I would suggest back to the drawing board as well.
You need to know exactly who your ideal client is. Then you need to know what their problem or goal is, why they're having that problem, why it hasn't been solved yet and so on. And a whole array of other factors that eventually determine your positioning and your core message.
I would also go for a lead generation campaign rather than trying to sell off the leaflet.
It may well be the case that selling to businesses is both easier and more lucrative - after all, they have more work for you and need bigger systems. But as has been mentioned, they may prefer to work with a bigger company - in which case you could always form a network of associates in order to provide 24 hour cover.
If you're selling to businesses, fear will probably be the best motivator. A business can be literally destroyed if they lose their computing facility. What would happen if their premises were burgled and the theives made off with the server? What would happen if hackers got on their network and started stealing personal information or data? What would happen if their installation was attacked by a virus? What would happen if they keep their backups on site and there was a fire that destroyed all the equipment and their backup tapes? What would happen if they weren't backing up regularly and a disgruntled employee decided to scramble the client and prospect databases? Find the "hook" that gets you through the door - once they're a client, then you can sell them everything else on your backend.
With regards to Public Liability Insurance, this covers you against claims for injury or damage to their property through your negligence. I don't think it will cover you for claims regarding business loss, so if you lose someone's data or someone's network is down for a day and it's deemed to be your fault, then they can sue you and you won't be covered with this type of insurance. You need to get professional indemnity insurance for that.
Here's an example:
Your client sells products by mail order/internet. They do £6,000 of business each day. Their computers are down for a day - so they can't take any orders. They may conclude that not only has your error lost them £6,000, but it has lost them "goodwill" plus new customers with a known lifetime value. So their claim could be for considerably more than £6,000 in lost business as a result of your error.
Now, whether courts take that view or not, I wouldn't know because I'm not a legal expert, but who wants to take the risk or have a claim against them?
This is one of the reasons I got out of IT - too much risk for too little reward.
Hope something in this helps,
Jane
