.

For example, depending on location and experience:

• A web designer or developer may cost anywhere from $70,000–$120,000+ annually

• A social media manager may range from $50,000–$90,000+

• A marketing manager may easily exceed six figures

• A video editor or content creator may range from $60,000–$100,000+

And again, that is before benefits, payroll taxes, software, equipment, recruiting, and management time.

So if you need a website, social media, branding, strategy, editing, and content support, that is usually not one clean hire.

That is multiple roles.

With an agency, businesses are often able to access several of those skill sets together through one project fee or monthly retainer.

For example, an agency may be able to support:

• Website development

• Website maintenance

• Social media management

• Brand strategy

• Video editing

• Content planning

• Launch support

• Creative direction

All under one roof.

Often for much less than hiring an in house team (we don't mean to speak for all agencies, or all use cases, but in most scenarios Malibu Wests services end up being nearly half the amount of the above).

For many growing businesses, it can be a more flexible and lower-risk way to access multiple specialties without building a full department too early.

Why Some Larger Brands Still Use Agencies

It is easy to assume that once a business gets big enough, everything should move in-house.

But that is not always how it works.

Many large brands still work with outside agencies, consultants, production companies, PR firms, and creative partners.

Not because they cannot hire internally.

They absolutely can.

But outside teams can bring fresh perspective, specialized expertise, creative range, and additional capacity during large projects, launches, rebrands, or campaigns.

An internal team may know the brand deeply.

An outside agency may bring entirely new ideas and creative approaches that the internal team would not naturally arrive at on their own.

Both can be valuable.

Option 3: Sometimes the Best Solution Is Both

This is honestly where many businesses eventually land.

A hybrid structure can work incredibly well.

For example:

• An agency helps build the website, branding, systems, launch assets, or strategy

• Then an internal team member maintains and grows it over time

Or:

• A business already has internal staff, but brings in an outside agency for larger builds, creative direction, campaigns, or specialized support

We do this with clients all the time.

Sometimes we act as the team.
Sometimes we work alongside the team.
And sometimes we help build systems and train their internal team on how to maintain them moving forward.

Those are all completely different models, and all of them can work really well depending on the business.

Questions to Ask Yourself Before Deciding

Before deciding between hiring in-house or working with an agency, ask yourself:

• Do I need one specific role or multiple skill sets?

• Do I have enough consistent work for a full-time employee?

• Do I have time to train and manage someone internally?

• Am I looking for execution, strategy, or both?

• Would a project-based build solve my problem right now?

• Do I need flexibility at this stage of business?

• Am I trying to build a team, or do I need a team to help me build?

That last question is a big one.

Because sometimes you are ready to build internally.

And sometimes you need experienced support to help create the foundation first.

So... Which One Should You Choose?

Honestly, it depends on where your business is right now.

If you are early in growth, still refining your offer, building your brand, or trying to get several things done at once, an agency may give you the breadth, structure, and support you need without the pressure of hiring too soon.

If your business is more established, has consistent needs, and you are ready to manage and support someone internally long-term, hiring in-house may be the right next step.

And if you are somewhere in the middle, the best solution may honestly be a combination of both.

At the end of the day, this is not really about choosing the “right” side.

It is about choosing the right support structure for the season your business is in.