How Much To Pay A Salesperson
You want to pay them a salary plus commission.
So let’s say you want to pay them $100k for selling $1M
You want to take that $100k and split it into halves.
Half in salary and half in commission.
But here’s the key!
You want to base the commission on the gross profit, not the top-line revenue.
This ensures they do 2 things.
- They sell jobs at a profitable rate,
- and that they also have a vested interest in the job being profitable.
So take the $100k and pay them a salary of 52,000 year
And then you would pay them 10% of your gross profit if your gross profit is 45% to 50%.
Doubling your business is easier than most people realize. 🙂