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
Pavers
crieg122
10-28-2014 02:49 PM
Today 12:49 PM
by Steve
6 263
Client won't pay...
WesleySnips
Yesterday 02:53 PM
Today 12:00 PM
by Steve
6 170
Hi Steve From West...
Mr. Mow
10-21-2014 01:59 PM
Today 11:56 AM
by Steve
5 579
Got my first lawn job...
SGL1
06-11-2014 09:19 PM
Today 09:53 AM
by Max Wagner
30 2,536
Gie-review / What's new...
ExtremeLawncareServices
10-25-2014 09:19 AM
Today 09:30 AM
by ExtremeLawncareServices
7 480
Lawn Care business...
crieg122
10-23-2014 01:23 PM
Today 05:54 AM
by ringahding1
16 747
Business Name
sanchez5
10-28-2014 11:55 PM
Today 05:51 AM
by ringahding1
10 303
"Price...
Mr. Mow
Yesterday 03:21 PM
Today 05:48 AM
by ringahding1
3 153
Help a brother...
tbtigers03
09-28-2014 11:41 AM
Today 05:41 AM
by ringahding1
15 1,951
sod job
SGlawncare
Yesterday 08:21 PM
Yesterday 08:21 PM
by SGlawncare
0 14
Difference between lawn...
sanchez5
10-29-2014 04:20 PM
Yesterday 02:08 PM
by Steve
2 188
My Newest Toy (B.P....
Dan Tanner
10-23-2014 05:50 PM
10-29-2014 12:26 PM
by Steve
6 542
West cost lawn prices
SGlawncare
10-09-2014 09:51 PM
10-28-2014 11:08 PM
by SGlawncare
4 900
Say Hello !!!
Steve
03-19-2007 11:18 AM
10-28-2014 02:51 PM
by Steve
1,193 341,124
Business Cards
crieg122
10-25-2014 12:03 PM
10-28-2014 02:37 PM
by crieg122
4 415
So how do you guys...
Mr. Mow
10-26-2014 07:55 AM
10-28-2014 04:56 AM
by Billy Goat
2 355
Pressure Washing Like a...
TNTurf
08-01-2014 11:47 PM
10-27-2014 10:36 PM
by SGlawncare
12 1,270
new to the forum
madmedic8575
10-24-2014 02:52 PM
10-27-2014 12:14 PM
by Steve
1 375
Dealing With Gas Can...
Mr. Mow
10-21-2014 01:41 PM
10-26-2014 10:59 AM
by stevef1201
13 736
Leaf removal
madmedic8575
10-24-2014 04:14 PM
10-26-2014 07:45 AM
by Mr. Mow
5 503
raking leaves ?
robert8509
10-22-2014 09:19 PM
10-25-2014 12:09 PM
by biglee
10 642
Leaf Box & Loader Set...
ringahding1
10-21-2014 06:20 AM
10-25-2014 11:46 AM
by crieg122
6 634
hey everyone
robert8509
10-22-2014 08:16 PM
10-24-2014 11:07 PM
by robert8509
7 536
12 Years in Business!
Chilehead
10-23-2014 08:07 AM
10-23-2014 11:08 PM
by Chilehead
2 454
Cheapskate Landlord...
Mr. Mow
10-20-2014 06:33 AM
10-23-2014 05:55 PM
by biglee
13 790
Hi from SoCal
Jmoney
10-23-2014 11:29 AM
10-23-2014 12:51 PM
by Steve
1 416
Workmans compensation...
CDLAWNCARE
10-15-2014 08:05 AM
10-23-2014 12:33 PM
by Steve
5 887
Pda
stevef1201
10-18-2014 02:05 PM
10-23-2014 06:12 AM
by ringahding1
4 712
Hello, from TEXAS
sanchez5
10-17-2014 09:56 PM
10-22-2014 01:27 PM
by Steve
6 778
Organic Lawn Care...
NHray
10-17-2014 06:05 PM
10-22-2014 01:23 PM
by Steve
3 741
first year update
cmdlawncare
08-12-2014 05:41 PM
10-22-2014 07:47 AM
by ringahding1
4 1,733
What parts do you carry...
Just for Cuts
10-17-2014 09:08 AM
10-21-2014 01:36 PM
by Mr. Mow
16 1,024
Jungle to Beautiful
stevef1201
10-17-2014 09:54 AM
10-21-2014 01:26 PM
by stevef1201
11 883
These are the days on...
ExtremeLawncareServices
03-22-2014 09:12 AM
10-21-2014 01:19 PM
by ExtremeLawncareServices
158 12,007
Sunny Beach Tennis...
SGL1
10-19-2014 11:24 PM
10-21-2014 01:04 PM
by SGL1
4 611
Have you ever had to...
SouthernRootsLawnCare
07-26-2014 02:41 PM
10-20-2014 08:34 PM
by biglee
10 2,210
Look out Bob Villa -...
Mr Dave
09-30-2014 10:06 AM
10-20-2014 05:42 PM
by SGL1
7 1,708
how to fi d commercial...
mchampion319
10-19-2014 09:50 PM
10-20-2014 04:41 PM
by Steve
1 585
Hello From Tennessee
mrmann901
10-17-2014 10:02 PM
10-20-2014 04:24 PM
by Steve
1 651
questions on order to...
jack2048
10-13-2014 11:15 AM
10-20-2014 03:27 PM
by Mr. Mow
15 1,104
This sucks...
Matther777
09-18-2014 04:56 PM
10-20-2014 02:14 PM
by Steve
14 2,643
Cement mixer
KevinsLawns
10-15-2014 08:03 PM
10-20-2014 02:11 PM
by Steve
7 834
Hello ! New guy Rob here
RWorthley1
10-17-2014 04:05 PM
10-20-2014 02:09 PM
by Steve
1 684
Snow Blowing
gwilson98
10-12-2014 02:21 PM
10-17-2014 02:51 PM
by Steve
6 1,032
Spreading Weeds?
WesleySnips
07-27-2014 09:46 PM
10-17-2014 07:49 AM
by SGL1
6 1,326
Grasswhoopins.com Anyone...
GRASS WHOOPINS
06-21-2011 11:38 PM
10-16-2014 01:30 PM
by ExtremeLawncareServices
42 9,740
I Want to buy old...
ExtremeLawncareServices
10-10-2014 10:04 PM
10-15-2014 09:12 PM
by ExtremeLawncareServices
6 1,044
Do you find weed eating...
chuck2s
10-15-2014 02:10 PM
10-15-2014 02:10 PM
by chuck2s
0 765
Incorporating &...
WesleySnips
10-01-2014 09:39 PM
10-15-2014 01:37 PM
by kslawn
20 1,902
Falling into business
stellarmowing
09-28-2014 04:35 PM
10-15-2014 05:57 AM
by ringahding1
8 1,894
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 01:59 PM.


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

All times are GMT -5. The time now is 01:59 PM.

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