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Advantages:1. Your referral/network has already praised and validated your service thus building trust in the prospect.
2. It is not necessary to introduce and start the process from scratch, a level of rapport has already been established.
3. You can benefit from the fact that your work is so efficient that clients bring others to your circle.
Disadvantages:1. Negative experience with one client/referral can backfire among all others in the circle.2. Different prices cannot be charged with people from same circle/network.
Many thanks for posing this question to me. I deeply regret that I am not in a position to give any opinion on the same.