You’re Not Starving—You’re Just Mismanaging
Why profitable work still loses money, and what high-performing agencies do differently
Finding profitability can be trickier than it looks.
You can have a full client roster, money flowing in, and still somehow feel like you're falling behind. If you run an agency or work in any service business, you’ve probably been there: the team is working overtime, invoices are going out, and yet the profit just doesn’t show up. WTF?
More often than not, it’s not about too little work. It’s about too little visibility. Somewhere between pricing, scoping, and delivery, the margin disappears—and by the time you notice, it's already too late.
Even with nearly two decades in our business, we still occasionally get skunked. We recently scoped a design and development project for an e-commerce brand—great client, aligned on values, a real partnership. We estimated a clean three-month build, priced accordingly, and jumped in. But as the work unfolded, new considerations emerged: functionality they hadn’t fully defined, systems they weren’t aware they’d need, layers of decision-making they hadn’t anticipated. None of it was malicious or even difficult—just unknowns that slowly, quietly stacked up.
Now, seven months later, we’re still engaged. The site is nearly done and looks fantastic. The relationship is strong. But what started as a high-margin project will, at best, break even. And at worst… won’t. This wasn’t a failure in execution, per sé—it was a failure in foresight, the kind that sneaks in when assumptions go unchallenged and operational systems aren’t built to catch the drift.
This week’s guest has built his entire business on helping teams avoid exactly this. Eggs! The Podcast guest and founder and CEO of Parakeeto, Marcel Petitpas, helps digital and creative agencies improve their profitability, not by selling harder or working longer, but by building more intelligent systems to measure delivery margin, utilization, and the real cost of work. If you’ve ever looked at your P&L and wondered, “Where did all the money go?”—this one’s for you.
Meet the Guy Who Fixes Broken Agency Economics
Marcel Petitpas doesn’t just know the numbers—he knows why they matter. As the founder and CEO of Parakeeto, he’s made it his mission to help creative and digital agencies stop guessing and start measuring what actually drives profitability. And it’s not just revenue. It’s delivery margin, utilization, and the hidden inefficiencies that silently erode your bottom line.
Before launching Parakeeto, Marcel ran an agency himself and experienced firsthand how easily profit gets eaten up by scope creep, unclear resourcing, or simply not knowing which projects are truly working. Pair that with a partner who ran a large custom software shop, and together they realized agencies—and service companies more broadly—were wrestling with the same invisible problems. The solution wasn’t another time-tracking tool—it was a framework for making smart decisions, fast.
Today, Marcel and his team work with agencies around the world to build those systems—giving owners and operators a clear line of sight into which clients are profitable, which projects are draining resources, and how to make better decisions with confidence. If you’ve ever found yourself wondering why growth doesn’t always feel like success, Marcel’s the guy who can show you why.
Data to Decisions: Insights That Improve the Bottom Line
Marcel has a way of cutting through the noise. No fluff, no jargon—just clear, practical guidance on how to run a more profitable agency. Below are some of the standout moments from our conversation, each paired with an insight you can apply immediately.
"You’re not starving. You’re mismanaging. Agencies think they need more revenue, but what they really need is better margins."
The Insight: Before chasing more clients, look inward. Fixing the delivery margin often has a bigger impact than adding new business.
"The problem isn’t the price. It’s the disconnect between price and scope. That gap is where your profit goes to die."
The Insight: Scope creep is a silent killer. Nail down the scope with as much rigor as you do pricing—or better yet, price to absorb the risk.
"Delivery margin is the most important metric in your agency. If that’s broken, nothing else works."
The Insight: Track the cost of delivery before you look at profit and loss. It’s your early warning system.
"The shift to value-based pricing makes sense—but only if you keep tracking your costs. Value doesn’t erase expense."
The Insight: Value-based pricing without cost tracking is wishful thinking. Know your cost structure, even if the client doesn’t.
"Time tracking isn’t about control. It’s about protecting your team from burnout and your business from bad assumptions."
The Insight: Reframe time tracking as a safeguard, not a surveillance tool. It helps spot problems early, before people get overloaded.
Profitability doesn’t come from Luck—It comes from Systems
The difference between a growing agency that thrives and one that burns out isn’t hustle—it’s visibility. Marcel’s work is a reminder that margin isn’t just a financial number; it’s a reflection of your decisions, your systems, and your willingness to confront the operational truth.
There’s freedom in knowing the numbers. When you understand where your time, money, and people are actually going, you don’t have to guess your way to profitability. You can design for it. And that, more than any big win or dream client, is what makes growth sustainable.
Thanks for reading,
—Ryan
Ready for more?
Catch Marcel Petipas’s interview in its entirety on Eggs! The Podcast.
Don’t miss a show! Subscribe on Spotify, Apple Podcasts, or really anywhere great podcasts are found.
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Reading list
If you're looking to dive deeper into the ideas discussed in this piece, here are some recommended books and resources that align with Kyle McDowell's principles:
The Business of Expertise by David C. Baker
Why positioning is the foundation of profitability—and how to stop being a generalist. A must-read for any agency owner trying to narrow focus and increase value.Pricing Creativity by Blair Enns
A tactical guide to value-based pricing, written for creatives. Full of real-world scenarios, pricing models, and hard truths about charging what you're worth.
More to explore
Marcel Petitpas
Website: Parakeeto
LinkedIn: Marcel Petitpas
Work with me
Ryan Roghaar - Fractional CMO/Creative Director/Art Director: https://rogha.ar/portfolio
R2 - Creative Services for Agencies and SMBs: https://www.r2mg.com
Eggs! The Podcast: https://www.eggscast.com
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