I am wondering if anyone has any experience or suggestions on paying an outside salesman for a digital services company.
Basically the salesman has no steady pay or benefits currently. He will generate these contacts/leads on his own and bring me to a sit down sale.
If this guy was to get me a sit down for a website to build for $5,000 or get me a monthly budget of $4,000 to market someones company/website online how would i compensate him?
I like the idea of saying you get X % per sale + 35% of anything over that number on gross but i don't know my own numbers, considering every job is different.
I do not want to do profit sharing because i feel that is my business and would rather not share it. I want to give a fixed gross % but feel i could get in trouble considering i don't even know my expenses considering they change.
If i said i will give you 20% gross on anything you sell that would mean if he sold $5,000 job he gets paid $1,000 if he sells 10k he gets 2k, he sells 20k he gets 4k.....
Now it seems the higher it goes it gets worse, i don't know if i would even make 4k on a 20k job so how can i structure it like this... should his percentages go down as the price increases?
Any suggestions would be appreciated. thanks
Basically the salesman has no steady pay or benefits currently. He will generate these contacts/leads on his own and bring me to a sit down sale.
If this guy was to get me a sit down for a website to build for $5,000 or get me a monthly budget of $4,000 to market someones company/website online how would i compensate him?
I like the idea of saying you get X % per sale + 35% of anything over that number on gross but i don't know my own numbers, considering every job is different.
I do not want to do profit sharing because i feel that is my business and would rather not share it. I want to give a fixed gross % but feel i could get in trouble considering i don't even know my expenses considering they change.
If i said i will give you 20% gross on anything you sell that would mean if he sold $5,000 job he gets paid $1,000 if he sells 10k he gets 2k, he sells 20k he gets 4k.....
Now it seems the higher it goes it gets worse, i don't know if i would even make 4k on a 20k job so how can i structure it like this... should his percentages go down as the price increases?
Any suggestions would be appreciated. thanks
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