Attracting and approaching new prospective clients to generate revenue is the bread and butter for thousands of businesses. It’s a simple yet elegant dance; your company provides a service, so you have to find new clients to provide that service to. However, how exactly do you decide which prospects to pursue and which not pursue? How do you separate the wheat from the chaff? Time spent pursuing clients that ultimately aren’t a good fit for your business is a drain on resources and ends up eating into any potential profits to be found via other companies.
Merely eyeballing prospects based on general performance used to be the business mainstay. However, in the information era, this is simply no longer good enough. For example, there has been a large recent rise in fraudulent companies. These companies appear to have solid growth rates, and this attracts quite a few risky investors. Unfortunately, if you take the due diligence to just dig a little deeper to find the company address and look them up on Google Streetview, you’ll see that the official company address is usually some shack in the middle of nowhere. By taking the time to find the right data and use this data to influence your decision making, you can avoid investing or working with clients whose business is not all that it seems.
Now that we understand the importance of data-driven decision making and due diligence, how exactly do we go about practicing it? There are a few categories of business data that can be used to assess client suitability, including Financial data, growth data, CEO data, supply chain data and interactions:
- Financial data can be used to assess the financial stability of a company, weeding out any clients who would be unsuitable to benefit from your service.
- Growth data is a record of how much the company has grown year on year or quarter to quarter.
- Data on the CEO of a company is often overlooked but can also be invaluable. For example, being able to see the past records of success or failure for a CEO could give you an indication on the likely future of the company.
- Supply chain data and data on interactions with other businesses can also reveal how much a company has invested and where, as well as their main collaborators or suppliers.
Finding all of this data can prove difficult, but DataGardener provides extensive data on any UK company all in one place. With an intuitive user interface and massive amounts of data from shareholding information to property rights or even the nationality of the CEO, DataGardener is the ideal service for practicing due diligence and data-driven decision making.