The rise of social networking websites such as MySpace and Facebook over the past decade has been nothing short of phenomenal. Once regarded as nothing more than a passing "fad", these websites have grown to astronomical proportions; each website currently boasts 60+ million unique visitors each month. Certain businesses are beginning to notice the potential for reaching out to their target audiences through this new medium and have already begun a series of advertising efforts in order to do so; however, the spend on this form of advertising is relatively minor compared to other efforts. This paper will establish why social networks are important to businesses as an advertising medium and attempt to review the current advertising methods that are in place.