Local Group Helps Businesses Stay Connected

In these tough economic times, one group of local business owners is working together to keep their companies strong.

Each week, business owners from Scotch Plains, Fanwood, Westfield, Cranford, and other neighboring towns, meet to help each other find the customers they need. They’re all members of the local chapter of BNI, a worldwide business referral group whose members use a "word-of-mouth" approach to develop relationships with other business professionals.

“The idea is if I try to help you, then you’re going to help me,” said Claudia McDermott, BNI’s area director for northern Jersey.

McDermott was the guest speaker at one of the group’s recent meetings, which are held each Tuesday morning at Pantagis in Scotch Plains. The meeting starts with members socializing for about 15 minutes, then they get down to business. Going around the room, each individual gives what’s called a “Sales Manager Minute,” a 60-second pitch during which the business owner asks his or her colleagues to refer anyone they may know to use their company that week.

Becoming a member of the group is a rigorous process. BNI only allows one person per sector to be a part of a chapter, so that there’s no direct competition within the group. That way, if someone in the room is seeking an accountant, they’ll be sure to turn to the one who’s in BNI. Regular attendance is also required.

“What we really want to portray is that you can’t just get into this group, that the people in here are all high quality professionals,” said Steve Goldberg, of Family Investors Company in Fanwood. “We want people in the community to know that BNI members are good in their profession.”

This kind of guaranteed assistance has lead to an increased interest in the group as of late. According to membership chair Stella Testa, the Scotch Plains-based group has averaged at least one new member every week since October.

“Usually it’s a little slower than that,” she said.

The Scotch Plains-based group is one of 24 BNI groups in northern Jersey and one of 3,000 chapters in the U.S. According to McDermott, the local chapter has had over $1.8 million in closed business since March 2007 and has averaged $22,000 per meeting.

While listening to those “Sales Manager Minutes,” members in the room are either filling out customer referral cards for their colleagues, or “dance cards,” which means they want to meet with them at a later time. A large binder full of business cards is also passed around, so that members can take them to have on hand when they meet someone who could use another member’s products or services.

During the group’s recent meeting, Testa showed off several Thanksgiving gift baskets created by her company, the Watchung-based Sweet Success. As a result, several BNI members passed her notes saying they themselves were interested in buying them.

“It’s all about having relationships,” Testa said. “When you have relationships, you’ll do business.”