Confessions of a BD (to a startup)

I have been longing to write this post since the beginning of the week but somehow I just couldn’t get the time! Anyway, now that I am writing it, I would like to mention that the key focus here is startups that look towards hiring a Business Development Head/Manager/Specialist (read BDs) who is expected to ‘individually’ and ‘independently’ transform ‘this startup’ to a ‘Fortune 100′! Most of the time these startups confess of no knowledge of BD (and Sales), but they end up controlling/burdening/misguiding their BDs due to unrealistic expectations.

As a BD, who has been fortunate enough to have worked with several startups, I have realized several key areas where (I feel) companies over-expect or confuse the role of a Business Development Specialist (BDs). Henceforth, I am writing down some “Confessions” that I feel every startup should keep in mind, in order to have their business leap towards success.

Confession 1 – Your BD is ‘your’ employee but a Client’s representative!

A BD is usually the single point of contact for a client and so he is the only one who can actually empathize with him (client). If a client is unhappy, it is BD’s duty to apprise the company of the issues and take the complete onus of getting those issues resolved. This ownership should be considered as positive by the company as this will in-turn build a repo for the company as well! The only reason I am highlighting this point is that I have come across companies that do not let their BDs take the ownership to intervene, which completely restricts the urgency of resolution, one of the main reasons that kills a client’s trust.

Confession 2 – A startup BD cannot sell

I believe this to be true (though I am sure many would not agree to this point). Especially in startups, a BD is hired with a dual role of Business Development and Sales. Having been a part of both BD and Sales, I think there are many marked differences between a BD and a Sales guy. While a BD is more towards building relationship with clients to build trust and hence, get business; a sales guy is completely focused on closing the deal (this does not necessarily imply building relationship with a client). For this reason, startups should have a clear vision while hiring. If the need is to expand business, hire a BD; but if the need of the hour is to earn, sales guy is the key!

Confession 3 – A startup BD does not prioritize his clients

This one is picked from my last post where I have explicitly mentioned the difference between prioritizing work and prioritizing a client. Prioritizing work due to urgency (time /deadline) is fine and obvious, but prioritizing a client on the basis of the cost of his first deal is a “NO” !

Confession 4 – A startup BD hates processes and gatekeepers within his company

This one is tricky as I am pointing out the processes / gatekeepers within the company that may create unnecessary delays. A BD is always focused on developing business and so, he might, from time to time need access to the right people/information within his organization. I have come across startups who end up building walls of processes / gatekeepers which create delays for BDs engendering hampered business.

Confession 5 – A startup BD cannot work alone…

Think of a BD as an entrepreneur! As soon as the business expands, the entrepreneur hires more employees to sustain it. If your BD Head has to do the ground work as well, his skill is divided and so, the outcome will not be 100% of the expected targets.

Confession 6 – A startup BD will not completely rely on new clients

This one is actually true universally for the fact that Business Development is all about building professional relationships and then nurturing it for fruitful future business. Usually startups feel that a BD should hunt down as many clients as possible to increase revenue, however, this actually affects the work of a BD.  While new client acquisition cannot be neglected at all, a BD is also inclined towards getting repeat business from his existing clients. Have you come across companies that use their BD to hunt a client and then push him to find more rather than nurture his existing relationship? I have witnessed this!

Confession 7 – A startup BD needs assurance that he co-owns the company

For any new business to flourish, it is important that its employees develop the feeling of ownership. This point holds ground for the BDs especially because unless they feel so, they will never be motivated to put their best and get business.

To sum up, a BD is a valuable possession for any company and so, it is very important to understand their role and skills as it would have a direct impact on the company’s future.

Please suggest any more “confessions” that you think will make a great ‘MUST READ’ list for every startup before hiring a BD!

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