How to Set Up Your Facebook Ad Account and Start Advertising

Oct 20, 2021
Dec 7, 2020
17 mins
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How to Set Up Your Facebook Ad Account and Start Advertising

Would you like to advertise your business or organization on Facebook? Learn how to set up a Facebook ad account and launch your first ad campaign.

Do you want to start promoting your brand on Facebook?

Excellent choice!

Facebook is nowadays undoubtedly the most popular social media platform and one of the biggest advertising platforms out there.

Feel like you don’t know where to start?

We’ve got you covered!

We’re going to provide you with a comprehensive guide that includes all you need to know to set up your Facebook advertising account, launch your first advertising campaign, and even troubleshoot any issues you may encounter.

But before we start talking about an ad account, you need to set up a Facebook Business Manager account, and we’ll tell you why.

What is Facebook Business Manager?

Facebook Business Manager is a free tool used to manage all your Facebook business assets: ad accounts, business pages, Instagram account, and Meta pixel.

If you have a team working on your Facebook assets together, you can manage everyone’s permissions using your own Business Manager.

There are two kinds of permissions you can grant in the Business Manager: admin access and employee access.

Employees can only view settings for the business and be assigned to assets. However, admins can also add and remove employees and partners, change settings for the business, and add assets.

Moreover, if you hire an agency or a media buyer to manage your Facebook ads, you can grant them access to your Business Manager account so they can have all the permissions they need.

If you wish to learn more about all the various capabilities of the Facebook Business Manager, you can read our article.

Note that to create a Facebook Business Manager account you must have a personal profile on Facebook.

How to create a Business Manager account?

  1. Navigate to and click “Create Business” (what used to be “Create Account”).
  2. In the pop-up screen, cautiously enter the correct business name because this name will show up when you roll out ads.
  3. Next, enter the email address of the business to receive updates about your Facebook Business Manager.
  4. After that, it’s time to enter your business details, such as your address and website.
  5. Once you have done that, go to the email address you had earlier entered and confirm the email address to complete the initial setup.

Now, if you want to start running ad campaigns on Facebook, which is what we’re here for, you need to connect your Facebook page to the Business Manager.

How to add Facebook pages to Business Manager

  1. Go to the Business Manager and click on “Business Settings” with the gear icon on the left-side menu.
  2. On the menu to the left, under “Accounts”, select “Pages”.
  3. Enter the URL of the relevant Facebook page to which you have admin rights and click “Add”.
Add a Facebook Page to the Business Manager

That wasn’t too hard, right?

And here we are at the part you wanted to reach - creating and setting up your Facebook ad account!

How to create a new ad account on Facebook Business Manager

  1. Navigate to Business Settings on the left-hand side panel of the Business Manager.
  2. Click “Ad Accounts” under the “Accounts” tab on the menu to the left.
  3. Click the blue “Add” button to open the dropdown menu.
  4. Select “Create a new ad account”. Alternatively, at this stage, you can choose to “Add an Ad Account” or “Request Access to an Ad Account” using the ad account ID, as long as no other Business Manager has ownership of this account.
  5. Name your new account, and then select your time zone, currency, and payment method. Pay close attention when selecting your billing currency and time zone, as you will not be able to change them once you’ve created your ad account. If you change any of these two parameters, you’ll need to create a new account.
  6. Select whether you want to use this ad account for your own business or another business or client. Then, click “Create”.
Create a new Facebook ad account - select time zone and currency
Create a new Facebook ad account - select business

Congratulations! You have a brand new Facebook advertising account!

How to set up your Facebook ad account

Before you can launch your first Facebook campaign, you need to set up your ad account, which includes adding a payment method. However, you only need to do it once, unless you want to change it or create a new account.

Let’s learn how to do this and what else you can do to set up your advertising account in the most convenient way for you.

#1 How to add a new payment method to your Facebook ad account

  1. Enter your Facebook Ad Account Settings and select “Payment Settings”. Here you can add a new payment method, edit your existing methods, set your spending limit, and view your next bill.
  2. In your Payment Settings, click on “Add Payment Method”.
  3. Select the method you’d like to add: Credit or Debit Card, PayPal, Bank account (in supported countries), Facebook Ad Credit (if you have any), or local manual payment methods (in supported countries and currencies).
  4. Fill in the necessary information.
  5. Click “Next”.
Add payment method to your Facebook ad account
Pro Tip: Add at least one secondary payment method!
Why? If you only have one payment method set up in your account and it fails for some reason - credit card blocked, expired, reached the monthly limit, etc. - all your campaigns will automatically stop running until you settle your balance. This can be a very big issue if you’re running multiple campaigns with high spending or promoting a big sale, such as a Black Friday/Cyber Monday sale for instance. Moreover, this will harm the learning done on your campaigns and might hinder their performance even after you restart them. However, if you have at least one valid secondary payment method in your account, Facebook will automatically start billing it in case your primary method fails. This way, you can maintain your Facebook advertising activity.

#2 How to edit payment methods

Once you’ve set up your payment methods, you can edit your payment options and select which one will be your primary method. Note that you can not delete your primary method. Hence, you must make another payment option your primary one before deleting a primary method.

#3 What is the billing threshold?

Facebook will bill your account every time you reach your billing threshold and at the end of your monthly billing period for any leftover costs.

Your billing threshold is usually automatically set to $25 in the beginning. Then, it will be automatically raised to $50, $250, $500, and finally, $750 as you keep spending and your payments are correctly processed.

The billing threshold does not affect your Facebook ad campaigns, of course. It just determines when you will be charged. The higher your threshold, the fewer invoices you’ll need to deal with. You can also manage your billing threshold from the Facebook Ads Manager.

#4 How to set Facebook ads spending limit

Facebook allows you to avoid overspending by setting an account spending limit. Once you reach this limit, all your ads will automatically pause and you won’t be charged anymore until you increase or remove the limit.

This is especially useful if you have an agency or a media buyer who manages your account for you and you’ve given them a limited budget. However, you don’t want to set this limit too low, or you’d need to update it very often.

Furthermore, every time you hit the limit, your ads will be paused for at least 15 minutes. This may be especially disadvantageous if you’re promoting a big sale or a time-sensitive offer.

To set your account spending limit, just go to "Payment Settings" and click “Set Your Account Spending Limit” (In the section below “Payment Methods”). Then, enter the desired amount and click “Set Limit”.

Set Facebook ad account spending limit

Note: Facebook ad account limits

It’s important to know Facebook’s limits that are related to your ad account, even though you won’t reach any of them at first.

  • Depending on your business account, you will be limited to a certain number of Facebook ad accounts.
  • Your ad account can have up to 25 associated admins, advertisers, or analysts.
  • You can have up to 5,000 campaigns that aren’t deleted.
  • You're allowed to have up to 5,000 ad sets that aren’t deleted.
  • You can have up to 50 ads that aren’t deleted in each ad set.
  • You're allowed to have up to 5,000 ads that aren’t deleted. Only 1,000 of these 5,000 ads can use Dynamic Creative.

But, if you’ve reached any of these limits, all you have to do is delete some of your old campaigns and you’ll be able to relaunch new ones. Your deleted assets will be archived, and you’re allowed to archive up to 100,000 assets.If you have a big business and you spend a lot on Facebook ads, you can request to have an assigned Facebook Account Manager. In this case, your limits will be much higher.

#5 Notification settings

As a Facebook advertiser, you want to be notified of everything that’s going on in your account, right?

Nevertheless, you don’t want to flood your email with Facebook notifications. So, you better set your Facebook ad account email notification frequency to fit your needs.

How to set your Facebook ad account notifications

  1. In the Business Manager, go to “Business Settings”.
  2. On the left-side menu, select “Notifications”.
  3. Tick all the events you wish to be notified of via email and/or Facebook push notifications (toggle the button next to “Business Manager”).
Ad account notification settings

#6 Add people and set permissions

The last thing we’re going to discuss before launching your first campaigns is adding people to your ad account and granting them the necessary permissions.

This is very useful if you have other team members working on your ad account. It allows you to grant every team member the access they need for effective collaboration.

In the past, Facebook has defined three possible ad account roles: admin, advertiser, or analyst. Analysts could only see ad account reports. Advertisers could also create and edit ads. Admins were able to manage Facebook ad account settings, payment methods, and account spending limits, add people and assign ad account roles.

However, nowadays you can set specific permissions for each user added to your account.

How to set permissions to users in your Facebook ad account

  1. In the Business Manager, go to Business Settings and select “Ad Accounts” on the menu to your left.
  2. On this screen, you can add new users to your ad account and edit the permissions of those who are already associated with your account. Click “Add People” to add new users and set their permissions.
  3. Once you’ve selected a user, you can assign them the following permissions: Manage Campaigns, View Performance, Manage Creative Hub Mockups, or Manage Ad Account (Admin Access).
  4. Click “Assign” to add the user with the assigned permissions.
Add people and set permissions

That’s it - you’re ready to launch your first Facebook ad campaign!

How to create Facebook ads

The tool which will help you launch and manage your ads is the Facebook Ads Manager.

It allows you to create Facebook ad campaigns, manage your bids, select target audiences, optimize your campaigns, monitor performance, and A/B test your campaigns. You can easily access your Facebook Ad Manager from the Business Manager using the left-side menu.

Now let's learn how to set up Facebook ads in the Ads Manager.

1. Create a new Facebook ad campaign

In the Facebook Ads Manager, go to the “Campaigns” tab, and click on the green “Create” button.

Create your first facebook ad campaign

2. Select your campaign objective

You should select your campaign objective according to your business goals.

The available objectives are Brand Awareness, Reach, Traffic, Engagement, App Installs, Video Views, Lead Generation, Messages, Conversions, Catalog Sales, and Store Traffic.

This selection will affect your available ad formats and bidding options.

For now, as you have no data and no Meta pixel on your website yet, we can start with “Brand Awareness” or “Reach”. However, after you gather enough data, we recommend selecting “Conversions” as your campaign objective.

Select campaign objective

3. Name your campaign

Next, you should select a name for your campaign. It is very important to give it an indicative name for efficient reporting, especially if you plan on launching multiple campaigns in the future.

Your campaign name can include your target audience and location, your creative type, the date range in which it will be running, etc. If you advertise for a client, it’s also important to include their name there, of course.

Having a well-defined method for campaign naming is crucial and will save you time and effort later on.

4. Set up your budget and bidding

Facebook lets you select between two different methods to define your campaign budget:

  • Daily budget: Facebook will spend this sum on average on your campaign every day. To get better results for you, Facebook might spend about 25% more than your defined daily budget when it spots high-potential opportunities. However, it will spend less on low-potential days.
  • Lifetime budget: This means that you also have to define specific dates for the campaign, as Facebook will divide this budget more or less equally within this time frame.

For a start, it’s best to define a daily budget and run your campaign continuously without an end date so you can have more control over it.

Furthermore, instead of setting your budget at the campaign level and selecting campaign budget optimization (CBO), you can also set up your budget on the ad-set level (ABO) if you want.

Set your campaign budget

Automatic vs. manual bidding

Regarding bidding, it is recommended to start with automatic, which is the default option. This tells Facebook to make sure you spend all your budget and find the bids with the lowest cost per conversion. It's best to stick to automatic bidding until you understand the benchmarks for your objective costs.

Afterward, and especially if you want to scale your account, you can optimize your bids manually. By setting Cost Control using cost or bid cap, you can tell Facebook exactly how much you're willing to spend per bid. This can drive more conversions compared to automatic bidding, but the costs might be higher as well.

The difference between cost and bid cap is the flexibility. A cost cap sets a flexible limit on your bids, which means that Facebook is allowed to slightly exceed the limit you set in order to get you more conversions, as long as your average bid value remains around your cost cap. However, a bid cap is much more strict, and Facebook may not exceed it at all.

Bidding method

An efficient manually bidding strategy may drive better overall results than automatic bidding, so you should try it once you accumulate enough data. Madgicx's Bid Optimization tool can help you set up the perfect bid testing experiment and find the best bids for your top-performing ad sets.

How much will your ads cost?
Now you can easily calculate the cost of your next campaign with the FREE Facebook Ad Cost Calculator!
Just type in your revenue goal, product price, CPM, CTR, and CPA, and the calculator will tell you how much you should spend.

5. Schedule your Facebook ad set

After you've set up your budget and bidding method, you'll need to select your Facebook ads start date. This is done at the ad-set level and may differ between ad sets within the same campaign.

If you have a time-sensitive offer, like a Black Friday sale, you can even set an end date. Facebook even allows you to set the exact time on which your Facebook ad set will start and finish.

The default Facebook ads start date is immediate. So, don't forget to change it if your offer is not yet relevant or if you have any other reason to start it later.

For instance, if you are managing a client's account, you may need to wait for their approval before you launch the ad set. Alternatively, if your target audience is in a different time zone than you, you may want to adjust the start date and time.

Schedule Facebook ads start date

This leads me to the next point - launch time optimization. After you gather some experience and figure out the best days and times for you to run your ads, you can set automated rules that will turn your ad sets on and off according to your average ROAS at specific times.

This is something you can easily do using Madgicx's Custom Automation Tactics. Our platform shows you exactly which times are your most profitable. It can be based on ROAS or another key metric. For example, you can pause your ads during weekends and turn them on again at the beginning of the week. This would save you money and help you squeeze more revenue out of the same advertising budget.

6. Choose your ad placement

The placements available are dictated by your campaign objective. You can select them manually, or let Facebook select the optimal placements for you, using the default “Automatic Placements”.
Facebook placements:

  • News Feed
  • Right Column
  • Video Feeds
  • Marketplace
  • Stories
  • In-Stream Videos
  • Search Results
  • Instant Articles

Instagram placements:

  • Feed
  • Explore
  • Stories

Messenger placements:

  • Inbox
  • Stories
  • Sponsored Messages

Audience Network placements:

  • Native, Banner, and Interstitial
  • Audience Network Rewarded Videos
Placement selection

If you are launching your first campaign and have no data to rely on yet, we definitely recommend using automatic placements.

However, if you already have some data, you should check your ad performance on every placement and target your most profitable ones.

At Madgicx, we use our Smart Filters to analyze ad performance based on different parameters, including platforms and placements.

Filter performance by platform and placement

7. Select your target audience

It’s no secret that selecting the right target audience is one of the most important factors in a campaign’s success.

You can either select one of your saved audiences or create a new one when launching a new campaign.

Facebook offers you various targeting possibilities, such as interests, behaviors, demographics, locations, and even targeting your page fans.

Select your target audience

In addition, if you have already installed the Meta pixel on your website, you can create custom audiences based on visitor activity on your website and lookalike audiences based on them.

Other useful custom audiences can be created using a customer list, targeting people who engaged with your videos, and more.

Interest targeting

At this stage, Facebook will also inform you of your estimated daily reach and overall potential reach and let you know whether your audience is too specific, too broad, or just about the right size.

8. Last step: Set up your ads

We’ve reached the final stage of your campaign creation - the ads themselves.

Here you can select between creating new ads and using an existing Facebook page post.

Based on your placement selection, you can select the ad format you wish to use. It could be Carousel, Single Image or Video, etc.

Then, you’ll need to upload your ad creative. Open the “Add Media” drop-down menu and select whether you wish to add an image or a video.

Note that every placement and format has different specs and sizes.

Add an ad creative
Pro Tip: If you don’t have enough resources to create videos yourself, you can utilize Facebook’s Video Creation Kit to turn your images into a video.

Another thing we’d recommend is setting up the URL parameters in a way that will help you track your ad attribution efficiently.

Now you can write your ad copy, check out your ad’s preview, and launch your first campaign!

Write an ad copy

Use the Meta pixel for better tracking and targeting

If you plan to reach your audience with products and services based on their preferences, you must implement a Meta pixel on your website.

The Meta pixel is a snippet of tracking code you generate from your Facebook advertising account and implement on the header section of your website.

It captures specific actions visitors perform on your site. This provides you with data and insights to help you refine your Facebook and Instagram advertising campaigns to maximize performance.

You can then use the data your Meta pixel records to show your ads to different audience segments based on their actions on your site. After creating custom audiences based on your data, you can use them to create lookalike audiences to acquire new customers.

To utilize this optimization solution to its full potential, the first thing you need to do is create a Meta pixel and install it on your website.

Then, you need to set up the events you want your pixel to track.

Lastly, you can start using your pixel data for audience targeting.

Facebook ad account troubleshooting

There are a few common errors that may occur when you try to create a new ad account or work with your existing one in the Facebook Ad Manager.

The first one is reaching your ad account maximum. As we’ve already mentioned, every business has a limited number of Facebook ad accounts it can create. If you’ve reached your limit and you wish to create more accounts, contact Facebook, or ideally your Facebook representative, and ask them for help.

But the issue we’ll focus on is the second and most common one - Account Disabled. This issue shouldn’t scare you either and we’re going to discuss it thoroughly.

Facebook ad account disabled

It can happen even to the best Facebook advertisers, so don’t feel so bad.

The most important thing is - don’t panic!

Why was your Facebook ad account disabled?

When you launch an ad, Facebook reviews it and considers all of its characteristics. It reviews your content (copy and creative), targeting settings, positioning, and the webpage (or webpages) it links to.

All of your ads must comply with Facebook’s Advertising Policies and Community Standards. Hence, you should read them carefully to check whether you’ve violated any of Facebook’s rules.

Another reason might be users’ reports about your business page, ads, or any other type of content you’ve posted.

How do I reactivate a Facebook ad account that has been disabled?

Go to the Facebook Business Help Center and select one of two methods: chat with a Facebook representative or fill in a form.

Live chat with a representative

  1. In the Help Center, scroll down and click the “Chat” button next to “Contact our support team”. Facebook will even inform you of the estimated wait time.
chat with a Facebook representative
  1. Fill in the “Contact Support” form to provide Facebook with all the necessary information. This will help the representative better understand your issue.
  2. Click “Start Chat”.

Fill in a form

There are two available forms you can fill in to restore your disabled account:

  • Request Review of Restricted Ad Account: If you think you might have violated any of Facebook’s policies or standards, you can request an account review by filling in this form.
  • Disabled Payments & Ads Manager: If you believe your account was disabled by mistake, you can provide Facebook with all the necessary information for a review using this form.

After your account will be reviewed by Facebook, you will receive a message to your Help Center support inbox.

Learn more aboutwhat you can do if your ad account is restricted and how to avoid it in our article dedicated to this topic.

Billing Option Not Available

Some Facebook users have reported having encountered the following notification: "Billing option not available: ad accounts owned by businesses new to Facebook products can choose this option to pay for ads after several weeks of following our policies. (#2446404)."

Billing Option Not Available (#2446404)

But why does this happen and how to solve it?

This issue is usually caused when a user asks to be charged by anything other than impressions. This selection is done at the ad set level (under "Optimization & Delivery").

When You Get Charged - Facebook ad set

The default option is charging by impressions, and Facebook requires that new ad accounts will spend at least $10 getting charged by impressions before they change the way they are charged.

Once you fulfill this condition, you may be charged by link clicks (on Traffic and App Installs campaigns) or ThruPlay (on Video Views campaigns), for example.

Summing up

You’ve learned how to create a Business Manager account, how to connect your Facebook page, and how to create a new ad account.

Moreover, now you know everything about setting up your ad account. Also, you've launched your first ad campaign from the Facebook Ad Manager.

Well done!

In addition, we also gave you some helpful information in case your ad account is disabled.

We hope this guide was helpful and wish you happy and successful Facebook advertising.

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Update: The Meta Pixel is not enough

After the iOS 14.5 update, the Meta Pixel alone can no longer give you the data you need to make effective scaling decisions. But don't worry: you can still measure your true performance with Madgicx Cloud Tracking (MCT).

Oct 20, 2021
Dec 7, 2020
Yuval Yaary

Yuval is the head of Content Marketing at Madgicx. He is in charge of the Madgicx blog, the company's SEO strategy, and all its written marketing materials.

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