It’s a rare thing.
A true partnership between companies in the same industry cuts across the grain. Why—after all—should a firm willingly give up revenue to another firm in its own field? Why not go for it all, to maximize growth and control the client relationship?
In its earliest years my advertising agency was like most small businesses. We kept each lead closely guarded, and viewed our peers with suspicion. Over time, we realized that we were missing out, and now—in line with our Yes& philosophy—we consider almost every business prospect as an opportunity to partner with quality firms in our orbit.
It takes a bit of corporate humility to succeed. To be a good partner, a firm has to acknowledge its own weaknesses. It has to risk giving up full control of the client relationship. It has to place a good deal of trust in other businesses.
True partnership, however, delivers a strong upside to firms willing to give a little to get a lot.
Bigger and better. Partnerships allow companies to win work that would otherwise exceed their scope, capabilities, or experience. This is one reason the federal government has encouraged teaming among small and large contractors; federal contracts tend to be large and long, and individual small businesses rarely have the scale or qualifications by themselves. For the same reason, teaming arrangements are becoming more accepted in the commercial world.
Gaps filled. No firm does everything equally well. A good partnership can cover all the bases. This benefits the client, of course, but also benefits the partners—who can excel in their strong areas without worrying that failure in their weak areas will bring them down.
Supersize your network. Good partnerships can exponentially expand the playing field as partners provide one another with a “halo effect.” Every firm struggles with establishing credibility beyond their current clientele; a partnership immediately doubles that circle, allowing partners access to one another’s contacts.
Go where the profit is. In every company, some service lines deliver great returns, while others suck money away. Complementary partners can keep the work that is most profitable for them, and offload the rest to a partner better structured to benefit.
Of course, partnering has its pitfalls. Not every firm is a good partner—too few have the maturity and confidence to collaborate on an equal footing. Clients can get nervous, if it is at all unclear which partner is accountable for each part of a contract. Arrangements that seem workable and fair at the beginning of a partnership can get out of balance as the account inevitably evolves.
Yes&, however, has benefitted in many ways by opening up to partnerships, some of which have lasted for years. Partnering has fueled our growth and helped us enter new markets. In fact, one reason we launched Yes& Federal as a semi-independent entity this year was to foster more partnerships in the government sector. Yes& Federal holds a GSA Schedule and has been awarded small business status on the new GSA One Acquisition Solution for Integrated Services Plus (OASIS+) vehicle.
Yes& Federal can and does do it alone, but we are always looking for partners who can bring us opportunities—or help us take full advantage of our own. Have an idea for Yes&? We may or may not be the right fit. But we are ready to talk when you are.