Growing a Referral Network: Talk to the People Who Speak Your Language

As a small firm owner, I remember all the things I tried to get work in the door. My first client came from Craigslist, and a number came from answering “help wanted” ads and convincing business owners to hire me for an outsourced consulting gig. I spent a lot of time on my website and, for a time, vowed to post on Facebook daily with content. I had dalliances with Instagram and even practiced speaking with TikTok. I created a YouTube channel and developed courses. All of these were great exercises, and I believe someone somewhere benefited from one of my posts.

YouTube, Instagram, and TikTok feeds take a lot of work—too much work for someone who is also doing all the work and, honestly, is not that creative. My skillset lies in my accounting knowledge and my ability to translate complex reports and data into comprehensible language for the client. Our firm specializes in developing reports that resonate with the client and bring a sigh of relief to audit teams and tax preparers.

Many years ago, a wise friend asked me how much business I got off Facebook and my website. I thought about it and sheepishly replied, “Zero.” She asked me how many times I had asked a client for a referral and how often I had reached out to the firms that supported the client and developed relationships. Again… zero.

From that day on, I vowed to develop relationships with the people who "spoke my language," the ones who understood the value I brought to the client. The firms that understood how I made their life easier. My referral network comprises advisory firms, CPA firms (especially if they perform reviews/audits), lawyers, bankers, loan officers, brokers, and investors. These are the people who value the work that my firm does. These are the people who have the connections and have me as part of their network of referral partners to make THEM look good.

So, let me ask you, who are you talking to?

How to build a referral network

Building a strong referral network involves several key steps. First, identify the key players in your industry who can appreciate and benefit from the value you bring to the table.

For me, these were other professionals in the financial services industry, such as CPAs, auditors, and financial advisors. By focusing on individuals who understood the intricacies of my work, I was able to foster relationships built on mutual respect and shared objectives.

Next, it’s essential to invest time and effort into nurturing these relationships. This isn't a one-time effort but a continuous process. Regular communication—whether through formal meetings or casual catch-ups—helps keep the relationship alive. It also provides opportunities to really get to know the person; you can share wins and losses, discuss ideas and changes in the industry, and just talk about life in general, including family.

For me, I want to feel genuine about my partnerships, and I want our conversations to be a safe space where we can turn to each other for meaningful interaction.

Show your work

Demonstrating your value through tangible results is crucial. When these professionals see firsthand how your work makes their job easier or adds value to their clients, they are more likely to refer you. This could be through streamlined processes, creating custom reports, or being available to promptly answer complex questions.

Equally important is admitting errors and asking for help or a second eye. I have had several instances where I encountered something that was out of our ordinary comfort zone. We would complete it but ask our partner to look it over or provide additional guidance.

Be proactive

Another important aspect of networking is to be proactive in referring and/or connecting your partners. When you come across opportunities that can benefit your network, share them. This not only helps build trust but also encourages reciprocal behavior. It creates a supportive ecosystem where everyone benefits from each other's strengths.

Networking through professional organizations

Additionally, leveraging professional associations and industry events can significantly enhance your network. Attending conferences, joining industry-specific groups, and participating in online forums can help you connect with like-minded professionals. These platforms provide excellent opportunities to learn, share, and grow your network.

My participation in accounting conferences has not only expanded my knowledge but also introduced me to potential partners for my referral network. By sharing my experiences and challenges, I was able to connect with others who had similar stories and could offer valuable insights.

The value of networking

In my journey, I’ve learned that while social media and online marketing have their place, nothing beats the power of a personal recommendation. Clients referred by trusted partners often have higher trust and confidence in your services from the get-go. This eliminates clients who are just price shopping or looking for services outside of those that you offer. Your referral partners know exactly who to send your way.

Always show appreciation for referrals. A simple thank you note, a small gift or a public acknowledgment can go a long way in strengthening these bonds. Over and above all these types of appreciation, I primarily rely on the personal route. I want to know their families and check in to see how they are doing. The nonwork check-ins mean the most to me and keep that person on my radar, looking for opportunities that I can share with them.

Chasing the latest social media trends may be tempting, but the real goldmine lies in developing and nurturing relationships with those who truly understand and appreciate your work.

By focusing on these key connections, you can build a solid referral network that not only brings in steady business but also elevates your professional standing.

So, take a moment to evaluate your current marketing strategies and ask yourself, who are you talking to? The answer might just change the trajectory of your business.