In my last article, I shared with you 5 sure-fire signs that you should be marketing and selling your services to corporations. But while this might sound like a lucrative “bright shiny object,” are these big companies really interested in buying from you, a small business owner?
While it is true that large companies have continued to consolidate their purchasing – that is, they are buying more stuff from fewer vendors – the answer to the above question remains a resounding YES! And here’s why.
Reason #1: You’re a great value. Big companies might have a lot of money – but they spend it wisely. Nine out of 10 times, as a small business owner your services will be priced much more affordably when compared to those of large company that has to cover its overhead expenses. Not only that, but when a corporation buys from you, it knows exactly what it’s getting for its money: You, the expert. Which brings me to reason #2.
Reason #2: You deliver quality services. Right behind a good price, Big Business is looking for quality in the services and products they buy. In fact, in a national study conducted a few years ago, 33% of the corporations surveyed said competitive prices plus quality services was the biggest reason they chose to buy from women-owned businesses. When a corporate decision-maker, such as the head of a department, purchases from a solo business owner, they not only know exactly what they’re getting, but they also feel that they can create a true “partnership” to better ensure their goals are met.
Reason #3: The world is changing. In that same survey, almost half (41%) of the companies surveyed said that the country’s changing demographics played a key role in their decision to buy from more women- and minority-owned businesses. For a lot of companies, ensuring that their employees as well as their supplier base are reflective of the world around them isn’t just about good PR. It’s also about keeping themselves competitive in the marketplace. To do that, they need to not only get the best quality products and services at the best price, but they also need to understand and remain relevant to their customers.
Reason #4: They have to. Yep. You read that right. In many cases, big companies are required to pass through a percentage of work to certified companies, such as those owned by women, minorities and veterans. This typically happens when a corporation is awarded a contract by a federal, state or local government agency – although it can also apply to contracts with universities, not-for-profits and even socially conscious corporations.
The idea is that while the primary contract (read: big money) is awarded to a large corporation, at least a portion of that money will be funneled down to smaller business through sub-contracting relationships. What’s sad, however, is that each year, a good portion of the dollars earmarked to go to small businesses never does because not enough small business owners put their hat in the ring.
Reason #5: It is the “right” thing to do. The last decade has ushered in a new era of transparency for Big Business. Thanks to things like social media, camera phones, and even the Occupy Wall Street movement, corporations know without a doubt that their actions are being scrutinized more than ever before. As a result, they are taking their “corporate social responsibility” very seriously and actively seeking out opportunities to be good corporate citizens. They do this in all sorts of ways. One of them is by supporting small, women-owned and minority-owned businesses.
Guest Writer – Angelique Rewers
Having successfully navigated the corporate buying process from both sides of the table, Angelique Rewers, The Corporate AgentT, teaches solo business owners how to stop chasing cash-strapped clients and instead land lucrative corporate contracts. You can get her FREE CD, “Revealed! 7 Carefully Guarded Secrets to Landing Lucrative Corporate Contracts,” at www.TheCorporateAgent.com.