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Home>Resource Center>Why Savvy Business People Build Relationship Capital

Why Savvy Business People Build Relationship Capital

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Relationship capital is one of the most overlooked facets of doing good business, says investor and entrepreneur Daymond John. Savvy entrepreneurs know that digging into the relationships that they've nurtured for 5, 10, or 20 years is what pays the best dividends. That doesn't happen passively. You must build your reputation and take great care to be authentic in your interactions, says John. Relationship capital is symbiotic and becomes a network. When two parties genuinely look after each other over the long term, that goodwill spreads across both their networks and brings tens or hundreds of new transactions instead of just one initial deal.

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