Every entrepreneur knows that relationships are the key to success. It's important to build relationships with mentors who can help when the going gets tough, reliable investors who can finance growth, and experts in their field who can serve as advisors.
But there are many other relationships that may be dismissed as not so important. Developing relationships with certain groups, often overlooked, has served as a critical driver of success in multi-million dollar startups.
Bootcamp directors and CIOs
Hiring engineers early in a startup's life can be difficult. You need help of the highest quality, but there is usually no budget for it. A good practice is to take advantage of the best talent is to know and relate to the people who are educating the next generation.
Obviously, if you have a degree in technology, starting with your alumni connections is the first step. But even if it doesn't, the startup is likely to be surrounded by local universities or community colleges with strong computer training programs. Larger cities also have training boot camps that produce engineers with solid project experience.
By getting to know the leaders of these organizations, whether they are department heads, directors of career services, or even notable teachers and professors, you can reap incredible benefits like invitations to career fairs, insider information, and introductions from rising stars who could be perfect for the company.
unhappy customers
Customer feedback is likely already being paid attention to. It's tempting to focus on customers who are generally happy and offer incremental ideas on how the product could be improved. But the real efficient and valuable feedback comes from customers who really need what you offer, but are not satisfied with your product. Therefore it is enriching to spend most of your time talking to them.
Some customers may simply not be the right fit for the product, and it's okay to largely ignore what they have to say. But really listening to those who fit into the target audience and aren't happy yet is key. Given a platform, these people can serve as an informal advisory board and provide input that will help improve the product by leaps and bounds.
Keep seeking their feedback as changes are made, even consider asking them to be early or beta testers, and the end result will be a strengthened product and conversion into more satisfied customers.
The tech community on Twitter
It wouldn't have been surprising to suggest building relationships on Twitter five years ago, but these days, this aspect of the platform has been somewhat neglected. As people flock to the latest popular social networks, many in the tech community have stayed loyal to Twitter. As it becomes more specialized, the platform becomes more valuable.
With the right connections, you often get information about useful business opportunities before anyone else. is needed aid for recruitment? Follow competitive companies or top companies in the industry so you can be the first to know when employees have been laid off. Some organizations or executives even create employee job search spreadsheets, which can lead to great hires.
Do you want access to state-of-the-art technology? Just follow entrepreneurs and innovators to get quick access to new products that could help your business work more effectively. Journalists in the same career field as the company can also be followed for easy PR opportunities when questions are asked on the platform.
The closest competitors
Entrepreneurs know to watch the competition, but it is better to build a relationship with rivals. Taking a “rising tide lifts all boats” approach will allow you to develop friendly relationships with people on a similar path, which can lead to valuable information sharing and partnership opportunities that benefit everyone.
More importantly, these relationships are critical to one of the biggest growth strategies: acquisitions. This is not a Trojan horse approach where you pretend to be friendly and then take over. Instead, developing meaningful relationships with competitors makes it easier to find the first people you think of if you ever want to sell.
Also, because it is started on amicable terms, creative financing options can often be negotiated that benefit both parties. For example, paying a more affordable amount up front and continuing to pay a portion of the proceeds until the full amount is paid.
Ultimately, success in business comes from the people founders surround themselves with, and there are crowds that can surprise you with the impact they can have at work. Treat relationship building like a job, because it is, at least in part, and you'll be surprised how far collaboration can take your business.
