Nina Bloomstein Shatz, director of brand development for HALO Branded Solutions (asi/356000), recently worked with a small private school in New Jersey to provide T-shirts for a charity walkathon. It wasn’t a big buy-in to be a sponsor, so the event drew 30, most of whom were local businesses. “The majority of logos I got were low-res, and some looked like a middle-schooler could’ve drawn them,” she says, adding that it took a lot of time to have the artwork converted.

It’s a reminder that small businesses tend to place smaller orders and often need more education and hand-holding. “I may take the time for a small client and it’s a $300 order, while a larger client may take five minutes and I get a $5,000 order,” Shatz says. Are they worth the extra time, especially for smaller distributors who are hungry for business?

More often the answer is yes, but it all depends on the prospect. Practice due diligence and prequalify to find the ones who value creativity and will pay for that higher level of service. “You realize quickly how open the prospect is to your ideas, if they’re taking you seriously and if they have the money to spend,” Shatz says. “But if they don’t take it seriously, often you do walk away, or it’s a one-shot deal.”

Small businesses also offer tantalizing paths to expansion. They can provide referrals, decision-makers can join other companies, and of course the business itself can grow into something substantial. “You need to ask yourself if this small business has the potential to become a large client,” advises Danny Friedman, vice president of Added Incentives. “Go with your gut – get a feel for whether the prospect has growth potential or is a dead end, which can waste a lot of your time.” Friedman qualifies a prospect by asking such questions as: Where are you now, and where do you want to be in one year, three years, five years? He adds: “Funny enough, I often find the more realistic ones are the ones I want to work with, versus those with ‘pie in the sky’ goals.”