From $0 to $5M

The Upwork Agency Reality Check

The No-BS Guide to Building Your Agency Empire on Upwork

Kyrylo Kozak

By Kyrylo Kozak

CEO, Getmany Software & Serverless Team | Former Lambda Team (75 developers)

$5M+ earned through Upwork agencies

$1M+ earned personally on Upwork as a freelancer

1 year as Community Manager for Upwork's Ukrainian agencies branch

200+ agencies using Getmany.com

Lambda Team

View on Upwork
Lambda Team - HI, NICE TO MEET U

My Journey: It all started in 2016 when I was just a freelancer on the Ukrainian market. After learning English, I partnered with my co-founder Vitalik.

We had nothing - worked on old computers building WordPress sites. Over time, we scaled from zero to 75+ people specializing in AWS, cloud & serverless solutions across HealthTech, FinTech, and e-commerce.

From two guys with a dream to a $4M+ agency - proving that with the right approach, any partnership can scale.

100% Job Success

Hourly rate

$35.00 - $100.00

Minimum project size

$1K+

Total earned

$4M+

Total hours

92,598

Total jobs

276

Member since

May 10, 2017

Office location

📍 Dnipro, Ukraine

Kyrylo Kozak with Vitaliy - First hire in 2016

2015: The journey begins - Vitalii Co-founder & CTO of Lambda Team, Serverless Team and Getmany

1
The Reality Check

The $45 to $30 Arbitrage Secret

Everyone on Upwork is obsessed with raising their rates. I went from $0 to $5M+ by doing the opposite.

Here's what actually happened: Clients hired me at $45/hour. But instead of grinding myself to death trying to scale to $100/hour, I introduced them to "my guy" at $30/hour.

The Script That Built an Empire

Important: Only use this script with clients who already trust you. This is for established relationships, not new clients.

"Hey, I'm really busy but I love your project. I have someone on my team who's actually MORE qualified than me in this specific area - they do this every day. They're certified in [specific technology] and cost $30/hour instead of my $45.

Want to try them for 14 days? If the velocity isn't there, full refund, no questions asked. You don't even need to explain why it doesn't work."

Result:

Clients saved money. Developers got consistent work. I made $15/hour coordinating. Multiply by 75 developers.

The 75-Developer Truth

At my peak at Lambda Team, I managed 75 developers. Not with complex systems. Not with project managers. But by building them from scratch and becoming their financial safety net FIRST.

The Counter-Intuitive Hiring Formula:

Have $5k saved? → Hire 2 employees

Have $3k saved? → Hire 1 employee

Have less? → Start saving NOW

"When you have extra $3k, hire hire hire hire. Sometimes there are days when you can hire, and sometimes days when they're just sitting on the bench. But the opportunity cost of NOT having them when work comes is huge."

- My actual philosophy

Lambda Team 2017 - Early days of scaling

2017: Lambda Team growing - From 5 to 20 developers

The Execution Reality

Harsh truth: 95% of you will read this guide and do nothing.

The 5% who succeed won't wait for the perfect moment. They'll hire a junior or trainee TODAY. Not next month. Not when they have "enough" clients. Today.

The threshold must be so small you can't make excuses. Start with hiring a trainee. Start with the hiring process itself. Just START.

2
The Minimal Viable Agency

Your First Employee: Start With Who You Know

My first hire was when I was 15 years old. I hired a 13-year-old designer who's now my CTO at Getmany.

Your first employee isn't on job boards. They're:

  • Your university friend playing video games all day
  • Your former classmate with talent but no direction
  • That colleague who helped you on a project
  • Friends of friends who need opportunity

The Only Hiring Test That Matters

"Can I have a drink with this person and enjoy it?"

If yes, they're hired. Technical tests are useless - anyone can ChatGPT their way through them. You need to spotlight talented people who are sitting around doing nothing. They cost very little and are hungry to prove themselves.

Early days - 2016 lead generation beginnings

2017: The early days - Starting with lead generation on Upwork (this is Valera)

The 80% Skills Rule

They need 80% of your exact skills/stack. Not similar. EXACT.

My stack:

TypeScript, React, Next.js, deployed on AWS

My hire must know:

At least TypeScript, React, Next.js (AWS is teachable)

If you do WordPress, they need YOUR exact plugins, themes, and workflows. Don't hire a generic "PHP developer" - hire someone who does exactly what you do, just slightly less experienced.

The Money Rules Nobody Talks About

Rule 1: Always Pay Fixed Monthly. NEVER Percentage.

  • Percentage = Partnership (different agreements, different problems)
  • Fixed salary = Employee (clear boundaries, clear expectations)
  • • Don't confuse the two

Rule 2: Your Margins Are YOUR Business

Client pays you $45/hour. You pay developer fixed monthly. They should NEVER know client rates because:

  • • You take ALL the risk when clients don't pay
  • • You handle all legal issues and taxes
  • • You manage conflicts and burnouts
  • • You deal with client communication
  • • You pay them even when work is slow
  • • You trained them from scratch

Rule 3: The Introduction Script (Only for Loyal Clients)

"Hey [client], I'm bringing in Vitaly to help with this project. He specializes in exactly this type of work and honestly does it better than me at this point. I'm getting burned out on implementation and want to focus on architecture. As a bonus, I'm giving you a 20% discount on his hours."

Client feels special. Developer gets consistent work. You scale.

3
The 3 Scaling Levers

1
Lever 1: Client Acquisition System

The Niche Domination Strategy

Each Upwork profile should focus on ONE niche only. If you do WordPress, your entire profile is WordPress:

  • Title: WordPress Developer
  • Description: All about WordPress
  • Portfolio: Only WordPress projects
  • Certifications: WordPress-related

Why? Upwork's algorithm gives you a massive boost when your profile perfectly matches the job. It sees you as an organic match and ranks you higher.

The 250-Character Rule

Based on analyzing 50,000+ proposals through Getmany, proposals under 250 characters get +30% higher reply rates.

Example 1:

"Hey, I've built 5 similar WordPress sites. Here's my best one: [link]. Can start immediately."

Example 2:

"I literally did this exact integration last week. Portfolio attached. Available now."

Jobs to Skip Automatically:

  • Anything under your minimum rate
  • Non-US/Europe clients (focus on high-paying markets)
  • Fixed-price projects (they cause burnout)
  • "Prestigious" clients offering "exposure"
Lambda Team 2019 - Scaling phase

2020: Lambda Team at scale - 50+ developers strong

2
Lever 2: The Weekly Retainer Secret

Year 1-2: Hourly Only

  • • Start with hourly rates always
  • • Build trust and loyalty first
  • • Never take fixed-price projects (burnout guaranteed)

Year 2+: Weekly Retainers

  • • Client has been with you 3+ months
  • • Work is consistent and repetitive
  • • You have strong loyalty built

The Pitch:

"We'd like to transition to a weekly retainer. This gives the team relief from time tracking and ensures dedicated availability for your project. The velocity remains the same, but without the overhead of hourly tracking. It also means you have guaranteed access to our team even during busy periods."

Why clients say yes:

  • • Predictable costs
  • • Dedicated team availability
  • • Priority support
  • • No tracking overhead

3
Lever 3: Quality at Scale

The Communication Structure

Slack Connect is mandatory. Invite clients as guests or through Slack Connect. For big clients, add a Project Manager (and bill them for it).

The Legal Protection

The #1 disaster: Developer and client negotiate to cut you out.

Prevention: Legal agreements with BOTH parties stating they cannot work together directly for 2 years after contract ends. Your lawyer will thank you.

The Real Profit Margins

Let's be honest about the numbers:

Revenue ComponentAmount
Client pays$45/hour
Developer costs$30/hour
Gross margin$15/hour (33%)
Upwork fees (10%)-$4.50
Payment processing-$1.50
Bench time (15%)-$2.00
Net profit$7/hour (15-20%)

With 10 developers working full-time: $7 × 40 hours × 10 devs = $2,800/week profit

4
Common Pitfalls That Kill Agencies

The "Prestigious Client" Trap

They promise exposure, future work, or equity. They name-drop constantly. They pay 50% of your rate "but the experience is invaluable."

Reality: They're the most demanding, pay the least, and will destroy your team's morale.

Hiring Overhead Too Early

You DON'T need:

  • • HR manager (until 30+ people)
  • • Dedicated PM (until 10+ developers)
  • • Legal entity in multiple countries
  • • Fancy office space

You DO need:

  • • One developer who mirrors your skills
  • • Simple LLC
  • • Slack

The Fixed-Price Death Spiral

Client wants a "simple" project for $5,000 fixed. You estimate 100 hours. It takes 300 hours. You lose money, burn out your team, and the client still isn't happy.

The rule: NEVER take fixed-price projects. Convert everything to hourly or weekly retainers.

Remember: 95% fail because they complicate things

Keep it simple. Keep it profitable. Keep growing.

5
The Automation Edge

When Manual Becomes Painful

I built Getmany.com after managing 75 developers and realizing:

  • 1
    I was reviewing 200+ Upwork jobs daily
  • 2
    Writing similar proposals repeatedly
  • 3
    Tracking who was on which project
  • 4
    Losing good opportunities while sleeping

The Getmany Sweet Spot

You should use Getmany when:

  • • You have 1+ developers (or planning to hire)
  • • You're spending 2+ hours daily on Upwork
  • • You want to scale beyond yourself

ROI Calculation:

  • Cost: $300/month
  • Result: 80-100% ROI on first deal
  • Time saved: 10+ hours/week

What it automates:

  • Job filtering and matching
  • Proposal generation
  • Response tracking
  • Client CRM
  • Analytics and insights

But remember: This guide is 90% manual strategies, 10% automation. Master the fundamentals first, then automate.

🚀 Getmany.com Dashboard

Where automation meets opportunity

Getmany Dashboard - Real-time job matching and automation
368
Views
145
Replies
19%
View Rate

"Real-time job scoring, automated filtering, and intelligent matching -
saving 10+ hours per week while finding better opportunities"

6. Your 30-Day Action Plan

Overall Progress0%

1
Week 1: Foundation

2
Week 2: Profile Optimization

3
Week 3: First Hire

4
Week 4: Scale

Lambda Team 2021 - Full scale achievement

2021: Lambda Team at its peak - 75 developers, $4M+ revenue

Remember: The difference between success and failure isn't knowledge - it's action.

Start with Week 1 TODAY. Not tomorrow. Not next week. Today.

The Uncomfortable Truth

Building an agency isn't about being the best developer. It's about:

  • Taking care of your people FIRST
  • Being comfortable with margins
  • Saying no to bad clients
  • Starting before you're ready

I went from $0 to $5M not by being brilliant, but by hiring a 13-year-old when I was 15, paying developers when I barely had money, and building automation while teaching manual strategies.

The irony? I spent years as Upwork's Community Manager for Ukrainian agencies, teaching manual client acquisition while secretly building the AI to automate it all.

Now it's your turn.

But remember: 95% of you will read this and do nothing. The 5% who succeed will hire someone TODAY.

Which group are you in?

Ready to Scale?

Need to create your Upwork agency first?

Follow our detailed step-by-step setup guide to create your agency and integrate with Getmany.

Upwork + Getmany Setup Guide →
Upwork Agency Creation Guide

Try Getmany.com:

Automate your Upwork workflow and focus on what matters - building relationships and scaling your team.

Visit Getmany.com →

Connect with me:

LinkedIn: Kyrylo Kozak

Website: getmany.com

Need a PDF version? Use your browser's print function (Ctrl+P / Cmd+P) to save this guide as a PDF. Feel free to message me directly on LinkedIn if you have questions or want to discuss your agency journey.

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Join the 5% who take action

Remember: This guide is based on real experience managing 75 developers and generating $5M+ in revenue. Your results will vary based on your execution. The difference between success and failure isn't knowledge - it's action.

Copyright © 2024 Kyrylo Kozak | Getmany Software