I am considering hiring a commission based sales rep for my company. I am not really interested in a company that specializes in this but rather an independent person that would work for me directly. I am having success with wholesale accounts but would like to expand that area of my business. Would love to hear from someone who has successfully hired a sales rep. What was your commission schedule? Did they only make the commission on the initial sale or continuing orders as well? Hits? Misses? Thoughts in general?
I know a little of the ins and outs of sales at our company. You have to give commissions on continuing orders and you need to let the salesman handle the interaction with the client accounts. As for the commission schedule, 50% of gross profit is what we pay. Yeah, it's pretty high, but your company will not expand without good sales. You might consider a small salary and lower commission schedule.