One of the hardest things I discovered when starting up my own business was finding clients. Not just new clients, but any clients! It was a constant struggle to identify the right companies to target – many companies were so small that there was a risk they would not pay or couldn’t afford my services, while any decent-sized company either had another consultancy or were looking for more established consultancies with a proven track record.
It was very frustrating, and severely tested my admittedly limited patience. There were many times I wanted to throw in the towel when my meagre overheads were still outweighing my income. And I was only a one-employee business working from home on a laptop.
This is why so many start-up businesses disappear within the first 18 months. They don’t have the capital to last much longer than this without a steady roster of clients to pay the bills and provide themselves with at least some revenue. I learned many lessons along the way, some of which I am happy to share with Tamakkan readers:
Networking
This is a somewhat overusedword now but it really is the best way to gain new contacts and prospective clients. Networking can range from using your personal and social media friends, to promoting your services, to attending events, functions and meeting industry groups. And meeting people. And meeting more people. Networking is about you telling people, who might tell other people. Don’t be shy to mention that you are looking for new business. This is not a sign of failure – rather it is an appeal for even more work if you take the enthusiastic approach. One tip: always, always, always carry business cards with you. There is nothing worse than gaining a promising lead, only to miss out because they can’t contact you. Or you ‘fossick’ around in your handbag or wallet for a business card and can’t find it. It looks disorganized and untrustworthy, and certainly doesn’t leave a good first impression.
Pro bono work
This is another phrase for ‘free work’. Don’t be afraid of this. Sure, it might not bring in money, but in the initial stages you need to build a portfolio to demonstrate your skills and expertise, and this is a good way to do it. I don’t mean doing all work for free but be selective and look towards future opportunities. Do they regularly use paid consultants? Do they have a good network of clients who might see your work? Look at the long-term, not the short-term. If your business involves products, how can you give these away in a strategic manner as a sampling exercise? A good option is to provide your services to a not-for-profit organization; it helps them out and gives you an impressive corporate social responsibility image.
Select clients carefully
This is always a difficult one. You don’t want to attract clients who only want bargain-basement rates. In my experience, these clients always want more and more, and sometimes, quite frankly, they are not worth having even when you are building a client base. In any case, price should never be the overriding factor in selecting a consultancy – these clients are not generally interested in building a relationship and will quickly move to the next consultancy that offers them an even lower rate. Your fees should reflect your offering; if you are proud of what you offer, and genuinely believe you provide something different or better, then stand firm with your competitive rates. Good clients will respect and appreciate this. It is hard to walk away from a potential client, but trust me, it will most likely be short-term gain for long-term pain if price is the key factor.
By Ian Mason
