One of the biggest misconceptions in the business world is that big corporations never work with small businesses, but in reality, it’s quite the opposite. Big companies are always on the lookout for reliable and qualified smaller firms to partner with on projects. However, the process of doing business with big companies can be a bit intimidating for small business owners. But fret not, in this post, we will discuss some practical tips on how small businesses can successfully do business with big companies.
My clients include Microsoft, AT&T, Verizon, Zoho, Dell, TD Bank and many others. These are all big companies. The success in working with them has been my building relationships with the key people at these companies. Build trust with them. And ensuring they know I can provide a solution to the problem they have.
Why Do Big Companies Want to Partner with Smaller Businesses
Big companies are incentivized to work with smaller businesses for several reasons. Firstly, partnering with smaller businesses can help them meet government-mandated goals to support small businesses. Secondly, working with smaller businesses can give big businesses access to special skills, knowledge, and talents they don’t have in-house. So, before you embark on partnering with big companies, make sure you understand their incentives.
Prove your stability
Big companies need to know that they are investing in a reliable and stable business. Therefore, before you approach a big company, make sure you have all your ducks in a row and that your business is financially and operationally stable. Use data and metrics to prove that you can deliver what you promise and that your business can weather any storm.
Most big companies have strict security and quality standards. If you want to do business with them, you will need to get certified to prove that you meet these standards. Certification is not limited to security and quality; in some cases, you may also need to be certified as a minority-owned, women-owned, or veteran-owned business to qualify for government incentives. Therefore, make sure you do your research and get all the necessary certifications.
If you’re new to doing business with big companies, one way to get in the door is by being a subcontractor. This can give you access to the big company’s supply chain and help you build relationships that can lead to bigger opportunities in the future. As a subcontractor, you’ll still be responsible for delivering high-quality work, but you won’t have to worry about the administrative headaches that come with running a larger portion of a project.
Be Prepared for the Drawbacks
Working with big businesses can be rewarding, but it also has its drawbacks. For instance, big businesses may have longer payment terms that could put a strain on your cash flow. They may also require updates to your existing systems and processes, which can be time-consuming and costly. Finally, big companies may impose different expectations and requirements, and they often have a structured way of doing business that may differ from your preferred style.
Partnering with big companies can bring tremendous benefits to small businesses, but it’s important to approach the process with caution and preparation. If you’re a small business owner looking to expand your business, take the time to do your research, understand why big companies want to work with smaller firms, and prepare your business to meet their requirements. By doing so, you’ll be on the right track to secure a thriving partnership with a big company. So get out there and explore the opportunities available to you!
Ramon is an in-demand small business expert, who has started 5 companies and sold 3 companies. He’s the publisher of ZoneofGenius.com and BWCDaly.com. Ramon is a motivational keynote speaker and event host. Check out his latest book, “Celebrity CEO”, all about personal branding for entrepreneurs and small business owners. Get help from Ramon for your business at CelebrityCEO.com/coaching . Learn more about Ramon at RamonRay.com