It has become the motto of many entrepreneurs and businesses who understand how to grow their businesses organically and effectively while maintaining the integrity of their culture. This is a little glimpse of The Importance of Doing Business with People You Know and Trust!
Building trust is the foundation of any successful business relationship. When you work with people you know and trust, you have a better understanding of their values, work ethic, and communication style. This, in turn, helps to reduce the risk of misunderstandings and reduces the chances of conflicts arising in the future.
Furthermore, having a personal connection with someone can open up opportunities for business collaboration that might not have been possible otherwise. When you have a good relationship with someone, they are more likely to refer you to their own business contacts, which can lead to new business opportunities and increased revenue.
Research has shown that doing business with people you know and trust can also lead to increased productivity. In a survey conducted by Trust Across America, 89% of respondents said that they were more productive when working with people they trusted. This increased productivity can result in higher profits and more successful business ventures.
Recently, I’ve had a more than one experience with other business owners who are not interested in working with others. Although this is frustrating, it could be a Red Flag that you want to avoid their culture and may be a sign of an internalized organization; A “blessing in disguise” if you will. If you value a new business, never avoid the opportunity to network and work with those who know someone you know. Don’t get me wrong, you still have to filter those opportunities, but you may be closing the door to something bigger than you could imagine.
Another key benefit of doing business this way is the ability to build long-lasting relationships. When you work with someone for an extended period of time, you develop a strong bond that can result in repeat business and a long-lasting professional relationship. These relationships can also lead to valuable business referrals and opportunities for collaboration in the future. If you don’t already know, then you would need to understand that a referral from a trusted source and a personal introduction, has a 60+% chance of becoming a new client, as opposed to cold/warm calls that result in a 5-10% chance of becoming a client. Which would you rather have?
In conclusion, collaborating and doing business with people you know and trust is essential for success in today’s competitive business world. With increased trust, reduced risk, increased productivity, and long-lasting relationships, it’s no wonder that research has shown that doing business with others in this model can lead to increased revenue and long-term success. So, make sure your network well asks for your best clients for referrals (you won’t find a better referral source). In addition, nurture your personal connections, while focusing on building trust with those you work with – you’ll be glad you did!