A spend cap is a safety limit, set either at the ad account level or via a campaign spending limit, that stops delivery once total spend reaches the specified figure, regardless of performance. It functions as a guardrail against runaway spend from a bidding misconfiguration, a bug, or simply forgetting to pause a campaign.
Agencies managing many concurrent accounts set conservative spend caps as a default safety net, then raise or remove them deliberately once a campaign is validated, rather than running uncapped accounts by default across a large portfolio.
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