How Many Referral Partners Should You Be Working With?
While it depends on the size and circumstances of your agency, a good rule of thumb is that you should have at least 20 solid sources referring.
Note that this doesn’t mean that you should necessarily limit yourself to 20; in fact, you’ll probably have to network with a lot more sources than that to ensure 20 solid ones.
It also depends on whether you have a full-time sales rep. Consider this advice from Shelle Womble of corecubed:
“A full-time sales rep can easily routinely call on 100 to 120 accounts over the course of a quarter and have success in doing so. A selling manager [owner doubling as salesperson] may only be able to cultivate and groom 20 accounts. . .
A well-rounded agency needs business to come from many sources, including word of mouth, reputation, digital marketing, internet searches, and community relationships gained from local sales efforts. The rule of thumb is to be sure that all of your eggs are not in one basket. . .
An agency with revenues of $2M or more should have at least 20 solid sources referring.”
Shelle’s point about not putting all your eggs in one basket is especially important. Keep enough sources that if your pipeline from one of them decreased or was lost, it wouldn’t cripple your overall pipeline.