OT:What to Pay an Automation SalesGuy

Forgive the gender political uncorrectness. We are in the midst of hiring another salesguy, and we have had bad past experience on what to pay.

My theory is give a base salary of 7.5% of expected annual gross sales, and if the person becomes a superstar, ramp up towards 10% of gross sales.

Ie, if a guy sells $1,000,000 he gets $75K if he becomes a superstar and sells $2,000,000 he gets $200K.

Any other small integrators out there with 2-4 million in annual sales, with a salaried sales guy?

I don't have a sales person, but I would be wary of paying one strictly on the basis of gross sales. I'd like to see some measure of the quality of the jobs he brings in. If he sells $2 million worth of jobs and you lose money on all of them, how is he worth more than the guy who sells $1 million in profitable jobs?

hmmm, how to factor in profit?

panic mode said:

hmmm, how to factor in profit?

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Pay him direct out of profits.

Dan Bentler

I am an automation sales guy. My territory is about 1.7 million a year. I make a base saary of 72k and earn a commision of 1% of gross and 3% of margin on my sales.
You also have to consider the value that a salesman adds.
Is he a door to door vacuum cleaner salesman or an electrical engineer who can provide tech support and design solutions for your customers that ADD VALUE to your products.

jdenbesten said:

I am an automation sales guy. My territory is about 1.7 million a year. I make a base saary of 72k and earn a commision of 1% of gross and 3% of margin on my sales.
You also have to consider the value that a salesman adds.
Is he a door to door vacuum cleaner salesman or an electrical engineer who can provide tech support and design solutions for your customers that ADD VALUE to your products.

Click to expand...

That's what I am looking for, so your base is about 4.2% of your sales gross. And I take it Fresno, is an area that has a high cost of living?

curly - check your PM, haahah i mistakenly called you steve - sorry hadnt had my coffee yet