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Strategy

How to set up a Google Ads account the right way

At the end of this lesson you have a Google Ads account that exists but does not spend: created without launching the campaign Google builds during signup, billing configured, currency and time zone set correctly the first time, and auto-apply recommendations switched off. Part 1 of a four-part series.

Francisco Contreras

Francisco Contreras · Founder, Machina

15 min read

Abstract glass artwork: a row of fluted glass slats ascending like a bar chart, grading from deep forest green into warm amber and gold, the tallest slat glowing

Key takeaways

  • Creating an account without building a campaign is a supported path, not a workaround. Google's signup documentation states: "At this stage, you also have the option to create an account without a campaign." Google does not publish the link text, and it differs between accounts.
  • Time zone and currency are set once and cannot be changed on a normal account. Google states that "Time zone changes are no longer supported in standard serving accounts", and currency cannot be updated once set. The only fix for either is to abandon the account and start again.
  • Auto-apply recommendations lets Google change live campaigns without asking you. Google documents four categories and two one-click bundles, and publishes no default state for new accounts, so check Campaigns > Recommendations > Auto-apply settings on day one (Google Ads Help, auto-apply recommendations).
  • Quality Score does not buy cheap clicks. Google states that "Quality Score is not an input in the ad auction. It's a diagnostic tool to identify how ads that show for certain keywords affect the user experience."
  • US search advertisers averaged $5.26 per click overall and $7.85 in Home & Home Improvement across 16,446 campaigns running April 2024 to March 2025 (WordStream/LocaliQ 2025 Google Ads Benchmarks; a third-party estimate, not Google data).

What you'll learn

Signing up for Google Ads takes about ten minutes if you follow the path Google lays out. Ten minutes in, a campaign is live: keyword themes suggested by Google, a budget you picked under pressure, no conversion tracking behind any of it, and the meter running. Google built that flow to turn a visitor into an advertiser in one sitting, and it works. Every control you would want is documented somewhere in Google's help center. The wizard sets a dozen of them for you without pausing, and it never says in whose favor. That is the part nobody writes down.

This lesson takes about an hour and spends nothing. At the end you own an account that exists and does not serve: billing configured, the two permanent settings set correctly, Google's automation switched off, and no campaign live. A plumber in Hollister who takes the fast path can end up paying for clicks on searches like "plumber salary" and "how to fix a leak yourself", because keywords typed without punctuation default to broad match and the wizard never raises it. An hour now is the cheapest hour in the whole course.

What you’ll learn

  • Create a Google Ads account without launching the campaign Google offers to build for you.
  • Read a search ad and a search auction well enough to know what you are buying.
  • Set billing country, time zone and currency on the one screen where two of the three are permanent.
  • Turn off auto-apply recommendations so Google cannot change your account without your review.
  • Recognize the emails, calls and prompts that arrive after signup, and know which ones need an answer.

About 60 minutes · $0 — nothing in this lesson spends money

How Google Ads actually works

Google Ads runs an auction every time someone searches. You tell Google which searches you want to compete for and the most you will pay for a click. When a matching search happens, Google decides which ads are eligible and in what order they appear. You pay when someone clicks. You pay nothing when your ad appears and gets ignored.

Position does not go to the highest bidder. Google calls the ordering number Ad Rank, and its documentation on Ad Rank lists the inputs: your bid amount, the quality of your ads and landing page, the Ad Rank thresholds, the competitiveness of the auction, the context of the person's search, and the expected impact of assets and other ad formats. Google runs that calculation twice per auction, first to decide whether your ad is eligible to show at all, and again to rank it against the other eligible ads.

That produces the one sentence worth memorizing, and it is Google's own: "even if your competition has higher bids than yours, you can still win a higher position at a lower price by using highly relevant keywords and ads." A one-truck shop with a tight account competes against a franchise in the same town on those terms.

One correction before the demo, because most articles on this subject get it wrong. Quality Score is a 1-10 diagnostic reported per keyword, built from three components Google defines as expected clickthrough rate, ad relevance and landing page experience. Google then states outright that "Quality Score is not an input in the ad auction. It's a diagnostic tool to identify how ads that show for certain keywords affect the user experience." Read a low component score as a place to fix a headline or a landing page. Chasing the number itself buys nothing.

The auction, simplified

Your ad shows in position 1 and you pay about $5.26 per click.

PositionAdvertiserBidAd qualityAd Rank
1Your businessYou$6.00848.0
2Two Rivers Rooter$7.00642.0
3Harbor Line Plumbing$4.50940.5
4Redwood Row Plumbing$9.00436.0

This is a simplification. Google multiplies nothing so tidy: the real auction weighs your bid, the quality of your ads and landing page, the Ad Rank thresholds, how competitive the auction is, the context of the search, and the expected impact of your assets, then runs the whole calculation twice for every search. The "ad quality" slider here stands for that bundle. It is not Quality Score, which Google describes as a diagnostic tool and not an input in the ad auction.

Move the sliders. The bid is what you are willing to pay for a click; ad quality stands in for how well your ad and landing page answer the search. All four businesses are fictional.

That is the machinery. Your customer sees a short block of text at the top of the results page, and every line of it is either something you wrote or something you left blank.

google.com/search?q=emergency+plumber

Sponsored

Alder Creek Plumbingaldercreekplumbing.example

Emergency Plumber Near You | Same-Day Drain Service

Licensed and insured local plumbers. Drains, water heaters, leak repair. Free estimates on replacements, and we answer the phone on weekends.

  • Drain Cleaning
  • Water Heaters
  • Emergency Service
  • Service Area

Call (831) 555-0142

  1. 1Sponsored. Google's label for a paid result, in bold black on its own line. Any tutorial showing a small green "Ad" badge was written before 2022.
  2. 2Business name and display URL. These come from your account and your final URL, not from the ad text you write.
  3. 3Headlines. You supply up to 15 of them at 30 characters each, and Google assembles the combination it shows. Google states that a minimum of one headline and one description will be selected, so no set of three is guaranteed.
  4. 4Description. Built from up to 4 descriptions of up to 90 characters each. You write them; Google picks and orders them.
  5. 5Sitelink assets. Links to specific pages of your site. Google calls these assets now; any tutorial still saying "ad extensions" predates the rename.
  6. 6Call asset. The number has to appear as selectable text on the landing page, not baked into a logo image, or the asset gets disapproved.
Alder Creek Plumbing is fictional, and so is the phone number. The word Sponsored replaced the old "Ad" badge, and Google now groups text ads under a single "Sponsored results" heading with a control that collapses them. Shown as of July 2026.Recreated interface — not a screenshot. Google's design changes; details may differ.

Before you begin

Gather these before you open the signup page. Stopping halfway through billing to hunt for a card number is how the wrong time zone gets selected.

  • A Google account. Google Ads signs you in with an ordinary Gmail or Workspace account. There is no separate Google Ads credential. Use an address the business controls rather than a personal one you might lose access to.
  • A working website, even if it is one page. The click has to land somewhere you own and can change. A page with your services, your service area and your phone number in selectable text clears the bar; if you do not have one yet, that is a web development job before it is an advertising job.
  • Your business name, billing address and a payment method. Google's signup documentation lists credit or debit card, PayPal, or bank account. Prepaid cards are not accepted for automatic payments, which is the only payment setting available to US advertisers.
  • Business registration documents and a government ID, somewhere you can find them. You do not need them today. Google states that all advertisers will eventually be required to complete advertiser verification, and it gives you a deadline when it asks.
  • About an hour, uninterrupted. One screen in this flow cannot be corrected later, and it arrives while you are thinking about payment details.

Create your account, step by step

  1. 1

    Go to ads.google.com

    Sign in with the Google account that should own this advertising account. Whichever account you use here controls billing later, so pick one that more than one person at the business can reach.
  2. 2

    Start a new account

    Click the page's primary button to begin. It is usually labeled Start now. Google routes new advertisers into a guided setup that builds a campaign before you have seen the dashboard: business name, then where clicks should go, then a goal, then keyword themes, then a budget, then payment. None of that is required to have an account.
ads.google.com

What's your main advertising goal?

Get more callsDrive calls to your business from people searching on Google.
Next
Create an account without a campaign
The fork in the road. Google's signup documentation confirms the option exists: "At this stage, you also have the option to create an account without a campaign." Google does not publish the link text, and it differs between accounts. Look low on the screen, outside the main button cluster, for a small text link along the lines of "Create an account without a campaign", "Skip campaign creation" or "Switch to Expert Mode". Screen shown as of July 2026.Recreated interface — not a screenshot. Google's design changes; details may differ.
  1. 3

    Enter your business name

    Use the name customers know you by and the name on your invoices. It appears on your ads as the business name line.
  2. 4

    Optional: Link your Google Business Profile

    Google offers this during signup and it is optional. Linking it now saves work later, because location assets in your ads read from that profile. Skip it if the profile is not verified yet.
  3. 5

    Select your billing country

    Google's instruction is to select the country or territory where your billing address is located. Your billing country determines which payment options you are offered, and it is tied to your payments profile. Treat it as permanent.
  4. 6

    Select your time zone

    Google's own wording on this screen is "Make sure the correct time zone is selected", because your reports, statistics and billing are all affected by it. A business on the Central Coast wants (GMT-08:00) Pacific Time. A wrong time zone shifts every daily number you will ever read.
  5. 7

    Select your currency

    Currency determines how you are billed and cannot be updated afterward. A US business wants USD.
ads.google.com
Billing countryUnited StatesPermanent
Time zone(GMT-08:00) Pacific TimePermanent
CurrencyUSD — US DollarPermanent
Account typeBusiness
Business addressHollister, CA 95023

Time zone and currency cannot be changed on a normal Google Ads account. Google states that time zone changes are no longer supported in standard serving accounts, and that currency cannot be updated once set. Billing country drives which payment options you are offered and is tied to your payments profile; Google publishes no blanket rule against changing it, so treat it as permanent and get it right here.

The most expensive screen in the whole signup, and it looks like paperwork. Field names and options as documented in July 2026.Recreated interface — not a screenshot. Google's design changes; details may differ.
  1. 8

    Create or select your payments profile

    A Google payments profile holds the legal business identity, address and tax details, and it is shared across Google services. If you already have one from another Google product, Google offers it here.
  2. 9

    Choose Business rather than Individual

    If you are a registered business, choose Business. The profile type drives tax treatment and what appears on your invoices, and it is awkward to change later.
  3. 10

    Add a payment method

    Enter a credit card, debit card, bank account or PayPal account. Prepaid cards are not accepted for automatic payments. Adding a backup method keeps ads running if the primary one fails.
  4. 11

    Optional: Enter a promotional code

    Google's signup flow has an Introductory offer field for a promotional code. New-advertiser offers work as a spend match: you spend your own money inside a qualifying period stated in the offer terms, and Google applies a matching credit against future ad costs. It is a credit toward later ads, not cash, and not a discount on your first dollar.
  5. 12

    Submit your details

    Your account exists once Google accepts the billing information. Sign out and back in, and you land on the dashboard rather than the setup wizard. Nothing is serving and your cost reads $0.00.

Turn off the settings that spend for you

Auto-apply recommendations lets Google make changes to your account without asking first. Google groups them into four categories: Ads and assets, Bidding, Keywords and targeting, and Measurement. The same screen offers two one-click bundles named "Maintain your ads" and "Grow your business", and the second one can hand over your bidding strategy and your keyword expansion in a single click. Google documents how to switch the feature on and off at any time but publishes no default state for new accounts, so check it on day one rather than assume it is off.

A large account with a media team can afford to let an algorithm try things. A three-person business running a $600 monthly budget cannot: one broad-match expansion applied on a Tuesday can eat a week of budget before anyone opens the account. You want judgment on those changes, which means you want to see them before they happen.

ads.google.com
  1. Campaigns
  2. Recommendations
  3. Auto-apply settings

Navigation lives in the left-hand menu, organized into five categories: Campaigns, Goals, Tools, Billing and Admin. Account-level preferences sit under Admin > Account settings.

The path, current as of July 2026. Google finished retiring the old design in 2024, so any tutorial that tells you to click a wrench or a gear icon is describing an interface that no longer exists.Recreated interface — not a screenshot. Google's design changes; details may differ.
ads.google.com

Auto-apply settings

  • Ads and assetsRecommendations that change the text and assets in your live ads.Off
  • BiddingRecommendations that change your bidding strategy and its targets.Off
  • Keywords and targetingRecommendations that add keywords and widen who your ads reach.Off
  • MeasurementRecommendations that change how your conversions are counted.Off
Every switch off is the state you want on day one. Category names as Google documents them; the control renders as a checkbox in some accounts and a switch in others.Recreated interface — not a screenshot. Google's design changes; details may differ.
  1. 1

    In your Google Ads account, click Campaigns in the left menu

    The left menu is the only navigation in the current design.
  2. 2

    Click Recommendations

    The Recommendations page is where Google proposes changes and where the auto-apply controls live.
  3. 3

    Click Auto-apply settings

    This opens the settings page listing recommendation types grouped by category.
  4. 4

    Clear the checkbox for every recommendation you do not want applied automatically

    For a new account, that is all of them. You are not refusing the advice, only refusing to have it applied while you are on a roof.
  5. 5

    Click Save

    The page reloads with no recommendation types selected. That is the state you want before you build anything.
  6. 6

    Switch off anything already running

    Open Auto-apply settings, select the History tab, select the recommendation, and select Disable. A red dot appears next to auto-applied recommendations you have turned off, which is how you confirm the change stuck.

What Google does after you sign up

Creating an account puts you on a list. Email starts within days, and if you gave a phone number, so do the calls from someone introduced as a Google Ads specialist. None of it is a trap, and all of it is easier to handle once you know what it is.

The call is a sales call. The person has a script and a set of features to promote, and the pitch lands on the same three items: raise the budget, open up your keyword matching, and try Performance Max. Some of that is right for some accounts at some point. None of it can be evaluated in an account with no conversion data, which is the account you have today. You do not owe anyone a debate. "I am not making changes this quarter" ends the call.

The same pressure arrives in a quieter form inside the product. The Recommendations page stacks cards proposing changes, each carrying an estimated lift to your optimization score, and the cards are persuasive because they are specific. Read what the score measures before you chase it. It grades adoption of Google's recommended settings, not profit. A perfect score on an account that generates no calls is a perfect score on nothing.

Not all of the mail is sales, and the difference matters. Policy notices, disapproval warnings and advertiser verification requests arrive on the same channel as the upsells, and those you act on the day they land. Read the subject line before you filter the sender.

The habit worth building in week one is the one that survives the whole program: change your account on your own schedule, from your own numbers. Everything Google sends you is information about what Google would like you to do. That is useful information. It is not a work order. When we take over an account through our Google Ads work, the first month is usually spent undoing changes nobody chose.

The words you'll see everywhere

Google Ads nests four levels, and the level a setting lives on tells you how much damage it can do. Money and the permanent settings sit at the account level. Budget, locations and schedule sit at the campaign level. Keywords and the ads that answer them sit together in an ad group. Learn the hierarchy and the vocabulary at the same time, because the vocabulary has moved: what older tutorials call ad extensions are now assets, expanded text ads were switched off in 2022, and the wrench icon those articles tell you to click was retired when Google finished replacing the old design in 2024.

Four levels, and each one owns different decisions. A budget change is a campaign decision. A currency mistake is an account you have to abandon.
Keyword
What you tell Google you want to match. You choose your keywords, and how loosely they match is a setting you control.
Search term
What a person typed into Google. Search terms and keywords are different things, and the gap between them is where wasted spend lives.
Impression
One appearance of your ad on a results page. Impressions cost nothing.
Click
One person choosing your ad and landing on your site. Clicks are what you pay for.
CPC
Cost per click. Your maximum CPC is a ceiling rather than a price, and the auction usually charges less than the ceiling.
Conversion
The outcome you wanted: a form submitted, a call placed, a quote requested. You define what counts. Lesson 2 sets it up.
Campaign
The container that holds a budget, a location target and a schedule. Most small accounts need very few of them.
Ad group
A set of keywords inside a campaign, together with the ads written to answer them. One service per ad group keeps the ads relevant.
Quality Score
A 1-10 diagnostic reported per keyword, built from expected clickthrough rate, ad relevance and landing page experience. Google states it is not an input in the ad auction.
Budget
An average daily amount you set per campaign. Daily spend can run above it on a given day, held to a monthly cap.

Check your work

Your account is set up correctly when all of these are true

Lesson 2 installs conversion tracking, and it comes before your first campaign for a reason worth stating plainly: without it, every number in the account describes traffic rather than business. Clicks are not customers. For a contractor the conversion is a phone call, and the phone call has to be recorded in the account before Google can learn anything from it or before you can tell a good week from an expensive one. Our GA4 foundations article covers the same discipline on the analytics side, and the two setups share a tag. Build them in that order and the campaign in Lesson 3 has something to answer to.

Next in the series

Part 2: Conversion tracking before you spend

Google Ads for small business, part 2 of 4. Coming soon.

FAQ

Frequently asked questions

How much does Google Ads cost for a small business?

Google sets no minimum spend and no contract, so the cost is whatever you budget plus the price of the clicks you win. For scale, WordStream and LocaliQ's 2025 Google Ads Benchmarks report, covering 16,446 US search campaigns running April 2024 to March 2025, puts the overall average cost per click at $5.26 and the Home & Home Improvement average at $7.85 with a $90.92 average cost per lead. Those are third-party aggregates, not Google figures and not a quote. Work out your own floor: take your category's cost per lead and multiply by the number of leads a month you would need to judge whether it works.

Do I need a website to run Google Ads?

You need somewhere the click lands that you control and can change. Google evaluates landing page experience as part of ad quality, so the destination affects both what you pay and whether you show. One well-built page with your services, service area and phone number in selectable text is enough to start. A social profile or a listing page you cannot edit is not, because you cannot fix what the ad promises when the numbers tell you to.

Should I use the campaign Google builds during signup?

No, not as your first campaign. The guided flow picks keyword themes for you, asks for a budget before you have any data to size it with, and launches without conversion tracking, which means nothing in the account can tell you whether the money worked. Google's own documentation confirms you can create an account without a campaign. If your signup shows no skip link, finish the wizard at the smallest budget offered and pause the campaign from the dashboard immediately. Then build one deliberately.

Can I change my currency or time zone later?

No. Google states that "Time zone changes are no longer supported in standard serving accounts", and currency cannot be updated once set because it determines how you are billed. Manager accounts have one narrow exception, a single reset that only moves eastward, and it does not apply to a standard account. The only remedy for either mistake is creating a new account and losing the history the old one built. That is why this screen deserves a second read during signup.

When do I actually start paying?

After your ads run, not before. Google states that you are "automatically charged after your ads run, either on the first day of each month or when you reach a preset amount (known as your threshold), whichever comes first." Your threshold starts low, around $50, and rises as Google charges you successfully, so several small charges in the first month is normal rather than a billing error. Completing this lesson costs nothing, because an account with no campaign serving accrues no cost.

Sources

  1. Google Ads Help — sign up for Google Ads: business information, campaign goals and budget, payment details, and the option to create an account without a campaign
  2. Google Ads Help — time zone settings: "Time zone changes are no longer supported in standard serving accounts", plus the single eastward manager-account reset
  3. Google Ads Help — language, number format, time zone and currency settings: currency cannot be updated once set
  4. Google Ads Help — about Ad Rank: the component list, the two calculations per auction, and winning "a higher position at a lower price"
  5. Google Ads Help — about Quality Score: the three components, and "Quality Score is not an input in the ad auction"
  6. Google Ads Help — how you are charged: automatic payments, manual-payment country exclusions including the United States, and accepted payment methods
  7. Google Ads Help — payment thresholds and how they increase
  8. Google Ads Help — turn auto-apply recommendations on or off: the Recommendations path, the History tab, Disable, and the red-dot indicator
  9. Google Ads Help — about auto-apply recommendations: the four categories and the "Maintain your ads" and "Grow your business" bundles
  10. Google Ads Help — navigate the Google Ads interface: the five-category left menu and Admin > Account settings
  11. Google Ads Help — the redesigned Google Ads experience: the old design was sunset starting August 30, 2024
  12. Google Ads Policy Help — advertiser verification: "All advertisers will eventually be required to complete advertiser verification", per-account deadlines, and account pausing
  13. Google — "Sponsored results" label and the control that hides text ads on the search results page, The Keyword blog
  14. WordStream / LocaliQ, 2025 Google Ads Benchmarks — 16,446 US search campaigns, April 1, 2024 to March 31, 2025; third-party estimate, not Google data

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