Many Americans today want to be their own boss and create value through their own business. In fact, according to a USSBA report, small to medium-sized enterprises (SMEs) make up 99.9% of businesses in the United States. With such a high saturation of SMEs, it’s important for brands to stand out and to establish integrity and authenticity. The obstacles that SMEs face in raising funds, recruiting quality talent, and maintaining and increasing client portfolios, have proven to be areas that most often lead to a SMEs failure.
There are several methods and strategies to employ when looking to raise funds, recruiting the right people, and managing client portfolios. One of the most powerful strategies is a strong networking system where contacts and their details are organized, up-to-date, and easily accessible. Every job requires specific tools, and a personal CRM is one for SME growth. There are no “best CRMs”, but rather, CRM’s for specific purposes. As opposed to sales CRM’s that are focused on sales funnels and deliverables, a personal CRM is focused on building trust and nurturing strong relationships.
Finding the Right People
Leveraging a network to recruit quality talent and get the best market deals is something that many SMEs often overlook. In an article discussing why SMEs fail, Tom Eisenmann, an American economist notes that “without industry connections, they couldn’t leverage their professional networks to recruit team members or count on past relationships with factory managers to ensure prompt delivery.”
Business owners meet multiple people every day, some of whom could potentially join their team. A personal CRM tool enables business owners to efficiently organize their contacts’ details and notes about the contact, in a manner that encourages them to stay connected. Keeping notes about contacts’ interests, career journeys, and information about their personal life that they share creates opportunities to connect and re-warm past relationships which could lead to mutually beneficial outcomes.
Building Trust
Match-making VC’s with SMEs can prove to be a challenge, but by nurturing relationships based on trust, the process can be made easier for the entrepreneur. Identifying the right contacts in a business owners’ network and nurturing that relationship can grant access to high-value introductions, where a contact can make a referral on behalf of the SME.
Meeting people face-to-face and building relationships founded on trust are critical when looking to receive funding for an SME. A report from the OECD discussing the factors that influence financing for SMEs highlights that, “although these platforms can reduce information search costs for both the investors and entrepreneurs, they do not replace personal contact and face-to-face interaction, which are mostly needed in a financing model largely based on confidence and trust”.
A personal CRM tool is the medium through which a business owner can develop trust with their contacts by staying engaged with their interests. Features such as tagging specific interests on contacts grant insights that can be used to stay connected, making a contact feel that there is genuine care and diligence in every interaction.
It is not so much about the overall best CRM, but about the tools a business employs to achieve its goals. Sure, logging and tracking sales targets through a CRM is great, but what about the fundamentals of generating leads offline? This is where a personal CRM thrives, enhancing relationships by keeping interactions and contacts engaged, present, and consistent.
Get started with your personal CRM tool today to optimize and expand your business’ growth and network. A personal CRM tool such as Covve is free-to-test and easy to navigate and integrate into your professional and personal life.
Written on 23 Jan 2023.
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