What Can I Legally Say in My Small Business Ads?

By Bill Stilwell · Last reviewed October 17, 2026

The short answer

Every claim you make about your business must be true, and you need proof before you make it. That applies to ads, your website, your Google Business Profile (GBP), social posts, and what your team says. Only claim licenses you currently hold, only say “insured” if the coverage exists today, and never promise results, rankings, or credentials you can’t back up.

What this means

11.3.1 Truthful claims

The Federal Trade Commission (FTC) says advertising must be truthful and not deceptive, and you must have a reasonable basis, meaning objective evidence, before an ad runs. That covers:

Express claims: what you say outright (“We respond within 1 hour”)
Implied claims: what a reasonable customer would take from the ad (a photo of a crew in hard hats implies a professional, trained team)

Fine print can’t fix a misleading headline. Disclosures must be clear and close to the claim.

Made-up example: Northstar Pest Control wants to say “Same-day service.” Its records show same-day visits on about 70% of calls. It changes the claim to “Same-day service available on most weekday calls,” which its schedule supports.

11.3.7 Licensing claims

Only show licenses that are current and that a customer can check. Put the license number and the issuing agency where your state requires it (see 9.5.7 License Display Rules). Remove a license claim the day it lapses. Don’t say “licensed” if only one subcontractor holds the license, unless you say so.

11.3.8 Insurance claims

“Licensed and insured” is a common phrase. Use it only if you have active coverage that fits the work. Don’t imply coverage you don’t have, like saying “fully insured” when you carry only general liability. Be ready to send a certificate of insurance when a customer asks.

8.5.7 Claim controls

Set rules for what anyone in your business can claim. Ban, unless you have proof on file:

Guarantees you don’t honor in writing (see 11.3.3 Guarantees)
Credentials like certifications, awards, or “master” titles you don’t hold (see 14.1.10 Credentials)
Rankings like “#1 in town” or “top rated” without a named, current, checkable source
Pricing like “lowest prices” or “free estimates” with hidden conditions (see 11.3.2 Pricing Disclosures)
Performance like “lasts 20 years” or “cuts your bill in half” without evidence

Why it matters

The FTC Act applies to every business. False or unsupported claims can lead to enforcement.
States enforce too. Every state has consumer protection laws that apply to ads running there. Check with your state attorney general’s office.
Licensing boards watch claims. Advertising a license you don’t hold can bring board action in many states.
Google can remove misleading content, and repeated policy problems put your profile at risk (see 14.8.4 Suspensions and Reinstatement).
Customers check. One customer who looks up your license and finds it expired will tell others.

Who this applies to

Every business that advertises in any form. That includes your GBP description, website, signs, vehicle wraps, social posts, quotes, and what staff say on the phone.

How to do it

List every public claim in a claims log: where it appears and the exact words.
Attach proof to each claim: license lookups, insurance certificates, award letters, records, or test results.
Fix or remove any claim you can’t prove.
Check licenses and insurance quarterly, and before each renewal date (see 9.5.6 License and Permit Renewals).
Write claim rules for staff and vendors, including your marketing agency.
Review new ads and pages against the claims log before they go live.
Update your GBP description, website, and directories whenever a claim changes, so every place says the same thing (see 14.9.1 Business Description).

What proof to keep

The claims log with proof for each claim
License lookup screenshots with dates
Current certificates of insurance
Award letters or ranking source pages with dates
Records that back performance claims, like response time reports
Old versions of ads and pages, with dates

Common mistakes

“Licensed and insured” on a truck wrap after the policy lapsed.
“#1 rated” based on an old or paid award.
“Free estimate” with a trip fee mentioned only after booking.
Promising Google rankings. Google says nobody can pay for or request a better local ranking.
Letting an agency write claims you never checked.
Copying a competitor’s claims that don’t fit your business.

When to get help from a pro

Attorney: for claims about health, safety, the environment, money savings, or comparisons with competitors. Questions to ask:

What proof do I need for this claim?
How should I word a disclosure so it’s clear enough?
What do my state’s licensing rules say about advertising my license?

Bill’s note

[Bill: add a short note. For example, claims you’ve asked SiteSmarty clients to remove from their profiles or websites, or why SiteSmarty never promises rankings.]

If you’d rather have this done for you, SiteSmarty writes Google Business Profile descriptions based on facts you can prove.

How I did this for SiteSmarty

[Date I did this:]
[What I actually did, step by step: building the SiteSmarty claims log and checking each claim]
[What it cost and how long it took:]
[What surprised me or what I’d do differently:]
[Screenshot or photo to add, with private info blurred: the claims log with proof links]
[Result so far:]

Questions people ask

Do I need proof before I make a claim? Yes. The FTC says you need a reasonable basis, meaning objective evidence, before the ad runs.

Can I say “licensed and insured”? Only if your license is current and checkable and your insurance is active and fits the work you advertise.

Can I call myself “the best”? General opinions that nobody would take as a measurable fact are treated differently from specific claims, but “#1” or “top rated” suggests a source. Name it or drop it.

Can I promise customers I’ll get them to the top of Google? No. Google says no one can pay for or request a better local ranking, so any such promise is misleading.

Audit check

Line	Question	Pass looks like	Fail looks like	Evidence to collect
11.3.1 Truthful claims	Is every public claim true and backed by proof on file?	Claims log with proof for each	Unsupported speed, savings, or quality claims	Claims log, ads, web pages, GBP description
11.3.7 Licensing claims	Are only current, checkable licenses shown?	License numbers that match state lookups	Expired or borrowed licenses advertised	License lookup screenshots with dates
11.3.8 Insurance claims	Do insurance claims match active coverage?	Current certificate supports the claim	“Fully insured” with lapsed or partial coverage	Certificates of insurance and ads
8.5.7 Claim controls	Are there written rules banning unsupported guarantees, credentials, rankings, pricing, and performance claims?	Written rules shared with staff and vendors	No rules, agency writes unchecked claims	Claim rules document and review records

Where this fits

Do this first: 8.5.3 Positioning, 14.1.10 Credentials, 9.5.2 State Licenses, 10.8.1 General Liability Insurance

Do this next: 11.3.2 Pricing Disclosures

Sources

Federal Trade Commission, "Advertising FAQ's: A Guide for Small Business" (checked October 17, 2026)
Google Maps User Generated Content Policy Help, "Prohibited and restricted content" (checked October 17, 2026)
Google Business Profile Help, "Tips to improve your local ranking on Google" (checked October 17, 2026)

This page explains general rules and Bill's own experience. It is not legal, tax, or insurance advice. Talk to a qualified professional about your situation.