Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum

» Welcome to the Gopher Lawn Care Business Forum
View Single Post
  #4  
Old 02-16-2013, 05:26 PM
dpld dpld is offline
new member
 
Join Date: Jan 2012
Location: nj
Posts: 885
Rep Power: 0
dpld is on a distinguished road
Default

most sales reps get 10% commission but in essence they get a weekly salary which is a draw off their commission of 10%.

depending on the size of your business and sales potential you would establish a territory and a realistic sales target number.

lets just say for example you hire a sales rep and give him a territory and you start him out on a salary of 30k.
he would have to bring in 300k in sales to break even on his salary and if he exceeds 300k in sales then he would recieve a additional 10% of what that amount would be.

so lets say he sold 375k for the year, he would already be getting a salary which is considered a draw for the first 300k and then he would get a additional 7,500.00 in salary.
the 7,500.00 would come as he sold each job and it was completed, billed and paid for as well as if the numbers worked out.

if he sold a job and it bombed he would not get any additional money.

when you hire a sales rep it is a very complex system that you have to follow in order to ensure he is getting paid properly and you are making money.
if he sold a 2,000 dollar job and the numbers did not jive he would not get a dime in commission.

there are a lot of things you have to establish first because you don't just give someone a commission just because he brought in a job.
the job has to make money.

depending on what you are doing and what he is selling you have to establish what the numbers are expected to be for him to see that commission.

if he sold a job and put 3 men on it and you for example need to bring in 50.00 per hour per man and the crew was on the job for 8 hrs that would work out to be 3 men x 8 hrs= 24 man hrs @ 50.00 per man hour the billable amount would be 1,200.00 plus materials and tax.

if he sold the job at say 1,000.00 and 3 men were there for 8hrs he would have a 200.00 loss for the day and he would get no additional commissions as well as would have a 200.00 negative balance on his yearly target of 300k.

you would not deduct it from his base salary because by law you can not do that but he would not receive any extra commission and at the end of the year he would not reach his target in sales.

a lot of people think you pay a sales rep a 10% commission regardless and it does not work that way and if that is how you did that you would go broke and he would just be throwing out crazy numbers just so he could get a sale and the whole process would back fire on you.

the key with having a sales rep is there has to be established ground rules and targets that he has to make. on top of that he will be responsible in not only finding the work and generating the sales by any means possible he will also be responsible for the billing, collections, supervising and directing the crews and bringing them to the job and showing the crew exactly what has to be done as well as ultimately be responsible in making sure the work is not only done to company standards but also to the customers standards.
he would also have to send out thank you's to the customers and anything else required to execute the job from start to finish.

having a sales rep can be a good thing and it is like having another owner on the job but the difference is unlike the owner, he see's nothing other then his salary if he does not execute flawlessly.
there are standard sales hiring practices available online but in order to have a sales rep you need to have every little detail spelled out and figured out.
if you are just gonna hire a sales rep because you don't want to do it and you don't have all the procedures in place it will end up being a big mistake for you and cost you a lot of money not only by way of paying a worthless salesman but also having a poorly run jobs and a very inefficiently ran operation that will also further cost you.
Reply With Quote
 
» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
Today 04:09 PM
by ExtremeLawncareServices
100 5,901
Downed Tree Chop Bid
WesleySnips
08-16-2014 03:47 PM
Today 01:44 PM
by SGL1
10 275
2014 Gie-expo
ExtremeLawncareServices
Yesterday 11:22 PM
Today 12:01 PM
by Steve
1 46
New Landscaping Business
rekon32
08-16-2014 02:26 PM
Today 11:56 AM
by Steve
7 276
Fuel Can Spouts
Shark1611
08-16-2014 09:09 AM
Yesterday 07:52 PM
by SGL1
8 199
60 inch honda/bunton...
pblawncare
08-17-2014 11:30 AM
08-18-2014 03:19 PM
by Steve
2 94
Replacement Parts -...
nicholas-KC
08-16-2014 08:40 AM
08-18-2014 03:16 PM
by Steve
4 141
Preparing the soil
Billy Goat
08-16-2014 06:18 PM
08-18-2014 03:01 PM
by Steve
1 89
Softball field
kslawn
08-15-2014 09:28 AM
08-18-2014 02:52 PM
by Steve
7 217
What to pay help
phlawncare
08-04-2014 08:33 PM
08-18-2014 10:33 AM
by jrs.landscaping
29 842
Hello
Jeff1
08-07-2014 11:18 PM
08-15-2014 11:53 PM
by Jeff1
11 376
Lie #2 RESIDENTIAL...
ExtremeLawncareServices
01-06-2014 05:02 AM
08-15-2014 01:46 PM
by mattthelawnguy
54 6,282
Need help 30 HP koler...
Shady Grady
08-01-2014 03:31 PM
08-15-2014 08:46 AM
by kslawn
18 563
New Boomless Sprayer!
BlackRain75
01-03-2014 01:01 PM
08-14-2014 02:37 AM
by BlackRain75
12 1,719
Stihl engine isn't...
Marcintosh
08-12-2014 08:30 PM
08-13-2014 03:34 PM
by Steve
3 147
first year update
cmdlawncare
08-12-2014 05:41 PM
08-13-2014 03:29 PM
by Steve
1 186
Hello from Jacksonville,...
JM Lawn Care
08-10-2014 07:15 AM
08-13-2014 07:04 AM
by Sprinkler Buddy
9 287
Hello everyone new to...
maddyandrays
08-11-2014 04:51 PM
08-12-2014 08:58 PM
by Shark1611
2 145
Walk behinds
hpruitcei
08-07-2014 06:28 PM
08-12-2014 02:35 PM
by mattthelawnguy
7 389
New name help
stevef1201
08-10-2014 04:27 PM
08-12-2014 12:03 PM
by Steve
6 268
my little green dilemmas
Lawn Techie
08-03-2014 11:47 AM
08-11-2014 01:20 PM
by Steve
7 384
what the best...
CleanCutsLLC
08-02-2014 01:02 AM
08-11-2014 01:16 PM
by Steve
6 391
Texas lawn care company...
Livingston Lawn Care
07-25-2014 11:29 AM
08-11-2014 01:19 AM
by ExtremeLawncareServices
13 667
Covering all the bases
janslawncare
08-08-2014 10:11 AM
08-08-2014 01:41 PM
by Steve
1 219
New from Florida
ADE
08-06-2014 08:40 PM
08-08-2014 01:32 PM
by Steve
4 296
JOB - Landscape Install...
janslawncare
08-08-2014 10:06 AM
08-08-2014 10:06 AM
by janslawncare
0 186
Battery power tools or...
Steve
08-07-2014 12:24 PM
08-07-2014 05:18 PM
by mattthelawnguy
2 199
My client just told me...
Greg'slawnandlandscape
08-04-2014 08:39 AM
08-06-2014 11:14 PM
by grassdoctore
12 520
Illegal spraying
GoGreenerKS
07-04-2014 09:11 AM
08-06-2014 02:03 PM
by Steve
13 1,134
Mowing the hills
prmenter@gmail.com
07-08-2014 12:22 PM
08-06-2014 01:40 PM
by Steve
20 1,340
Crop Rotation Techniques...
eastsidelandcare
07-17-2014 03:47 PM
08-06-2014 10:29 AM
by eastsidelandcare
5 572
Got my first lawn job...
SGL1
06-11-2014 09:19 PM
08-05-2014 07:12 PM
by TheBeast
30 1,926
Late charge
Simon Abousaada
07-30-2014 07:23 PM
08-05-2014 06:46 PM
by TheBeast
12 767
buy out a lawn care...
rvezakis
08-05-2014 01:38 PM
08-05-2014 06:40 PM
by TheBeast
10 464
Please help
unitedlawncare48867
03-26-2014 08:29 PM
08-05-2014 05:27 PM
by TheBeast
27 1,552
Help with Estimate
donslawns
08-02-2014 09:10 AM
08-05-2014 02:24 PM
by Steve
6 429
Stuck again!!!!
Greg'slawnandlandscape
08-01-2014 11:02 PM
08-05-2014 09:05 AM
by Greg'slawnandlandscape
10 443
Mow and leaf cleanup bid
SGL1
07-29-2014 07:28 PM
08-05-2014 07:22 AM
by petscanning
25 935
Building credit
Matther777
07-27-2014 05:20 PM
08-04-2014 06:53 PM
by kslawn
17 729
Lowballers scrubs &...
Darksteel
01-13-2014 07:35 AM
08-04-2014 01:09 PM
by Steve
48 5,745
long time no see
Tuscan Gardens
08-02-2014 03:21 PM
08-04-2014 12:04 PM
by Steve
1 269
Pressure Washing Like a...
TNTurf
08-01-2014 11:47 PM
08-04-2014 11:58 AM
by Steve
2 301
trimming back shrubs
WesleySnips
07-31-2014 06:14 AM
08-04-2014 11:52 AM
by Steve
6 407
Pressure Washing...
WesleySnips
07-31-2014 06:13 PM
08-04-2014 11:50 AM
by Steve
3 340
Grass hopper mower
ExtremeLawncareServices
12-05-2013 08:51 AM
08-02-2014 07:55 AM
by ExtremeLawncareServices
24 3,481
Easy money
stevef1201
11-14-2013 10:17 AM
08-02-2014 01:03 AM
by stevef1201
3 1,491
Say Hello !!!
Steve
03-19-2007 11:18 AM
08-01-2014 11:42 PM
by TNTurf
1,186 327,974
Echo Edger 'Neutral'
WesleySnips
07-25-2014 05:28 PM
08-01-2014 01:50 PM
by stevef1201
7 540
Buy a good company at a...
Steve
03-12-2011 06:38 AM
08-01-2014 01:44 PM
by Steve
2 1,927
Employee wont return...
Prolawnofchatt
06-13-2014 03:12 PM
07-31-2014 09:59 PM
by WesleySnips
5 803
Read more about these lawn care business marketing categories.
General Business:
GopherHaul, Podcast
How to Estimate - Services To Offer:
Aeration, Apartment / Condo, bed edging, Color Change Plantings, Dethatching, Edging, Fall Leaf Cleanups, Foreclosed Homes, Gutter Cleaning, Hardscaping, Hedge Trimming, Home Safety Inspection, Irrigation, Landscape Project, Lawn Mower Repair, Mowing, Mulch Jobs, Outdoor decoration, Parking Lot Cleanups, Pet Waste Removal, Pressure Washing, Property Management, Snow plowing, Stump Grinding, Tree Removal
How to Estimate Jobs:
Lawn Care Business:
Barter, Bikini Lawn Care, Business Failure, Business loan, Business Plan, Debt, Debt Collection, Estimate or Proposal Form, Franchise, Fuel surcharge, How to sell, Insurance, Job Tracking, Lawn Care Contract, Lawn Care Customer Survey, Lawn Care Uniform, Lawn Care Videos, Operational Costs, Overhead Costs, Prepay, Pricing, Start up, Tiger Time Lawn Care,
Lawn Care Business Books:
Lawn Care Customers:
Buying customers, Commercial Customers, Customer Retention, How to get, Residential Customers
Lawn Care Employees:
1 Man Lawn Crew, Bonus Pay, training, Your First Employee
lawn care equipment:
bed edger, Lawn Care Truck, Leaf Sweeper, Mower, New Arrival, Trailer, UltraVac
Lawn Care Marketing:
Billboard, Brochure, Business Card, Community Projects To Promote Your Business, Coupons, Cross Promotion / Synergy, Direct Mail, Door hanger, door to door, Free Giveaway Contest, Free Lawn Care Flyer Template, Gift or Discount Cards, home show, Internet, Lawn Care Business Sales Letter, Lawn Care Logo, Lawn Care Marketing, Lawn Care Truck & Trailer Signs, Lawn Care Website, Lawn Signs, Magazine Ad, Magnets, Mailing list, Marketing on Craigslist.com, Newspaper Ads, Parade, Postcards, publicity stunt, Referrals, Review My Lawn Care Marketing Material, t-shirt, Welcoming Kit, Word Of Mouth
Seasonal Promotion Ideas:
4th of July, Armed Forces Day, Christmas, Election Day, Fall, Halloween, Memorial Day, Spring, Summer, Valentine's Day, Veteran's Day, Winter:
Software:
Estimation Software, Landscaper Software, Landscaping Business Software, Landscaping Estimate Software, Landscaping Software, Lawn Care Business Software, Lawn Care Estimating Software, Lawn Care Software, Mowing Software
Uncategorized:
Video:
Website:
Search Engine Optimization
» Lawn Care Business Discussion Categories
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 09:15 PM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 09:15 PM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy