Using Networking to Build Wealth and Grow Your Net Worth

When we think about growing our net worth, most of us think of actions like earning more money, paying down debt, and investing in appreciating assets. However, we sometimes forget that who we know can help us grow our net worth. One of the ways you can improve your financial situation is to focus on building a good network. Your network can provide you with opportunities, as well as offer useful information and insight into growing your net worth.

meetup-networking

Your Network

Mentor Connections

In some cases, your network offers you a variety of mentors to work with. The right mentor can show you how to make smarter money decisions, or encourage you in your career strategy. You can learn about qualifying for different jobs and raises, as well as learn about tips and techniques for better money management. You can even find an investing mentor to help you make better decisions about growing your portfolio.

A good mentor is someone who has been where you are, or has experience in getting where you want to eventually be. You don’t even need to confine yourself to a single mentor. Mentors for different areas of your life can be very helpful in allowing you to grow and learn — and improve your net worth.

Career Opportunities

Your network probably has knowledge of different career opportunities, as well as knowledge of who is hiring. This can be helpful knowledge as you look for ways to increase your income and grow your wealth. If you are looking for a new job, you can let your network know, and someone might be able to point you in the right direction — or even provide you with an “in.” Being able to advance in your career is an important to increasing your net worth. Your career network can help you accomplish these goals.

Business Partnerships

Sometimes, your network can provide you with business opportunities. Your network might include people who might want to start a business with you, or form a partnership with a business you already own. You can receive referrals for other opportunities from your business network. For instance, someone in your network might not need a consultant, but he or she might have contacts who do. As a result, your network provides you with opportunities to grow your business and expand your net worth.

You can also find buyers for your company, if you want to sell, through your network. Or you can look for opportunities to acquire more business assets through the contacts you have. Your network can be a valuable tool for using your business more effectively.

Giving Back to Your Network

It’s important to remember, though, that networking isn’t just about receiving from your contacts. You should also remember that being part of a network means that you give something back. You might be asked to mentor one of your contacts, or provide helpful advice. You might give an opportunity to do business with someone in your network, or recommend him or her for a job. Make sure you are as free with your help to others as others are free with their help to you.

It’s important to remember that your deeds have a way of coming back to you. Eventually, if you aren’t helping anyone, but you expect others to help you all the time, people will notice and decide to leave your network. When you expect help from your network, you need to be prepared to help others in return.

The Bottom Line

Your network can be an excellent source of information and opportunities to grow your net worth. Cultivate a strong network, and you will find help when you need it — and receive the satisfaction of knowing you are helping others as well.

Photo by andresmh.

About the Author

By , on May 15, 2013
Miranda
Miranda is a freelance writer and professional blogger, specializing in financial topics. She has written for a number of financial web sites, and her work has been linked to by many publications, online and off. Miranda's blog is Planting Money Seeds.

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{4 Comments}

  1. Having a good mentor is crucial, I’ve found. Not just for income, but solving all sorts of problems.

  2. A network is an incredibly important resource. So many people ignore the necessity of networking, but it really is so valuable.

  3. Networking is a major help to finding a job these days. I found out the hard way that job applications are basically a formality. I’m not a great networker, and like most introverts I probably never will be, but I do make an effort because I know it’s important.

  4. krantcents says:

    I formed a team of experts that I could rely on for advice and information. My experts can refer me to others in the business for information as well. In addition, I have friends who are very successful to share my ideas. Networking has many different forms.

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