I recently heard an entrepreneur state that the probability of raising capital in this difficult market could be defined as the strength of your relationships multiplied by the traction your business is getting in the marketplace. I have thought a lot about that and I believe not only is that true about raising capital, but it is true about being successful in business.
People do business with who they know, trust, and like. If you think that building relationships isn’t important, you are in for a long haul. The recent phenomenon of social networking is making developing new relationships and maintaining old relationships easier than ever before. I have not only developed new relationships through mediums like LinkedIn, Twitter, and Facebook, but I have rekindled innumerable past relationships.
One never knows where their next client might come from and building relationships helps to establish report with existing acquaitances, and opens the door to develop new relationships for future business expansion.
Don’t let these new social media networks pass you by thinking that it is a waste of time using the excuse “I don’t have time to reconnect with old friends” because you never know which relationship will help your business develop the next client.
