How to research a business before prospecting them

There’s an enormous amount of information available on the Internet. Here's how to use it to your advantage.

(Photo: Shutterstock)

As a benefits professional, you are always on the outlook for new clients.  These are often local businesses.  You know calling and saying: “May I speak with the owner” is not the best way to start.  You want to learn as much as possible  beforehand.

Online business research sources

There’s an enormous amount of information available on the Internet.  How can you use it to your advantage?

1. The company website.  Everyone has one.  This includes an “about us” section which often tells you the names of the major players.  There should also be a section for press releases, telling you which executives are new in their positions.  Obviously the site will portray the image the firm wants to project.

2. Annual reports.  We think of public companies as multinationals or startups.  There’s plenty in between.  If the company is listed on an exchange, there should be an annual report.  This is often available through the website.  If it’s not obvious, enter “annual report” into the search field on their site.  A key piece of information should be the names of officers and other members of senior management.

3. Social media.  Firms often maintain a landing page on Facebook and LinkedIn.  That should be another source of information, similar to what you might finds on the company’s website.   Your search on Linkedin might also unearth 2nd level connections, people who work (or had worked) at the firm who are friends of your connections.

3. Credit risk monitor.  I like visiting CRMZ.com.  It’s a site selling data to people and organizations considering doing business and interested in a company’s creditworthiness.  The basic profile sheets are short.  If they have red type, that often tells you the firm was merged into another, is in bankruptcy or stopped filing corporate records.

4. Dunn & Bradstreet.  Their site, dnb.com has a profile on almost every company large or small.  The basic profile should include number of employees, annual revenue, owner, address and phone number.

5. Manta.  Manta.com is a site similar to Dunn & Bradstreet.  The company profile should tell you the year it was incorporated, key personnel, annual revenue and contact information.  It’s a good “second opinion” to see if the numbers are different from Dunn and Bradstreet.

6. Sam.gov. Are they a government contractor?  Many firms are.  The System for Awards Management or sam.gov provides this information.  The company profiles can be extensive, including the contact people the government talks to at the firm.  It’s likely the owner.

7. Glassdoor.  What’s it like to work at the company?  Glassdoor.com provides feedback from current and previous employees.  It can provide clues gto the company’s culture.

8. Online searching.  This part is obvious, but it’s worth mentioning.  This should let you know if the firm has won any local awards.  Have they been a sponsor for charities or community events?  Are they in the news because of bad news?

9. State registration.  The resources above should provide a good picture, yet you might want to see what’s on file with the state.  All states should have an office of the Secretary of State.  Within this area is the Department of Corporations.  By accessing it online, you should find a search engine for looking up a company by name.  The profile should show the owner, officers or agent of record.  Here should be some corporate records on file with the state too.

In most cases, the basic level data you are accessing should be free.  When you reach the right person at the firm, they should be impressed you did your homework.

Before you start

Your compliance or legal department will have protocols for using the Internet for prospecting.  You don’t want to do anything illegal. Always:

Bryce Sanders is president of Perceptive Business Solutions Inc. He provides HNW client acquisition training for the financial services industry. His book, “Captivating the Wealthy Investor” can be found on Amazon.

READ MORE:

Recommended Stories