SMEs won't be picking up the public sector job extras

The Government hopes the private sector will start hiring as the public sector starts firing. But SMEs beg to differ, at least in the short term.

We’ve heard a lot from the Coalition recently about how entrepreneurship is the answer to the UK’s economic woes. The Chancellor told the CBI conference just weeks ago that he envisaged a future where new start-ups could ‘flourish’, ‘drive growth’ and ‘create jobs’. With 500,000 public sector jobs expected to be lost, that means we'll need a whole lot of high-growth start-ups to avoid the dole queue expanding exponentially. However, research conducted shows that 85% of SMEs aren’t planning to take on any new staff in the next three months. Doesn’t bode well…

Add to that recent reports that the UK’s lack of world class manufacturing is going to hinder any recovery where are we to go?

That said, the Prime Minister may not need to fret just yet. Research released by the London Chamber of Commerce and Industry earlier this month found that the majority of London-based entrepreneurs are planning to invest in growth in the next two to three years (just 30% weren’t). So although most entrepreneurs are sitting on their hands for now, it could be a different story further down the line. That's backed up the survey, which also found that around 35% of firms are more optimistic about the economy than they were three months ago, and a similar number are expecting business to take a turn for the better in 2011.

But if the Government is really going to persuade small companies to invest in growth, it may have to go further than spending money on infrastructure and its much-heralded centres for innovation (though that's a decent start). What do entrepreneurs really want? Less red tape, for a start: a quarter of SMEs reckon the Government should start by taking the axe to health and safety legislation, while a further 19% thought tax compliance was the place to start. Hopefully, reducing the compliance burden will save money and free up entrepreneurs to do what they’re best at, i.e. running their business - while shelling out lots of tax and hiring lots of ex-civil servants in the process.

Also there is a  lack of training for women  in business which has bee identified as holding back UK industry, where next?



Helping Real People do Real Business Through Real Networking

Elevator Pitch and Lifts in General

Looking at business connections and learning’s, I reflected on how you haven’t learnt anything until you have put that learning into action.

Take the infamous “elevator pitch” it’s a speech you would give if you were in the elevator  with a potential customer and you only had until they got out at the tenth floor to impress them with details about you and your services

There is some evidence to support this was originally used as a way to impress the personal assistant who was escorting you to your interview.  The thought process was the boss would ask said PA what they thought of the applicant

However, in summary, a relatively short description of what you do and the benefits you deliver. A helpful, but by no means the only recommended structure, is to develop your sentences as follows:-

We/I work with ………………………………… (insert a description of customers)
Who have a problem with……………………………….…………. (insert description)
What we do is……………………………………………………………... (insert description)
So that………………………………………………………………………..………. (insert results)
Which means that…………………………………………………………….. (insert benefits)

Research shows that people respond more readily to problem solvers than they do to potential benefits.  This is why the second line is so important.  This is another way of looking at the age old phrase that ‘Knowledge is King’ and those who use it wisely will generate more business.

For those out there who would like a free evaluation of your elevator pitch please send me yours with a few details of your product or service and I will give you a free and impartial review.

To your success in business

Paul Johnstone
paradigmshakers@gmail.com

Big firms getting Social media right

Here’s a thing- Big companies are teaching small businesses an online lesson. And it’s usually small companies that have the ability and flexibility to teach bib business lessons about on-line smarts.

Anyway this Graham Jones fellow puts it across better than I can check out his message.  http://bit.ly/bOM5u4



Helping Real People do Real Business through Real Networking

Paul Johnstone

PS do you see a duck or a rabbit?

Something we don't know about you

 

Paul Johnstone ©

 
Does any of this sound familiar?

Have you ever been to a business networking event and left feeling that you didn't really get to know anyone?

The conversations at some business networking events can be dull even lifeless, especially if everyone just talks about their business.

Now one of the main reasons we go networking is to increase our sphere of influence.  This works because other members start to understand what it is that makes us special. 

There is more to business than business itself. 

A truism in business is this.  “People buy People” they don’t necessarily buy from people in the same group.  This is where your social skills come to play.

Ask others about their family, hobbies and so on.


We are all taught to ask questions and then respond.  The problem with this technique is that it is not conversation, it is interrogation.  “Who are you?”  “What do you do?”

A conversation in real live usually starts with a statement or an observation.  “You’ll never guess what happened to me today.”  Or “”What a fantastic time I’ve just had” 
 “What did you think about that great show on the TV last night” Ok that’s a question but it’s one that starts a conversation.

When you’re out networking, a good idea is to build up a pool of knowledge about others in your group.  If you like a bag of facts that will help you enjoy a conversation with them.  Once you have taken an interest in their interests, they will become interested in you.

Often this is when people come alive, smile and reveal their true nature. Especially when they share one of their passions with you..

That often is the spark for a conversation with someone and a real connection where you get to know and like each other. It's those connections that lead to follow up and a good business relationship based on trust where you become advocates. That's when networking really starts to work.

Helping Real People do Real Business Through Real Networking

Keeping track of your referrals

Paul Johnstone ©  

Make sure you know where your referal came from.

At a Refer-On Breakfast last week a guest came up to me with these words: 
She told me that the Refer-On business networking group she belonged to had been the main reason she had become more successful.    Much of her business was a result of the relationships she had made in the group. It was not all, however, down to direct referrals. It was sometimes 2, 3, 4, 5 or even 6 steps removed.   But by tracking back to the initial source she knew which relationships were critical to maintain & nurture.

If you don't keep track in this way you run the risk of upsetting your referral sources.  By not keeping them up to date with the results of the positive Word of Mouth they are generating for you.  You could potentially miscalculate the return on investment on some of your activities and end up dropping some for the wrong reasons.

You may think that is limited to direct contact of some sort, but I have also found that much of the business generated via the internet has its root in referrals and word of mouth.

During a conversation with a prospective New Hub manager, he wanted us to open a Refer-On Hub in his area. I asked how he had found us?  He said through LinkedIn.

When we met I asked the question again. Whilst it was true that he had found our website via LinkedIn it was because someone we both know had suggested me to him.  It’s often a complex path that referrals follow so it’s worth tracking them at all times.  I was able then to thank the referral source and keep them informed.  After all we all like to be told we have done well, and a short email is a fantastic way to keep people informed and tell them how their introduction turned out.

Many of the people who found us through the net or social media turn out to be via Word of Mouth. As often as not, people who find the Refer-On web site have been directed there by a colleague or a friend.  Don’t underestimate the power of the web when recording your referrals.


Helping Real People do Real Business Through Real Networking

Read All About The News

Paul Johnstone © 
 
A quarter' of students and Scouts plan to launch a business - and could woggles replace ties in offices across the UK?

That headline has been all over the place recently.  The hidden message in that headline is that we should all be kind to students!

Check out the full story in Management Today late  http://tiny.cc/1985p

Good news
UK economy grows at the fastest pace in four years, so the Telegraph on line tells us

Check out the full story:  http://tiny.cc/f7fov


You thought money was tight.  This story says otherwise.  Heard the one about the £7,000 car wash?  Read all about it  http://tiny.cc/omaa1   


Helping Real People do Real Business Through Real Networking

Your Networker’s Tool Kit

Paul Johnstone ©  
There are a couple of important items that every serious networker should carry, at all times:

·    Business cards
·    A pen
·    Something to write on


These are the only things that need to be taken to an event. The business cards are pretty self-explanatory. Networkers should always carry pocketfuls of these to hand over to relevant people. A pen is also useful, for jotting down any notable details about people spoken to during the function.  However there is an assumption you will have something to write on, I use a WH Smith 99p notebook that slips into a pocket easily. 

All business networking groups and networking events offer different formats and ways of networking.  Almost all groups include a method of getting you to present your business to the group.   You do this because these events usually include a number of standard elements.

Just like any business, networking events have a target market, so different groups will attract different types of people. There are many networking groups specifically for women.   As there are groups targeted at start-up businesses, as well as small or large businesses. There are groups where the members all do business with professions, so have material prepared for who the others do business with.

Format of Networking Events
It is usually possible to find out the precise format before attendance at a business networking event and this will help ensure the best use of time at the meeting. Someone will run the event and will explain what happens when- also, other attendees will help newcomers to understand what to do at the right time.

Business networking events usually start on time - business people are busy. Some events start with an opportunity to meet and chat over coffee, others start immediately with the agenda. It is important to be punctual, turning up early or on time, as being late gives an immediate and noticeable impression.

A Speaker to the Business Group
A speaker, who may be a member, is often invited to talk to the group on a topic of interest to the members. The information is targeted to the group and usually gives some help to the attendees. For example, providing information on the latest technology (e.g. blogging, auto-responders, new printers) or on business opportunities in the local area (e.g. local government initiatives and how to access them).

Speakers often provide handouts or will email details of the talk after the event. These talks are not meant to be sales pitches and usually deliver valuable information. They tend to be short, around ten to thirty minutes in length and often invite questions at the end. If there is a speaker, preparing questions before the event will help ensure a business gains the most from the topic and also provides an opportunity to build a relationship with the speaker.

60 seconds to success
Business events usually provide an opportunity for attendees to present a short summary of their business. Sometimes known as a sound bite, elevator pitch or one minute, typically between thirty seconds and one minute per attendee is allowed.


Helping Real People do Real Business Through Real Networking

How to benefit from business networking

©Paul Johnstone
The business benefits of networking are well known.  Peter Jones of Dragons Den is quoted as saying “Networking is the most cost effective route to market there is”. But what is networking?  You may be familiar with word of mouth marketing, or business by referral or Advocate marketing.   These are terms for this powerful and underused marketing technique.

To get the most out of your networking, plan for success.  A good tip is to set yourself some goals.  Add to the goals the right tools, a pen, some business cards, a note pad and a badge, and you are ready to network

Once you have decided the right place for your networking.  You should attend regularly, if the group meets weekly, attend weekly, the same for monthly and so on.   This regular attendance is one of the cornerstones in building the trust based relationships that will deliver business to you, year after year

It helpful to have a 3 – 5 minute business conversation with all the other members of your group each time you meet.  This usually means you will arrive early, so you can fit everyone in.

At open networking meets such as Chamber of commerce events, work the room.  This is a simple technique where you move from one conversation to another effortlessly.  It’s a technique you may like to practice with people you know first so you are at ease when doing it with strangers.   

 
On the subject of strangers, go against what your mother told you never to do, and talk to strangers.    This works wonders for your business.   

Networking should not be confused with selling.  Networking leads to business but is not a sales pitch.  The customary phrase is networking is telling not selling.  So listen and comment, and don’t go for the hard sell.  The people who don’t succeed networking, usually try to sell all the time.  This often antagonises people who just stop listening.

It’s a good idea to have a tale to tell.  Being prepared with an outline of how you can help people is a fantastic introduction.  After all, you have only a short time to tell people what’s in it for them.   If there is a 60 second presentation, stay focused by telling people about one activity.  Either the one that is most profitable or the one you want to develop, but stick to one. 

By staying focused on one product or service you are making it easier for your audience to remember you.  Stay focused and tell them why you and how you can help them. 
Now for the Killer Ap in networking:  The Follow Up.  Take tip from some of the most successful networkers, who always follow up.  An email or phone call are good.  All you want to do is make contact.  You are not selling you are at the beginning of a journey with a potential client.  Don’t put them of with a sales pitch. 

Helping Real People do Real business through Real Networking

Networking for beginners

Paul Johnstone ©  

• Are you a small business owner? 
• Or you may run a home based business?  
• It could be you're just starting out and you need to make contacts.   

Whatever your reason for networking, it takes self confidence to walk into a room full of strangers.

Lets be honest you don't know anyone, you may feel unsure of yourself, often under prepared and you're about to turn round and walk out when a friendly looking person approaches, with their hand extended.

But the good news it that’s the hardest part over.  You are normally met at a network group by some one someone placed strategically by the door.  They should welcome you to the event.  If they know a visitor is a newbie a good network group will go out of their way to help you be at ease with the group.  

Lets be honest they want you to return and just about all B2B groups want return visitors.
One of the first questions you will be asked if "How can I help you?" and they mean it! They want to know who you want to talk to, who would you like to be introduced to?

So do a little homework before hand. Who are you looking for introductions to? If you're a florist you may want to link up with a wedding planer, or a photographer. Usually when you ask specifically that’s what you get, a specific introduction requirement for success - showing up.

Networking - The Planning
Do you have a networking strategy?  It's quite likely that you'll have a business plan, a financial forecast and probably a marketing plan, so why not a business networking plan?
In today’s financially stretched market, networking is seen as a great way of generating new business leads.

Think about this situation; you regularly attend a pay on the door often at a cost of £15 per visit.  Now to get a return on your investment (ROI) is relatively easy.   Now multiply it by the other 3 ad hoc events.   Then add in the annual subscription to the breakfast club you're committed to and suddenly you have a significant outgoing cost.

How do you decide which events are worth attending?

OK you’ve planned where to go and what to say so how do you decide if it’s the place to be?  You look at your ROI.

I measure my ROI on a simple basis.   Which event brings the highest return?

Over the years one fact has held up time after time.  Interestingly you may think that the group with most people would bring the highest returns.  I can honestly say that has never been the case.   It is always the group where there are more synergies, or the groups ethos is to help others.   So beware playing the numbers game.

In terms of time invested but let's be honest, we network to generate new business. But no one is going to buy your product at the first meeting.   If they do it could be a bonus, but it may be the group want one of you and have decided to hook you with a quick order.
It's after the event that the important part takes place - following up and those 1 to 1's. That's where the true value lies.

It's at those 1 to 1's that decisions are made, based on the relationship you've created. People buy from people, and networking is a way of making the connections that you wouldn't otherwise have made.

The other point is that networking works once trust based relationships are forged.  And these don’t happen overnight.  So when you're considering an event, make sure you can attend regularly, again with the emphasis on building trust.

Decisions Decisons!

Are the people in the room the decision makers in their business? Or are they the leading influencers? Do you need to speak directly to the MD? How often should you attend? If it's ad-hoc networking then we would suggest 3 times to get a real feel and understanding for the leads generated. A structured weekly breakfast meeting may suit you and will generate more business. This kind of event builds long-term relationships but may come with its own stipulations.

Track all the events you attend and review them at least quarterly. If they are taking too much time and money with little return you need to discontinue your membership. Be ruthless, as the time and money you save can be re-invested in more beneficial activities.
But enjoy meeting people and growing your business at the same time.

Helping Real People do Real Business Through Real Networking

Rules for Successful Networking

Paul Johnstone ©
I recently read the Rules for my local golf club. You may imagine how strict their rules are. At the door, you have to show your ID, sign a rules and regulations agreement, all the usual stuff.  All guaranteed to guide behaviour and set a tone of respectability.

When networking at a business meeting or event, wouldn't it be great if everyone around you knew what they should and shouldn't be doing?  How great would that be if everyone that attended association events, Networking Groups, Business event, B2B club, chamber events, conferences, and cocktail parties had to read, understand, and sign off on the Networking Rules and Regulations?

By accepting a behavioural pattern we fit into our surroundings.   We'd also do a ton more business with the right approach.  Without knowing the rules, it's no wonder so many sales people and business owners are fearful and uncomfortable when it comes to swinging into the event.

You will always get the best out of your business networking events if you know what is expected of you.   This can be difficult if you are new to business networking groups. More so if you are a start up taking your initial steps into the B2B market place

Below are some networking Rules and Regulations that might make the list. Swim at your own risk.

Dress for success (no flip flops or singlet’s).
Determine ahead of time if the event requires business, casual, or very casual attire. There's enough on your mind—why let your appearance be something else to worry about?

Take business cards, a pen.
It amazes me how many people at business functions don't have a business card with them. Business cards breed business and seasoned pros know that. Or they should.

Know who you will be playing a round with.
Do you know who rounds out the guest list? Have you determined ahead of time if your prospects, clients, referral sources, colleagues, associates, counterparts, competitors, or advocates will be in attendance?

Networking only; no selling allowed
Repeat after me—networking, networking meeting. Selling, sales meeting. Got it? Networking and selling are two completely different techniques.

Be prepared to ask questions—about other people.
Know what questions you will ask those you'll be meeting. It's the best way to start a conversation, learn about other professions and industries, and attract people to you. If you're authentic, genuine, and a little lucky, you may be asked questions. Imagine that!

Greet and introduce others with passion.
I love introducing people I know to other people I know. It helps provide an easy connection for others, I'm helping the cause, and I feel pretty good about myself. What can be better than that?

If there is a connection, ask for their business card.
Don't be shy. If you've spent time with a quality contact and you're interested in continuing the conversation at a later date, ask for their business card. They might just ask you for yours. How else are you going to re-connect?

Hand out your business card (when asked).
I only hand out my card when asked. It seems rude to offer a business card to someone who may not want it. If they wanted it, they would ask.

Use your Call to Action—when asked.
Know what your purpose is and only share it when asked. If you don't know or can't share your purpose, it will be difficult making solid business connections.

Spend more time listening and less time talking (especially right after eating).
We spend way too much time thinking about what we'll say next rather than listening to others. If we listen and learn, we may have something more worthwhile to say.

Know when the conversation is over and mingle with others.
Once the chat is over, say your goodbyes and ask for a card. That is, if it's worth chatting again. If not, say your goodbyes and offer them an opportunity to meet others.

You must make a friend (or two) and have fun!
Once you meet a few great people and get the breathing down, you will be much more comfortable in the deep end and it could even be fun! Heck, you may even get some business out of it.

Do what your mum told you never to do, Use the F word – Follow Up
In golf a swing is only as good as the follow through.  In networking a connection is only as good as the follow up.  And the more networking you do the more follow up’s you need to do..

Of course, there are plenty more. This is a good start and a nice way to … get your feet wet. Establish these Rules and Regulations as your standard and help provide a safe and enjoyable golfing (networking) experience for all! Thanks for your cooperation.


Helping Real People do Real Business Through Real Networking