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How to Set Up Google Local Services Ads: A 7-Step Guide for 2026

By George Copeland · · 6 min read

Part 4 of 4 · Get Found on Google

Gozango blog cover reading How to Set Up Google Local Services Ads, Get Found on Google part 4

Key takeaways

  • Local Services Ads show above regular search ads, and you pay per lead, not per click.
  • Screening and verification is the slowest step: 3 to 4 weeks on average after you submit documents.
  • LSA is moving into Google Ads as Performance Max campaigns with pay-per-lead goals, in phases from August 2026 through 2027.
  • Since October 1, 2026, missed calls during business hours can be charged if the caller stays on the line more than 20 seconds.
  • Start with Maximize leads and a budget for at least 10 leads a week, then adjust on cost per booked job.

Google Local Services Ads put your business at the very top of the search results, and you pay per lead instead of per click. Getting set up takes seven steps, and the slowest one, Google's screening and verification, takes 3 to 4 weeks on average. This guide covers each step, what changed in 2026, and how to keep your leads from costing more than they should.

What are Local Services Ads?

Local Services Ads (LSA) are the listings that show above regular search ads for searches like "plumber near me" or "roof repair." Each one shows your business name, rating, hours and a Google Verified badge once you pass Google's checks.

Three things make them different from regular search ads:

  • You pay per lead, not per click. A lead is a call, message, voicemail or booking request from a customer.
  • Your Google Business Profile matters. You need an affiliated, verified profile, and LSA reviews are collected through it.
  • Ranking isn't just your bid. Google weighs how likely you are to get the lead, including how fast you respond, and profile quality, including your rating and number of reviews.

What changed for Local Services Ads in 2026?

Two changes matter before you start.

  1. LSA is moving into Google Ads. Google is moving LSA into Google Ads as Performance Max campaigns with pay-per-lead goals. The first U.S. home and storefront service advertisers moved in August 2026, service-area businesses follow in late 2026, and remaining accounts move in 2027. Depending on timing, you may set up in the Local Services dashboard or in Google Ads, but the steps below apply either way.
  2. Missed calls can be charged. Since October 1, 2026, a missed call during your business hours can count as a charged lead if the caller stays on the line more than 20 seconds.

Google also replaced the old Google Guaranteed and Google Screened badges with a single Google Verified badge in October 2025. If you see the old names in older guides, they mean the same checks.

Before you start: what do you need?

Gather these first. Missing items are the most common cause of delays.

  • A verified Google Business Profile with the same name, address and phone as your website
  • Google reviews on that profile
  • State or local license numbers for your trade, where required
  • A current certificate of insurance with your business name and address exactly as on your profile
  • Business registration details
  • Names and emails for the owner and anyone else who needs a background check
  • Your services, service-area ZIP codes and business hours
  • Real photos of your team and jobs
  • A payment method

Step 1: Check that your business is eligible

LSA covers specific categories and locations. Use the eligibility checker on Google's Getting started with Local Services Ads page for your category and city before you do anything else.

Step 2: Get your Google Business Profile verified and consistent

LSA requires an affiliated, verified profile. Your business name, address and hours sync from your profile into Google Ads, so fix them there first. Make sure your name, address and phone match across the profile, your website and LSA.

New to the profile? Start with How to Claim and Optimize Your Google Business Profile.

Step 3: Create your account

  1. Go to Local Services Ads sign-up.
  2. Enter your business details and link your Google Business Profile.
  3. Choose your service category, and turn on only the job types you want leads for.
  4. Set your service area by ZIP code, city or county. Start with nearby, profitable areas.
  5. Set your business hours. Leads only come in while you're shown as open, so list hours someone can answer.

Step 4: Build your profile

A complete profile ranks better and moves through review faster.

  • Write a short business bio and add your years in business.
  • Add your license and insurance details.
  • Upload real team and job photos, not stock photos.
  • Make sure your Google Business Profile has reviews, since LSA reviews come from there.

Step 5: Pass screening and verification

This is the slowest step: Google says it takes 3 to 4 weeks on average after you submit your documents. Requirements vary by category, so check yours on Google's Business screening and verification requirements page.

Check What Google looks at
Business and owner checks The business, its owner and its business representative, for select users
License State-level business and owner licenses, where required. Garage door and locksmith businesses need one in every case
Insurance General liability for most categories, for select users
Extra screening Electrical, HVAC, plumbing, locksmith and garage door are urgent categories with additional screening. Electricians also go through service professional background checks

Answer every email from Google's verification vendor quickly, for the owner and anyone else listed. Unanswered requests are the usual cause of delays. Once you pass, you get the Google Verified badge, and it carries over automatically when your account moves to Google Ads.

Step 6: Set your budget and bidding

You choose a budget and a bidding mode:

Bidding mode How it works
Maximize leads Google sets bids to get the most leads for your budget. Google's recommended mode.
Target cost per lead Automated bidding aimed at a cost per lead you choose.
Max per lead You set the most you'll pay for one lead. Manual bidding isn't supported once your account moves to Google Ads.

Google recommends a budget large enough for at least 10 leads a week, and says results take about 2 weeks to settle as the system learns your business. When your account moves to Google Ads, your weekly budget converts to a daily average (your weekly budget divided by 7).

A sensible start: use Maximize leads, then adjust once you know your real cost per lead and how many of those leads become booked jobs.

Step 7: Go live and manage your leads

Add a payment method, accept the terms, and turn your ads on. Then the work is in how you handle leads.

  • Answer fast. Responsiveness affects your ranking, and missed calls during business hours can now be charged. Set hours to when someone actually answers, and text back every missed caller within seconds.
  • Know what you're charged for. Calls you answer or return, messages, voicemails and booking requests (U.S. and Canada) all count as leads.
  • Let credits work. Google reviews charged leads over 30 days and automatically credits poor-quality, duplicate or invalid ones. You can also flag a poor lead in its feedback survey.
  • Keep job types and areas tight. Turn off job types and ZIP codes that bring leads you don't want.
  • Keep asking for reviews. Your rating and number of reviews affect where you show.
  • Save your reports. LSA performance reports don't move to Google Ads, though your lead history does. Download what you need before your migration date.

For how your profile, reviews and tracking all feed LSA, read The Google Profile Flywheel. For more on earning reviews, see Google Reviews for Contractors.

How Gozango helps you run Local Services Ads

  • LSA in the same platform: link your Local Services account to Gozango, turn ads on or off, and manage your daily budget.
  • Lead charges in view: see which leads were charged, credited and billed, along with your license and insurance verification status.
  • Missed-call text back: every missed caller gets a text in seconds, so a missed call doesn't become a lost job.
  • Straight into your pipeline: LSA leads drop right into your Gozango sales pipeline, alongside leads from your Google profile, search ads and offline sources.
  • Profile and reviews handled: keep your Google Business Profile in sync and keep review requests going after every job, so your profile and reviews stay strong for LSA ranking.

Sources

Frequently asked questions

How long does it take to get approved for Local Services Ads?
Google says screening and verification take 3 to 4 weeks on average after you submit your documents. Answering every email from Google's verification vendor quickly keeps it on track.
What is the Google Verified badge?
It's the badge Local Services Ads show once a business passes Google's screening and verification. It replaced the older Google Guaranteed and Google Screened badges in October 2025.
Do I pay per click with Local Services Ads?
No. You pay per lead: a call you answer or return, a message, a voicemail or a booking request in the U.S. and Canada.
Are missed calls charged on Local Services Ads?
They can be. Since October 1, 2026, a missed call during your business hours counts as a charged lead if the caller stays on the line more than 20 seconds. Set accurate hours and text back missed callers fast.
Can I get credit for bad leads?
Google reviews charged leads over 30 days and automatically credits poor-quality, duplicate or invalid ones. You can also flag a poor lead in its feedback survey, and Google may credit it.
What budget should I start with?
Google recommends a budget large enough for at least 10 leads a week, and says results take about 2 weeks to settle. Start with Maximize leads and adjust once you know your cost per booked job.
What happens to Local Services Ads in Google Ads?
LSA is becoming Performance Max campaigns with pay-per-lead goals. Weekly budgets convert to daily averages, manual bidding goes away, your Google Verified badge and lead history carry over, and LSA performance reports don't, so download them first.

Keep reading

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