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We’re turning the tables from last week to pay attention to choosing the right clients. We are here to help you know what to look for when searching to build your portfolio and what to steer clear of to have the best possible experience.
As an MSP, you have to be selective. You might be in the mindset that all business is good business, but that is not the case. There is more than just the paycheck going into your account.
The first thing that most MSPs are looking for is their client’s ability to pay them. Basically, a fat paycheck. This is great and you should always look for potential clients that will be able to pay their bills. But, there are a few reasons why a fat paycheck is not the only thing that you should look for.
First, if you have a client that is able to pay a ton of money, then they have the ability to ask for most of your time. One single client should not be taking up 90% or more of your time because that gives them way too much control over your schedule. Getting a big paycheck is great, but what if that client goes away? What do you do then? You should never worry about the majority of your money coming from one client — that’s too much dependence on something that could change very quickly. It’s better to have a variety of clients that take up smaller chunks of time as well as build up your portfolio so it isn’t detrimental if one of the clients decides to not use your services anymore.
Second, you need a client that is consistent. If they are willing and open to pay a large sum at the very beginning but aren’t stable enough to maintain that pay for the long-term, then that client isn’t the best option. You want a steady flow of revenue to maintain the well-being and health of your company and your team. The key is to have a great account mangement team that can figure out if a client will be a great long-term investment. If a client has no budget and no plan for the future, then it is probably an account that you should steer clear of.
So, you won’t just be basing your client decisions off of the amount of money they are willing to pay; what should you base your decision on?
The best way to have outstanding clients and the best work experience is to pick your clients based on culture. Basically, you should pick a lane or a few lanes you wish to work with and become really familiar with those clients. This could look different for every single MSP, but choose an area that you can get really good at and stick with it! Let’s go over an example. Say you’re an MSP and you decide to only work with dental and doctor offices. This keeps your market open, but not so wide that you’ll take any and every type of work. Now that you have a niche market, you can really dig in and get creative with solutions instead of getting stretched thin by having to constantly learn a new area of business.
In order to have a lane, you have to know who you are as an MSP. If you takeaway only one thing from this blog, it should be this: You have to know who you are in order to know what you’re looking for in a client. The most important thing you can do is establish and understand your culture and niche market. If you know your lane and your customers and clients, then you will be able to say no when a client doesn’t fit that culture. Your clients will love your services even more if you know exactly what you offer and let them know from the get-go.
Lastly, when a potential client ends up not fitting your culture, have a set of tried-and-true MSPs outside of your business that you can recommend. This way, everyone wins. You get to stick with the clients that work best for your culture, and other MSPs get clients sent their way that fit theirs.
Set up your business so that you get to choose the clients you want to work with to make sure you have the best experience possible. It’s as easy as understanding yourself!