Checking Out the Small-Business Markets?

By William L. Willard, CLU

Looking for sales opportunities in the business market is like following a burning fuse in search of an explosion: you usually don’t have to wait very long. For otherwise successful small-business owners or professional practitioners, only three things can disrupt their personal financial security…

• They can die
• They can suffer a disabling illness or injury
• They can fail to prepare adequately for retirement.

Those are issues we all face; but, owning a business creates some additional problems and opportunities, many of which are best addressed with insurance and equity products. And because business needs cannot realistically be separated from personal needs, you're in an ideal position to take care of the whole package.

Business Needs - A Short Course

In addition to their personal and family needs, business owners and professionals have a variety of business-related concerns.

• Business Continuation. Most business owners and professional practitioners wouldn’t open their doors without first insuring against the risks of fire, theft or liability. Yet, the death, disability or retirement of a business owner or key employee can put the business at even greater risk.
  
  
• Executive Benefits. Today’s small-business owners and professional practitioners want "golden parachutes," that is, additional benefits for themselves and selected employees, without having to invite everyone on the payroll to participate in employee benefit or qualified retirement plans. What’s more, salary alone isn’t always enough to attract and retain the best people. Company-paid benefits are often used as recruiting incentives, and as "golden handcuffs" for too-good-to-lose employees.
  
  
• Employee Benefits. Employee benefits have become a much-talked-about topic in recent years. While employees understandably want stronger benefit plans, employers must carefully weigh the cost of their fringe benefits. Yet, in today’s competitive business environment, a good employee benefits package is a virtual necessity.

All three business needs can be managed very effectively with your products and services--in many cases, using tax-favored business dollars. In fact, you'd have a hard time finding as many affluent prospects who need what you’re selling as much as business owners do. If you're already working in these markets you know what we mean.

If not, consider this…

Why the Small-Business Markets?

• People who go into business for themselves are serious about what they do. They have to be. They’re usually out there on their own, and their commitment must be total. If they’re smart, they watch every dime and make the most of every opportunity.
  
  
• Once their companies are established, small-business owners are often very well off financially. Working for someone else is usually not the instant-route to wealth. Fueled by corporate downsizings and layoffs, that may account for the surge in small-business start-ups in the ‘80s and ‘90s.
  
  
• Most business owners think bigger at work than they do at home. It’s easier getting these prospects to pay for insurance and other financial products with a business check than with a personal check. If you show them how to meet their personal needs with those business dollars, they’ll be even quicker with a pen.
  
  
• The small-business markets are daytime markets. Most business cases are sold during what passes for normal business hours for most people.
  
  
• Business market cases generally have high persistency. Business owners buy solutions to problems, not products. They know what they’re buying and why they’re buying it, so you’ll be more likely to keep this business on the books.

Don’t overlook self-employed professionals…

Like most small-business owners, self-employed professionals have to provide most if not all of their benefits for themselves, and can do so with business dollars.

This group is made up of doctors, CPAs, attorneys, accountants, architects, and others who do business as sole proprietors, group practitioners or in professional corporations or professional service corporations.

Each type of professional has unique characteristics, styles, attitudes and concerns that can set them apart and can influence the way they should be approached. In spite of style and personality differences, however, professionals share at least one thing in common: they need to protect their incomes and provide for their long-term personal financial security. Each type of professional has unique characteristics, styles, attitudes and concerns that can set them apart and can influence the way they should be approached. In spite of style and personality differences, however, professionals share at least one thing in common: they need to protect their incomes and provide for their long-term personal financial security.

Where to From Here?

Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once. Most financial services professionals should enter the business markets from the personal markets gradually. This is not like switching from driving on the left side of the road to the right side, which is best done all at once.

Try adding business market cases to what you’re already doing. Since one market feeds the other, you'll probably want to continue in the personal markets even after you've developed business market clients.

Together, they can make for an interesting and profitable activity mix.

Want to Know More?

Financial services representatives who want to know more about Generational Marketing should not miss these Marketing Guides available from Pelican Island Publishing:

1. The Mature Market - A Generation at the Crossroads

2. Boomers! - Marketing to the "Me Generation"

3. Marketing to Generation X - New Ideas in a Changing World

(Each is available for about $25. per single copy at http://www.mronline.com)

These publications offer profiles of key generational "markers," a review of the expectations each age group has of financial services advisors, plus cohort-specific prospecting tips and hands-on approach techniques. Interested? See William L. Willard, CLU below and address inquiries to Bill at w.willard3@knology.net.

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