The importance of networking

Networking is key to business and personal success, but many small businesses are not making the most of the opportunities available to them. According to a survey by Lloyds TSB Business:

• 40% of small business owners do not believe networking will help their business
• 10% do not devote any time at all to networking.
• 40% of business owners sometimes attend events
• 15% realise how crucial networking is to their business

Of those switched-on people using networking as a business tool:

• 75% said they had won new customers through networking
• 40% have found new suppliers
• Others said networking had given them new ideas for marketing and helped with recruitment.

If you’d like to network but are stuck for ideas, more than 50% of the survey’s respondents cited exhibitions as a great place to meet new people, while just under 50% thought conferences and seminars were a good starting point for expanding contacts. “We’ve all heard the old adage ‘it’s who you know, not what you know’ but for many small firms today, the importance of building relationships is being seriously underestimated,” said head of communications for Lloyds TSB Business, Stephen Pegg. “Small businesses are often too quick to overlook the benefits of networking, but when they do find the time to nurture new contacts it’s never too long before they realise the part these relationships can play in their future growth and success.”