You can take on big, team-managed projects if you find the right partners. Strategic alliances with other companies and professionals can give the you ability to deliver the punch of a large company. There are many ways you can extend the products and services you offer to your customers. An example is an accountant who works cooperatively with a bookkeeping and payroll company to provide a complete financial package to home-based businesses. The goal is to provide additional related services or products to serve the customer and increase your profits.
Strategic alliances can also increase referrals and extend market reach.
An example is a remodeling company that teams up with a real estate company to present seminars that introduce options for home improvement. Another example is mutual referrals, where companies negotiate agreements to recommend each other to their customers. These alliances can provide inexpensive ways to reach new customers. The reasons for developing strategic alliances are to extend your market reach and to provide a wider range of choices for your customers as well as to increase convenience. When you develop strategic alliances, make sure the products relate to each other.