Set Up Local Services Ads for Your Business

What Exactly is Local Services Ads?

Local Services Ads is a Google advertising programme designed specifically for businesses that provide services to customers in a defined geographic area.

It is different from standard Google Search Ads in two important ways.

First, the placement. Local Services Ads appear above the standard paid search results — often the very first thing a potential customer sees when searching for a local service. This position is not available through a regular Google Ads account.

Second, the cost model. With standard Google Search Ads, you pay each time someone clicks your ad, regardless of whether they contact you. With Local Services Ads, you pay per verified lead — meaning a phone call or message that Google confirms came through your ad directly.

To run Local Services Ads, Google requires businesses to pass a verification process. Depending on your industry, this may include a background check, licence verification, and insurance review. Once approved, your business receives the Google Guaranteed or Google Screened badge, which appears on your ad and signals to customers that Google has vetted your business.

Local Services Ads are currently available for a wide range of industries including trades, home services, legal, financial, healthcare, cleaning, pet care, and more.

 

How Local Services Ads Works

Step 1 — Eligibility is confirmed. Local Services Ads are not available in every country or for every business type. Your business category, location, and existing Google presence are reviewed to confirm you qualify before the process begins.

Step 2 — A Local Services Ads profile is created. This includes your business name, service categories, service area, hours of operation, and the contact information customers will use to reach you through the ad.

Step 3 — Google’s verification process is completed. Depending on your industry, this involves submitting proof of business insurance, professional licences, and consenting to a background check. Google reviews the submitted documents before your profile goes live.

Step 4 — Your budget and bidding are configured. Local Services Ads operate on a weekly budget, and you set a maximum amount you are willing to spend per lead. These settings are calibrated based on your service area, competition, and the lead volume you are targeting.

Step 5 — Your profile is optimised for lead quality. This includes selecting the correct service types, setting geographic coverage accurately, and ensuring your reviews and response rate are strong enough to compete effectively in the Local Services Ads ranking system.

Step 6 — The account is verified and live. Once Google approves the profile, the ads go live and begin appearing at the top of relevant local searches within your service area.

 

Why Local Services Ads Matter

Most local businesses are competing for the same customers using the same channels — standard Google Search Ads, SEO, and social media. Local Services Ads offer access to a placement that most of their competitors have not claimed.

The position itself creates an advantage. When a potential customer searches for a service you offer, your business appears before every other paid and organic result on the page. The Google Guaranteed badge next to your name signals that your business has been independently vetted, which reduces the hesitation that often prevents a first enquiry.

Because you pay per lead rather than per click, your budget is spent on actual customer contact — not on people who click through and leave without doing anything. For businesses with a clear service offer and a defined service area, this makes Local Services Ads one of the most cost-predictable advertising formats available.

 

Why Most Local Businesses Are Paying for Clicks Instead of Leads

Most business owners running Google ads are paying for clicks. A potential customer searches for a service, clicks the ad, arrives on the website, and then — more often than not — leaves without making contact. The business pays for that interaction regardless.

Local Services Ads change this structure entirely. A click on a Local Services Ad connects the customer directly with the business — a phone call or message is the action, not a website visit. This means the money spent on advertising goes toward actual customer contact rather than website traffic that may or may not convert.

Many businesses are unaware this format exists. Others have heard of it but never completed the verification process, which requires documentation that takes time to gather and submit correctly. As a result, the top of the search results page often remains unclaimed by local competitors — a significant opportunity for businesses willing to complete the setup properly.

 

What We Will Do During Your Local Services Ads Setup

• Confirm your business eligibility for Local Services Ads in your country and industry
• Create and configure your Local Services Ads profile with accurate service categories, service area, and business details
• Manage the Google verification process, including guidance on the required documentation for your industry
• Configure your weekly budget and per-lead bid settings based on your market and lead volume goals
• Optimise your profile for ranking within the Local Services Ads format, including service type selection and geographic coverage
• Connect your profile to your existing Google Business Profile where applicable
• Verify the account is live and ads are appearing correctly in local search results
• Provide a summary of the setup, how your budget works, and how to manage disputes for leads that do not meet quality standards

 

You Need Local Services Ads When

• Your business provides services to customers in a specific city, region, or service area
• You are already running Google Search Ads but have not explored the Local Services Ads format
• You want to appear at the top of Google search results without competing purely on bid price
• Your business is in an eligible category such as trades, home services, legal, financial, cleaning, or healthcare
• You want a more cost-predictable ad format where you pay per lead, not per click
• You have Google reviews in place and want to leverage them to win more enquiries

 

What We Need From You to Set Up Local Services Ads

To complete the verification and setup, the following is required.

• Your business name, address, and contact details
• The services your business offers and the geographic area you cover
• Proof of business insurance (valid and current)
• Any professional licences required in your industry (for example, a trade licence or regulated professional registration)
• Access to your Google Business Profile, or confirmation that one exists
• Consent to Google’s background check process, where applicable to your industry

If you are unsure whether your business qualifies or which documents are required, this can be clarified during a short call before the process begins.

 

When You Should Set Up Local Services Ads

Local Services Ads take longer to go live than standard Google Search Ads because of the verification requirement. Setting up the account and submitting documentation is only the first step — Google then reviews the submission, which can take anywhere from a few days to a few weeks depending on your industry and location.

The best time to start the process is before you need the leads. If you are planning a busy season, a new service launch, or a period of growth, begin the setup well in advance so your profile is verified and live when demand increases.

If you are already running standard Google Search Ads and spending money on clicks, running Local Services Ads in parallel gives you coverage at both the top position and the standard ad position — maximising your visibility across the full search results page.

For businesses that have not yet started any paid advertising, Local Services Ads is often the better starting point than standard Google Search Ads. The pay-per-lead model reduces waste and makes it easier to measure your cost per new customer from the beginning.

 

Frequently Asked Questions

Is my business eligible for Local Services Ads? Eligibility depends on your business type and location. Local Services Ads are available across a wide range of industries including trades, home services, legal, financial, cleaning, childcare, and healthcare, among others. Eligibility by country and category is confirmed before any work begins.

How is the Google Guaranteed badge different from a regular Google ad? The Google Guaranteed badge means your business has passed Google’s verification process — including insurance checks and, in many cases, a background check. For potential customers, this badge acts as a signal of trust that does not appear on standard ads. It is one of the reasons Local Services Ads generate a higher response rate than regular paid search ads for local queries.

What happens if I receive a lead that is not relevant to my business? Local Services Ads include a dispute process. If you receive a call that is clearly outside your service area, for a service you do not offer, or that is otherwise invalid, you can submit a dispute through the platform and Google will review whether the charge should be refunded. This is an important part of managing the account once it is live.

 

Want Your Local Services Ads Set Up Correctly?

The verification process is where most businesses get stuck. Missing documentation, incorrect category selections, and incomplete profiles are common reasons accounts are delayed or rejected during Google’s review.

At 10x Marketing Lab, the setup is handled end-to-end — from confirming eligibility and gathering the required documentation to configuring your budget, optimising your profile, and confirming the ads are live and performing correctly.

You will know exactly what is in place, how your budget is being spent, and how to manage your account once it is running.