When you hear the word “networking,” you might think of stuffy business lunches or awkward sales presentations.
But networking can be much more than that—and it’s an important part of growing any small business.
For some businesses, local networking really isn’t all that relevant – if you have an e-commerce store, or export a product overseas, then focussing on building a reputation and relationships on your local patch probably won’t add that much value.
Yet, for the majority of businesses, there is some merit in getting to know other local companies.
What Is Networking?
At its most basic, networking is simply connecting with other people.
That might mean going to industry events and meeting new people, or keeping in touch with old colleagues and friends. It might even mean joining an online professional network like LinkedIn.
For small businesses, networking is a great way to make new connections and find potential customers, partners, and suppliers.
It’s also a way to stay up-to-date on industry trends and news. And when done right, networking can be a fun and rewarding experience—not a painful one!
Why Is Networking Important for Small Businesses?
It can help you find new customers and grow your business. It can also help you build relationships with other businesses in your industry, which can lead to partnerships down the road. And if you ever need advice or support, your network will be there to help you out.
By building relationships with other businesses and professionals in your industry, you’ll be able to find new customers, partners, and suppliers—and stay up-to-date on the latest industry trends. So get out there and start networking.
Business Networking Benefits
Yes, in the end, you’ll go to a business networking event because you want to grow your business and make more sales.
Along the way though, you might just discover a few other benefits.
Increased Visibility
One of the primary benefits of business networking is that it can help to increase the visibility of your small business.
When you network with other businesses, you have the opportunity to share information about your company with a wider audience.
This can help to attract new customers and clients, which can ultimately lead to increased sales and profits.
Improved Relationships
Business networking can also help to improve relationships with other businesses in your industry.
When you meet other business owners and professionals, you can develop a better understanding of their needs and how your business can help them. This can lead to improved partnerships and collaboration, which can be beneficial for both parties involved.
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Greater Opportunities
Business networking can also provide small businesses with greater opportunities for growth and expansion. When you meet new people and make new connections, you may be introduced to new opportunities that you would not have otherwise been aware of.
This could include joint venture opportunities, investment opportunities, or even simply new ideas that could help to grow your business.
Enhanced Reputation
Another benefit of business networking is that it can help to enhance the reputation of your small business. When you meet new people and build relationships with other businesses, you are effectively building your brand and creating a positive image for your company.
This can lead to improved customer loyalty and more word-of-mouth marketing, both of which can be extremely beneficial for your business.
Cost-Effective Marketing
Business networking can also be an extremely cost-effective form of marketing for small businesses. When you network with other businesses, you have the opportunity to promote your company without incurring any advertising or marketing costs.
This is an incredibly valuable benefit, as traditional forms of marketing and advertising can be extremely expensive, particularly for small businesses.
Increased Confidence
Business networking can also help to increase the confidence of small business owners and employees. Meeting new people and developing relationships with other businesses can help people feel more confident in their abilities and in their business’s products or services
Different Types of Business Networking
There are a few different types of networking events out there- not all of which will be right for you.
We’ve compiled a list of some of the most popular business networking events for small businesses in the UK.
Single Seat Networking
In this format, there is typically only one business per category. For example, you’d only have one accountant, one website developer, one copywriter and so on.
The benefit here is you build relationships with others in the room and become the ‘go to expert’ when someone needs your services
Multiple Seat Networking
The opposite of a single seat event. In this format there can be multiple businesses covering the same industry.
This tends to be a cheaper alternative to single seat networking.
Online Networking
With online networking, you can connect with other businesses from the comfort of your own office (or home). There are plenty of online networking events and forums that you can join.
These come in the single seat and multiple seat format.
The benefit here is you can connect with companies outside of your local area. The downside is it’s harder to make really great relationships in this format.
Speed Networking
Speed networking is a great way to meet lots of new people in a short amount of time.
As the name suggests, it involves moving around the room and spending a few minutes chatting with each person before moving on to the next.
This can be a nice way to quickly collect business cards and identify a list of businesses to follow up with.
Industry Specific Networking
If you want to meet other businesses in your industry, industry specific networking events are a great option. These events are usually organised by trade associations or chambers of commerce.
How to Prepare for a Business Networking Event
If you’re not properly prepared, networking can be a huge waste of time. Here’s our tips on how to make the most out of your next business networking event.
Prepare your 'Elevator Pitch'
An elevator pitch is a short, punchy summary of who you are and what you do. It should be no more than 30 seconds long, and it should be something that you can easily memorise.
Why? Because you never know when you’ll run into someone who could be a potential customer or client.
Having your elevator pitch ready to go will help you make the most of those spontaneous encounters.
Keep your Networking Goals Top of Mind
Before you even walk into the event, take a few minutes to think about what you want to accomplish. Are you looking for new customers? New suppliers? New employees? Once you know what you’re hoping to get out of the event, it will be easier to focus your attention on the right people.
Get your LinkedIn Profile in Order
LinkedIn is a powerful tool for networking, so make sure your profile is up-to-date and includes all of your relevant experience and skills.
Don’t forget to include a professional headshot! There’s every chance that fellow attendees will have a look at how you are after the event – like a mini form of due diligence on you, so it’s worth taking a few minutes to get your house in order on this front.
Be Clear about the Problems you Solve
When someone asks you what your business does, don’t just give them a generic answer like “We sell widgets.” Instead, take the opportunity to explain how your widgets solve specific problems for your customers.
This will help them remember you and what you do long after the event is over.
Remember, nobody really cares what you do. They only care about how you can make their life easier. Focus on the benefit to the customer.
Get your Clothes Ready
First impressions matter, so make sure you look sharp at your next business networking event. If you’re not sure what to wear, err on the side of being overdressed rather than underdressed.
You can always take off a jacket or tie if necessary, but it’s much harder to add them back on!
During the Networking Event
If you’re anything like most people, you might have found yourself wondering how to get the most value out of business networking events.
They can be time-consuming and sometimes even a little bit awkward. But never fear! By getting your strategy in place beforehand, you’ll thrive.
Arrive Early
If you want to make a good impression, it’s important to arrive on time (or even a few minutes early).
This shows that you’re respectful of other people’s time and that you’re organised and capable of following through on your commitments.
It also gives you a chance to chat with the event organisers and get a feel for what the event is all about.
Avoid having Appointments Straight After
Avoid having any appointments or calls scheduled immediately after the event.
This sends the signal that you’re more interested in checking items off your to-do list than actually networking and getting to know people.
Instead, take the opportunity to exchange business cards and set up follow-up meetings with the new contacts you’ve made.
Also, if you find you’re in the middle of a great conversation with another business owner, the last thing you want is to have to cut it short because of another commitment.
Bring Plenty of Business Cards
This one should go without saying, but we’ll say it anyway: make sure you bring plenty of business cards!
You never know when you’re going to meet someone who could use your products or services. Having a stack of business cards on hand ensures that you’ll never miss out on a potential lead.
Since we live in the future now, you can add a business card to your phone that other people scan with a QR code to automatically add your details into their contacts. Snazzy.
Dress to Impress
First impressions are everything, so it’s important to dress for success at business networking events. Whether that means wearing your best suit or dress or simply making sure your clothing is clean and wrinkle-free, take the time to put yourself together before heading out the door.
You’ll feel more confident and make a better impression on potential clients and business contacts.
Get Involved in the Conversation
No one wants to talk to someone who’s standing off to the side by themselves, so make sure you get involved in the conversation!
Introduce yourself to people, ask questions, and share your own experiences. The more engaged you are, the more likely people are to remember you—and that’s half the battle when it comes to networking.
Have Some Talking Points Ready
To avoid those awkward moments of silence, have some conversation starters ready before heading into a networking event.
Talk about current events, popular culture, or anything else that’s likely to spark a lively discussion.
Not only will this help break the ice, but it will also help prospective clients and business contacts see you as an interesting and engaging person.
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After the Networking Event
You’ve just come back from a business networking event. You had some great conversations, made some new contacts, and exchanged business cards.
Now what? we’ll give you a few ideas for what to do after a business networking event to make the most of your new connections.
Add Businesses to your CRM
The first thing you should do after a business networking event is add the new businesses you met to your CRM (customer relationship management) system.
This will help you keep track of your interactions with them and ensure that you follow up in a timely manner.
If you want to get really fancy, you can create some automated workflows in your CRM that send out the odd email which should save you some time.
Connect with People on LinkedIn
LinkedIn is a great way to stay connected with business contacts.
Send LinkedIn invitations to the people you met at the event and include a personal message explaining how you met and why you’re interested in staying connected.
Follow up with people within 24 hours
It’s important to follow up with new contacts quickly while they’re still fresh in your mind. Send an email or give them a call within 24 hours of meeting them.
Mention something specific that you talked about to jog their memory. Then ask if there’s anything you can do for them.
Consider How you can Help Others
One of the best ways to build relationships is by being helpful. When you’re talking to someone, always be thinking about how you can help them.
It could be introducing them to someone in your network, offering advice on a problem they’re having, or simply passing along some valuable information. When you’re helpful, people will remember you and be more likely to want to help you in return.
Extra Tips for Business Networking
Through networking you can meet potential customers, suppliers, and partners. And as well as being prepared for before, during and after the event, there are more general principles you can adopt to increase your chances of success.
Give More Than you Take
One of the best ways to build strong relationships is to focus on giving more than you take. When you make an effort to help others, they’ll be more likely to want to help you in return. This is the principle of reciprocity, and it’s a powerful tool for building relationships of all kinds.
Maintain a Positive Attitude
It’s important to remember that networking is all about building relationships. And as with any relationship, your attitude will play a big role in determining whether or not it’s successful. So make sure to approach networking with a positive attitude, and be friendly and open with the people you meet.
Be Social After Hours
Networking doesn’t just happen during business hours. In fact, some of the best networking opportunities occur after hours.
A lot of small business owners have time to use social media in the evenings, so take advantage of this.
Some platforms, like Twitter, have specific hours in the evening when local businesses go online and engage with each other.
Think for the Long Run
Don’t approach networking with a short-term mindset. Instead, think about how your relationships can benefit you in the long run.
By taking the time to nurture your relationships, you’ll reap the rewards for years to come.
It can be a bit of a cliche, but networking is ‘farming, not hunting’. It can take time to cultivate the relationships that matter. Often business owners give up too early and success was just around the corner.
Focus on Building your Reputation
Remember that networking is all about building your reputation. The more positive interactions you have with others, the better your reputation will be.
Focus on being helpful and informative, and don’t be afraid to give back where you can.
Business Networking - Final Thoughts
The most successful business networkers see networking as an opportunity to meet new people and learn new things. They view networking events as a chance to expand their knowledge and build new relationships.
This positive outlook allows them to approach networking with enthusiasm and energy, which makes them more likely to succeed.
Be a Good Listener
Successful business networkers are good listeners. They understand that the best way to build a relationship is to listen more than they talk.
By listening carefully, they can learn about the other person and find common interests. This helps them to create a strong connection with the other person, which is essential for successful networking.
Be Interesting
People who are successful at business networking are interesting people. They have something unique to offer and are able to hold the attention of others.
People are drawn to them because they are enjoyable to talk to. This makes it easier for them to build relationships and expand their network.
This doesn’t mean you have to suddenly become an extrovert if you’re naturally an introvert, just be aware of having something of value to say to people.
Follow Up
Successful business networkers follow up with the people they meet.
They exchange contact information and make sure to stay in touch. This shows that they are interested in maintaining a relationship and builds trust between the two parties.
Wrap Up
You’ve now got all the tools you need to make business networking a success. Get out there, make new relationships and grow your business!