Monday, April 17, 2017

Facebook Ad Credits

As a company with a $400bn+ market cap and stock performance that is 2X+ the Nasdaq since IPO, it would be easy to think that FB has lost its connection to the dorm room startups like FB was in the early days.  However it is clear that FB is a very strong proponent of entrepreneurship, one example being its Ad Credit policy for employees.  Facebook gives its employees a set amount of ad credits each month that they can gift to small businesses looking to grow but don't have the ability to afford credits of its own.  As we know, FB ads can be incredibly effective at targeting a specific user and converting sales.  For a company in its infancy, this is critical to maintain positive cash-flow.  But this is not just a nice gesture for FB employees and startups.  Obviously, the more successful small businesses that owe a part of their success to FB, the more long-term purchases of ad credits for FB!

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