How To Set Up A Strategic Alliance

Setting up alliances with joint venture partners will- Can you barter something else? Time, expertise,
enable you to generate additional income, expandcontacts etc
your marketing network, cross refer business and
extend your service offerings, at typically, no extraSteps to identify, approach and secure a joint
cost to you. It does take time, however, to establishventure partnership:
the partnerships. The time investment is often
mostly upfront, and once established, the time spent1. List all the companies, industries, service and retail
in maintaining the relationship is minimal. A jointproviders that market to your target audience
venture partner is someone who targets the same2. Identify the ones that offer services/products that
clients as you and your services/products arerate the highest complement to yours
non-competing.3. Go through your personal contacts to see who fall
This strategy is most practical for businesses with ainto these categories
small or non-existent marketing budget.4. Next, go through your trusted friends, associates
Attributes of your ideal joint venture partner:or colleagues who have a relationship with these
- They have a business relationship with your targetcategories and ask for a direct referral or personal
audience and have provided a quality service orintroduction
product5. Devise your approach strategy - will it be a trial of
- They have influence (trust & credibility) withyour services, an irresistible offer for their clients, a
their clientshigh commission or a barter?
- They have clients who are used to spending moneyImportant note:
on a similar serviceDo not give up. This strategy requires time, effort
- Their service or product is complementary to yoursand some businesses may not be receptive to
- They are open minded and have an interest inopening up their database to you. That is why an
forging an alliance because of the value you bring tointroduction from a trusted source or someone with
their clientsa personal relationship with you will be the best
How can I interest a joint venture partner to worktargets to hit first. Do not be discouraged if the
with me if I'm just starting out or have nothing topotential partners you approach are not open-minded
give them?to working with you. That is why you have a list;
- Give them access to your databaseyou just keep going and contact the next one until
- Give them a percentage of the profits from theyou secure a relationship. Some may bring you new
sales to their clientsbusiness, some may not. Out of 10, there may be
- Sell yourself, be upfront. Tell them of past successthe one that is highly lucrative and best of all, at no
stories and that you will reciprocatecost to you!