If you are seeking to grow your business, you must always be seeking out prospects and other contacts, says Sylvia Garibaldi, a business-building coach and founder of SG and Associates in Toronto. Developing a pipeline of suitable prospects is a lengthy process, so waiting until you need new clients to start prospecting is ineffective.
Garibaldi provides three effective ways to prospect:
1. Conduct informational interviews with people you know
Connect with people such as friends, business acquaintances, centres of influence and peers on community boards. Approach people who are well-connected and fit your target market.
Treat them to coffee or lunch and ask for advice on developing your business. Also explain how you run your practice and describe your target market.
This approach has multiple benefits. Your contact is more likely to be open to the process because he or she will not feel like you are trying to sell something. That individual can provide suggestions on people and associations you can connect with to build your prospecting pipeline. He or she will be learning more about your business and could become interested in starting a professional relationship
2. Incorporate prospecting into your social activities
Combining business with socializing is not for every advisor, Garibaldi says. However, if you are comfortable talking about financial issues in social settings, it can be a good way to prospect without feeling like you’re working.
People often talk about their professions and interests at parties, community functions and sports events. When you meet someone, ask about this person’s family and his or her interests.
Often, those interests will have some attached expense and you can broach the topic of finances without directly soliciting their business.
For example, at your young daughter’s soccer game, you might ask other parents what other activities their children are involved in. The conversation will probably turn to how expensive these activities are, which gives you an opportunity to raise the topic of saving. (Keep this information general, as you don’t want to be seen as giving advice or trying to sell to them.)
If the parents seem interested, ask for their contact information so you can send them more details on your practice. If they provide it, keep in mind that Canada’s anti-spam legislation, which is effective as of July 1, requires you send only what you have received permission to send. Therefore, do not add these parents to your newsletter directory or any other communications unless you have their permission to do so.
3. Use LinkedIn more effectively
Don’t just log onto LinkedIn to post a status update. Go through the connections you’ve made and determine who you should communicate with. Look for individuals who share characteristics with your client base, such as the industry in which they work, or their interests.
Send a private message establishing the connection and ask if you can speak by phone. For example, you can ask a local philanthropist if you can chat because you like to keep up to date with non-profit ventures, as some of your clients are involved in charitable giving.