This article is based on Southern Nevada, not networking groups that are out of state or national.

The only time you should join an out of state Networking Group is if you do business out of state or online.

Everyone is turning to Network Groups, Why?

What is Networking?

What Type of Networking Groups is there in Southern Nevada?

How many are there & are they profit or non-profit?

What is the Mission of these Networking Groups?

Who is running them & are they qualified?

What do they do & why are they so expensive?

Do they offer benefits? If so what?

Why so many & how do we choose?

Networking Groups vs. Chambers, should we join both?

Let’s get started:

I was asked to do a very in-depth article “The Good, The Bad, The Ugly” on the massive growth of network groups ONLY (not chambers) in Southern Nevada and the impact it has on our community for print, radio and TV media. Now remember, this article is on Networking Groups not Professional Career Organizations who network with each other. I spent two months researching them closely; interviewing over 110 people (some members and former members) so here we go.

Everyone is turning to Network Groups, Why?

Trend, just like fashions, they come and go. Today, we all understand the way the economy is on a down-word spiral, it’s election year and yes, recession on our trail, so businesses, independents and executives are trying to reach as many business clients as possible in a very short time, while on a minimal budget and trying to increase their bottom line (not the correct way to do it). What about long term? Building relationships? Keeping the money and business flowing all the time? Do you want to do business short term and be here today or long term and be here forever? The choice is up to you. Don’t ever discard belonging to a chamber of commerce; they should be your first choice not your second. Networking should be second, because chambers are here forever.

What is Networking?

The sole purpose of networking is to use it as a vital tool for your business; this has been going on for years. The key to true business networking is the establishment of a mutually beneficial relationship, and to increase business revenue. This is an incredibly rare event at the standard shake-hands-and-exchange-your-business-card events that are touted as business networking "opportunities" here in Southern Nevada.  The best business networking groups operate as the developing of contacts or exchanging of information to further a career or business, ideas, and support.

What Type of Networking Groups are in Southern Nevada?

(Professional Association Groups/Careers are excluded)

I have researched five different non-career groups

Regular Network Groups: The best business networking groups operate as exchanges of business information, ideas, and support. They find venues to hold their events to help members meet each other. It’s important to remember when picking a Network Group, they are not there to run all kinds of events and give educational classes, keynote speakers, nor tell you how to run your business, their purpose is to help you gain contacts, and meet each other and help new members to start building relationships. They should charge a small membership fee if they have no overhead.

Referral Groups: Another networking group that acts as a Referral Network (referring people to others) with only one of a kind business and holds meeting with chapters all over town, just like a Leads group, fees too high.

Leads Groups: To provide a networking forum, exchange of leads between success-oriented business people, and to increase their visibility, within their circle of influence. Again on the premise of a Referral group. Their fees are also too high.

NEW Networking Advertising Groups: Today we now have online business websites that now have FREE networking calendars with network groups, non-profits or anyone having an event. The idea is to promote that event, and if you want more exposure you can always pay to advertise with them.  The problem with this idea is, that you already pay you’re networking group to help you promote your business, and now you have pay to advertise with someone else. Don’t get me wrong you need to advertise, but at what price?  This is the “New Wave” for the 21^st century. Who are their viewers? How many are there? Ask!

NEW Business Owners Networking Group: New era of individual businesses holding their own network mixers. A New Sign of the Times?  Yes. Will this hurt Networking Groups? Absolutely. More and more business owners that have the space or can afford to pay for a venue to hold a mixer to promote their business are using this concept.  It’s a great idea and the wave of the future. It will never take away from the Top Professional Network Groups or the importance of a chamber. Why are they doing this? It’s just another way to promote their business and it’s FREE to you. Unfortunately, these private businesses start their own Network Group within their business, they lose the concept of what they where trying to accomplish. They are promoting their own business first to obtain their own contacts.

How many are there & are they profit or non profit?

How many are there? Today there are over 107 network groups and growing every week, plus adding the chapters probably over 200. Networking groups are popping up every where; I see them every day. When will it stop? When people stop giving them top money? Until such time they will continue to pop up everywhere. Are they qualified leaders? Ask yourself that? Question that? And you will get your answer. It’s a huge money maker. They started years ago when they saw a need, and wanted to help promote businesses in the community. Unfortunately now it has gotten out of control…..now it’s all about money, and for some it’s just another multiple stream of income for some. A lot of the groups like networking, referral and leads groups have developed chapters within their networking groups.  For instance, BNI has 19 chapters, BizPac has 7 chapters, Hot Pink Mama’s has 22 chapters, CityCare Business Network has 6 chapters, Lipstick Society 4 chapters, Women and Network has several chapters and building. The list keeps getting bigger and bigger. When does it stop? It’s up to you. Are they profit or non-profit? Almost all of the network groups are profit, very few are non-profit. They use an event to raise money for a charity occasionally, but it’s about their bottom line profit. Don’t misunderstand me there are “some” great networking groups and at the end this article I will let you know who they are.

What is the Mission of these network groups?

I have researched a lot of the Networking Groups and have come up with the same type of mission statement for them. Just worded differently-meanings the same and it definitely does not live up to the meaning of “Networking”. Networking is; the developing of contacts, and or exchanging of information to further a career or business and “Group” a number of people gathering, to form a group.

Who is running them & are they qualified?

Most networking groups I have researched are people who want to help other people succeed. That’s great, but are they qualified to guide people (Leaders)? Some yes, and some no. How many total in each group? How many chapters? Who runs those chapters? How many in each chapter? Is the volume there or are there just 5 to 10 people? Where are the locations around town? As you can see there is a lot more to Network Groups then you might think. It’s hard with networking groups to find out their personal qualifications. If they are running a business, so what are their qualifications, education and business experience? Are they leader material? You need to research today just who you are dealing with. Ask questions and get answers. Remember we are not including professional career networking organizations, they have their own membership.

What do they do & why are they so expensive?

What do they do? Usually, Networking Groups put on mixers and get people together to obtain new contacts and change venues every month. Today, some groups get carried away and try and operate like a chamber. There is (no comparison)! They are losing the definition of “Networking.” They put on events, educational classes and awards, which are not what networking groups are all about. If you find one that is a networking group and also plans events, what are they? Are they a Networking Group or an Event Planner?  Why so expensive? Well again they are structuring like a chamber not a networking group; they are losing the reasons why they started a networking group to begin with. Networking groups do not have the responsibility and expenditures a chamber has.  The rates for a networking group should only be $100 to $125 tops per year and one level. They need to get back to the regularity of a Networking Group by not making tiers of membership levels. After interviewing some of the members of networking groups, I found out the price range from $299 to $2,700, “that is outrageous! I have never heard of that since going to networking groups for the past 35 years. Plus, you are charged for the mixers anywhere from $15 to $25. In today’s difficult times they are really getting too carried away.

Do they offer benefits? If so what?

What I found out through my research is; most of them are giving a list of benefits, but they are not coming directly from the network group itself, they are coming from other members and outside resources. Remember networking groups (all but one) are not run from an office and most have websites, but can only offer minimal marketing to you. If they are offering you advertising and marketing as a package, that’s when you start asking question, are you joining a networking group or hiring and adv or marketing firm. Networking groups are not in the advertising and marketing business nor are they suppose to be an event planner. I can’t stress enough, if a networking group is asking a lot of money and promising you adv, marketing and so on, why are they a networking Group?  Ask what background is of the person leading you in this network group? People, in these trying times need to be careful, it’s hard to check out a networking Group unless they are a National Affiliate.

How do we choose?

By researching Networking Groups, the leaders, the prices and evaluate them so you will know where to diversify your money. How much are you willing pay to join a Networking group? Well that’s totally up to you. Remember, your bottom line will not be there, if you’re out of business or your career in six months to a year because you joined the wrong group. At these networking group mixers, are you really meeting qualified leads? How much is it costing you to do that? Remember to add your time away from your business and home, which cost you money as well. Now gas prices!

After a while it gets very consuming. What do you do? Who do you join? You know your time is valuable, and you have a small amount of money and very little time, after all you need to run your business. So when does it stop? When you take the time and look at the city, and the amount of people. Do we really need so many networking groups in one town? Ask yourself that, and you will see that we need to decrease and have more productive groups doing what a network group is suppose to do for its members instead of charging exorbitant fees, especially in election year and with a recession upon us. Also, a networking group does not put on all kinds of events, socials, education etc. They are in the business to get people together and build relationships.

Networking Groups vs. Chambers, should we join both?

Yes, as a business owner for 35 years you need both.

You cannot compare a network group to a chamber; they are (two different entities). Chambers are community driven for businesses, economic growth, taxes, diversity, government affairs and more (read the definition below). Networking groups do not have the power that a chamber has or the resources. Networking Groups are great for networking avenue with other professionals. The very first thing you need to do is join a chamber, whether rather it’s a city chamber or if your a business/career women join the state women’s chamber. Chambers are a vital tool for every business including all the networking groups. Networking Groups themselves need to belong to a chamber to grow their business, because that’s what they are, but most do not see that.  Women in Nevada have their own state chamber now where you can make a difference and accomplished your business goals and get the entire local, state and government contacts you need to grow your business or career. Chambers are your community lifeline, don’t discard them, they can be very helpful to you.

You found out what a networking Group is, now find out what a chamber is:

So many people I interviewed asked this question so here is the answer.

Basically, it is the business community at work as the central agency for community development for business, industry, the professions, and all civic interests - doing jobs that no individual can do alone - rendering many services that benefit all citizens.

The Chamber of Commerce, as a wholly voluntary institution in the United States, is eight years older than the Declaration of Independence. The New York State Chamber, first in America, was organized in 1768, and five years later the first local Chamber was formed in Charleston, South Carolina. Today, there are more than 4,000 Chamber of Commerce in the United States. In these nearly 240 years, Chambers of Commerce have steadily developed to a high point of efficiency and have proved to be vitally important in business and civic development throughout the nation. There are only two stand alone Women’s State Chambers in the United State and abroad. Colorado Women’s Chamber started nearly 18 years ago and the second state Women’s Chamber is the Women’s Chamber of Commerce of Nevada which was established in 2002. We have come a long way but still have along way to go. Look into your state women’s chamber if you are a women, you owe it to yourself, your business and family.

Well the time has come to list the Good, bad and Ugly of Networking Groups;

After interview so many people and actual members and former members of different network groups here it is: Note: If you do not see your group listed, it’s probably because they fall under the last category.

People of Southern Nevada have spoken.

Good

AWAA Centennial Chapter

All Professional Career Group Organizations

All Toastmasters groups

Las Vegas Largest Mixer (Annual)

Lipstick Society

Mom’s In Business-Local only

NAWBO-Las Vegas Affiliate

NAFE-Las Vegas Affiliate

Rotary Clubs

Woman and Network

People of Southern Nevada have spoken.

Bad

Diamond Star Networking and Events (some chapters not all)

Hot Pink Mamas (some chapters) not all

LeTip (some chapters) not all

Women In Business

Women In Networking

People of Southern Nevada have spoken.

Ugly

If you do not see a group listed, that means they fall under this category and there are too many to list. People express concern with outrageous rates and too many networking groups in Southern Nevada.

Foot note: People want to see a big change in the way that Networking Groups are run, they want more qualified groups, less of them, more business networking, qualified people within the group, less social networking, and lower their rates; prices for networking groups are out of sight. People I have interviewed said, for the next two years they will be very select as to which Networking Group they give their financial support. The 110 people I interviewed said they will research and interview the next Networking Group they want to see about joining.

This article was written for the business community/consumer and not for the networking Group Leaders. For questions on this article, business community/consumers you can sent an email to jlb2005@cox.net. You will get a response within a 24 hour timeline.