Your business may compete head-to-head with a number of other companies, but this doesn’t mean you have to treat ALL other businesses as if they are the competition. In fact, there are real benefits in creating strategic alliances with other like-minded organisations. When you look at the wider marketplace, you’ll see that there are businesses out there that may well compliment your offering. And by working together (rather than against each other) it’s possible to become valued strategic partners, collaborating to serve your joint customers, improve brand awareness and, ultimately, expand your target market. If this sounds like a positive strategy, now’s the time to do your homework and start hunting down the best strategic partners for your business. Working to serve a shared customer base Strategic partnerships are all about finding the common ground between you and your intended partner – and this means finding the best ways to combine your efforts. If you can share the same customer audience, and create a complimentary way of meeting their needs, that creates a broader, more connected way of growing both companies. Finding a company that’s interested in forming a strategic alliance 1. Find partners in complementary sectors If you’re an accounting firm, like us, it makes sense to partner with solicitors, lawyers and other professional services providers who can help your clients. If you're a maker of shoes it makes sense to partner with a clothing manufacturer that shares your same sense of style and purpose. The key here is to find a shared audience or customer need, and to create some real synergy between your two businesses. 2. Take part in business networking and events To get a wider understanding of your local, or industry specific, business network, it’s worth taking part in plenty of online and offline business events. You’ll meet new people, hear about new brands and will find it easier to find your ideal strategic partner. The wider your business network, the more choices you have for an alliance. 3. Look at crossover between your target audiences Once you’ve found a potential strategic partner, it’s important to take a detailed look at the crossover between your partner’s audience and your audience. Do they shop through the same channels? Do they fit a certain age group or social demographic? Are these customers local, or are they part of a national or global online customer base? How large is their database? 4. Cross-reference your customer databases By sharing and comparing your client relationship management (CRM) data, you can cross-reference both sets of customer data and see where there’s overlap, or where you may already share some of the same customers. The better you understand each other’s customers, the more likely it is that you’ll find some common ground for shared marketing and promotion. 5. Run joint events and promotions Presenting joint webinars with your strategic partner, or running joint promotions. By finding a common theme, you bring both audiences together and reinforce the alliance between your two brands. You also reduce the expenditure by sharing the costs and reach a wider audience. 6. Combine your R&D efforts To move your alliance forward, you can also try combining your research and development (R&D) activity, to find new products, new services and new ways of keeping your joint customers happy. By sharing the time, costs and effort of developing new offerings, both companies will benefit – and you keep your businesses at the cutting edge of their respective sectors or specialisms. 7. Look for other opportunities Can you link to each other on your websites, or as an upsell or cross sell when a customer is buying. Could you promote their product or service directly whether by email, social media marketing or at events and can they reciprocate? Don't think of it as a once and done, look for ways to continue the collaboration and grow both businesses moving forwards. Closing thoughts Building strategic partnerships is not just a smart move – it’s a way to future-proof your business and broaden your impact. By working alongside like-minded organisations, you can open the door to new markets, enhance your brand reputation, and provide greater value to your shared customer base. The key lies in nurturing genuine collaborations that go beyond one-off promotions and create lasting, mutually beneficial relationships. So, take the time to choose your partners wisely, invest in the connection, and watch as your businesses grow stronger together.

Access to additional funds is what allows you to invest in your business and grow the company. But to be able to borrow from lenders it’s vital to have a good business credit score. So, what is a business credit score and how is it calculated? And what proactive action can you take to improve your all-important credit profile What’s a business credit score? Your company’s business credit score is a measurement of your creditworthiness as a company. In other words, it gauges how risky you are to lend to, based on factors like your credit history, payment history, cashflow position and publicly available information like your accounts. A low score means you’re classed as high risk. A high score means you’re low risk. Who gives the scores and what do they mean? Credit scores are calculated by the major credit reporting agencies (CRAs). These are agencies that collate financial data and information to make informed assessments of your risk rating. Each CRA uses slightly different metrics and scoring scales, with some using a 0 to 100 scale, some a 0 to 1000 scale and some a 0 to 300 scale. But the Experian scale of 0-100 is one of the most commonly used. Key ways to improve your credit score If you fall into the high-risk category, you’ll find accessing finance – like bank overdrafts, business loans or asset finance – extremely difficult. If you fall into the medium-to-low risk categories, access to finance will be much easier. To increase your ability to borrow money and access credit, it’s important to be proactive about managing and improving your business credit score. Five ways to boost your credit score Pay your suppliers and bills on time Make sure you always pay invoices from suppliers, utility companies and other creditors on or before their due date. This shows your financial management is reliable and responsible – a key factor in building a positive business credit history with the CRAs. Keep your credit utilisation low If your business has existing credit facilities, aim to use only a small portion of the available credit limit. High credit utilisation can have a negative impact on your score, and suggests a high state of ‘financial distress’ to potential lenders and credit providers. Establish trade credit with your suppliers Agree on trade credit terms with your suppliers and make sure you settle the bills on time. These payment histories are often reported to credit bureaus and can be a significant factor in building up a positive business credit profile, especially for newer enterprises. Monitor your business credit report regularly Obtain copies of your business credit report from relevant agencies (like Equifax or Illion in Australia) to check for inaccuracies or errors. Addressing any negative information promptly can prevent it from further harming your credit score. Avoid defaults and public record filings Minimize the risk of defaults on loans or other financial obligations, and be mindful of public record filings like court judgments or bankruptcies. These events can severely damage your business credit score and make future borrowing difficult. Get in touch to talk about your business credit score There are plenty of options for checking your business credit score and getting a solid overview of your credit profile as a business. Talk to the team about signing up for regular credit reports and how we can help you monitor and manage your credit score. Give us a call on 01904 787 973, or book a call with Donald – we’re here to help.