Net Gain

Business building by association. By Don Boisvert "It's not what you know, it's who you know that counts" or so the clich goes. In his book "Truth or Delusion," Dr. Ivan Misner the founder of Business Network International debunks this myth. We all give business to a significant number of people, making payments monthly, quarterly or annually for various products and services be it for personal or business reasons. Yet, do we get business referrals from these sources where we are, or should be, a valued customer? The typical answer is "No," and the reason is because these people don't know your business, don't know you're looking for referrals or you never asked them for a referral. In other words, there is no plan to ask for and receive referrals. Know Your Resources So then, how do we go about creating a plan by which the people will give us referrals? To begin with, tell people that you depend upon referrals to grow and develop your business. Tell them what you do by developing short, succinct, non-technical descriptions of your business, and then decide where you can best network to develop referrals. In "The World's Best Known Marketing Secret," Misner identifies various venues for networking:

Contact Networks like a Chamber of Commerce or BNI

Community Service Groups like a Rotary or Kiwanis

Professional Associations like the Society for Human Resource Management

Social/Business Organization like the Jaycees

Specialty Organizations like the Women's Business Owners Alliance

To create a plan for giving and receiving referrals, business owners should belong to at least three of the above groups and within each focus on building relationships and helping others build their business. Once a trusting relationship has been established and you have demonstrated your personal integrity, only then should you ask for referrals. To maintain those relationships, you must continue to meet regularly and work for the benefit of others, thus becoming the "go to" person because of your contacts and relationships. Work the Room However, membership in a professional network by itself is not sufficient to keep the momentum moving forward towards the goal of developing a strong networking circle. You must continue to increase your contacts, build new relationships and meet other needs. That takes planning. For example, active membership in any of the resources cited above will bring you into contact with a large number of people, but unless explicitly specified otherwise, attending networking sponsored events should not be viewed as just social events. A few useful tips:

Have an understanding of whom (professions or specific individuals) you would like to meet and why.

Limit the number of people you wish to "connect" with so that you may give each several minutes of your time.

Approach people from the perspective of seeking to determine if this is someone with whom you could or wish to establish a mutually beneficial relationship.

These events are opportunities to get to know people, not to make a sale. Finally, follow-through with the people you have met and to whom you have made a commitment for a future meeting. When possible, introduce people to one another; give someone a lead or referral or some needed advice. Belong to some type of community service organization for the opportunity to give and not to receive. As entrepreneurs, we have received much from our communities. Now give back; become known as a giver. Do join a professional or business organization. These organizations usually have a focus on educating its members in sharpening their skills so that they may become better providers of products and services. With a plan or system in place, you will find your efforts more productive and your business life more fulfilling and successful.