How to close the long deal
Here are five rules for making the big score (or two or three or more) for your small business
“I don’t like waiting for anything,” says Dragon’s Den alumnus and current Shark Tank cast member Robert Herjavec. He’s voicing the sentiments of all entrepreneurs. But many small business owners have to wait — sometimes, for months. With several irons in the fire, there’s always that one contract that, if landed, would be oh-sosweet. Here’s a proven formula for closing that long deal, with advice from some successful GTA entrepreneurs. The first rule: Network
Networking does not mean joining a golf club and handing out business cards, says Michael Ortelli. A co-founder of Bold Design, Ortelli succinctly defines the skill of the schmooze: “It is about creating and maintaining relationships.”
A leading expert on networking agrees. Donna Messer, president of ConnectUs Canada and managing editor of Toronto Entrepreneurs, says, “Ethical professionals who network properly spend more time making intros for others than for themselves. It’s about thinking ‘we,’ not ‘me.’ ” In other words, think long-term to help close the long deal. The second rule: Learn your prospects’ calendar
Seeing from another business as- sociate’s point of view may show you’re not involved in a long close after all. When does it officially become short? Once you know when they require your product or service. Herjavec reiterates, “I am not good at waiting — I like to know we are going to win business by working it through their process.” The third rule: Demonstrate expertise in your field
“It can be invaluable to be acknowledged as an ‘expert’ or ‘leader’ in your chosen area,” says Karla Stephens-Tolstoy. The Oakville entrepreneur recently piloted Oskar Mobil, a Czech phone company, from $0 to $500 million in just five years, before selling it to Vodafone. Stephens-Tolstoy is currently the CEO/founder of a new social website, Tokii.com. “In today’s instantresponse and increasingly ADD world, it is critical to have a ‘voice’ and be an influencer.”
Ideally you’ll have written a book, but if you’re not there yet, tweet and blog regularly. When you come across an article online that would be useful to clients or prospects, forward it with a polite and simple introduction.
What if you’re too busy looking after business to do this extra research and writing? Then have someone on staff do it. Just ensure that what you say and send is genuinely useful, not biz-babbly jargon. The fourth rule: Ask for feedback People love sharing their opinions. The secret is to make all contact that’s about you, about them. Instead of asking how you did, ask how their experience was. What could have improved it? Then, you listen — and they begin to trust you more. Presto: you have a relationship! Asked whether her site solicits feedback from its customers, Stephens-Tolstoy responds, “Constantly. We welcome and encourage feedback, good or bad. We supplement this with ongoing research and contests designed to solicit feedback. We then tweak the products and test and tweak again as an ongoing business philosophy.” Moreover, by listening, Ortelli says you’ll find ways to up-sell clients more of your services. “Never be afraid to say, ‘Hey, we can do that for you, too.’ ” The fifth rule: Ask for the business If you’re wondering whether the time is right, it probably is. Don’t wait — politeness, even in Canada, may be misinterpreted as disinterest. Set objectives and boldly go. “It’s never too early to ask for the business,” says Herjavec. “Great sales people look for the objections and ways to overcome them, so that all that is left is the deal.” Stephens-Tolstoy agrees and adds an interesting possibility: “After presenting your pitch and answering any key questions, it’s okay to try a trial close. If the response is more questions, answer them patiently and then try for the final close. Or, sometimes it takes the negotiating process to learn you do not want their business.”