Best verticals for an AI agency — and two to avoid at the start

Not all industries are equally good entry points for an AI agency. Healthcare and finance should be avoided initially because of high regulatory burdens and red tape — they slow everything down. The verticals that are working well right now are marketing agencies, law firms, insurance agencies, manufacturers, wholesalers, and real estate agencies. What these industries share is that they are relatively legacy businesses — not fast-growing startups, but companies that want to grow faster and are actively looking to adopt AI. They have significant operational pain, a lot of people on staff (which means a lot of inefficiency), and a desire to eventually become what might be called a 'full-stack AI company' — fully automated with AI as the dream outcome. You're not going to get them there overnight, but you can start solving problems at the executive level and let the impact ripple throughout the rest of the business.