Leverage Your Friend's Network for Referrals

One of the most common ways that we find service providers is by asking our friends.  By leveraging the networks of our friends, we can find attorneys, insurance agents, accountants, doctors, and mortgage brokers.  It is important to get a referral from someone who has experienced the work of the service provider.  Testimonials are the gold standard when it comes to picking people to hire.  This is the way that Angie's List works.

While this may be self explanatory, you will be amazed at how many people just pick a name out of the phone book.   While you can get lucky in finding someone this way, I wouldn't suggest this method.  Every service provider that I have chosen, except for one, came from a referral.  When I first moved to Chicago after college, I needed renter's insurance.  Rather than asking for a referral, I responded to a mailer from an agent.  I got lucky and have put virtually all of my insurance through him.  Over time, we have built a good relationship so I feel comfortable with him.

Another reason to ask for referrals is that you can make your contacts look good if you use one of their recommendations.  The beauty of relationship building is helping others so people should open up their networks when appropriate.

In a few days, I will be moving to a new house. In fact, I will be moving out of Chicago and into the suburbs.  I am expecting a new baby next month so my family and I wanted to have a bigger house with a yard.  I have been living in Chicago for 10 years so I will hate to leave. 

Why am I mentioning this?  It is because the moving process is a pain and you need to have a lot of good people involved to help you.  I was referred to every person who I used for this process, which includes: real estate agent, attorney, mortgage broker, and accountant.  By having these professionals referred to you, it should make you feel more comfortable when you have a big life change.

Do you have any good or bad stories to share about picking service providers?

Comments

[Kadie O'Connor]

Jason,

This was a very relevent message to me because I am currently launching my new website www.MyReferralDirectory.com. While it was initially created to help realtors find businesses that they commonly need,it certainly can be used by anyone. It is based on referrals since each participating business has to offer two references. Having owned small businesses in the past, I know difficult and expensive it is to constantly advertise. This website gives small businesses (that are worth referring) a place to advertise on the web for very little money. I constantly market the website to Chicagoland realtors, thereby actively advertising for these businesses. It has already worked for some of the vendors, even two weeks after going live! Plus, realtors are VERY happy to have these people more visable to them. Over the past five years I have been constantly asked "Do you know where..." or "Do you know who...?". This website was created to answer those questions.

This website is set up the opposite way of Angie's List. The vendors pay a small fee for inclusion, and it is free to the public. Also, companies of all kinds and sizes are given a level playing field, from home-based crafters and home party people to Home Inspectors, Landscapers and so on. My goal is to help everyone!

Best always,

Kadie O'Connor

[Jason Jacobsohn]

Thank you Kadie for sharing your story. It is great to learn about what others are doing. Please continue to comment.