Commissions & Overrides

[KleanerDude]

I'm getting 20% on each carpet/tile job that I land for my carpet
cleaning guy. I'm ok with that but I want to know if anyone can
tell me what would be a fair over-ride [think that's what they're
called] if I get another person calling under me and what would
be a fair percentage for an over-ride if I am managing this other
caller. I'm thinking 3% over-ride, or should it be more or even
less, anybody even have a clue as to what I'm talkin' about?

Example: if the other person calling lands a $300 job, they get
a 17% commission, which is $51 - I get 3%, which is $9.00.
Keep in mind that I will be managing this person's leads as
well as mine, more or less overseeing this person's work, as
well, to be sure they are doing everything right, I guess I
would kind of be in a Manager's position.

I thought 2% over-rides but didn't seem to be enough if I am
working with this person and more or less managing them.

Thoughts on this, please.

 

[Mikey P]

Are you getting leads for a one truck operator or a multi truck operation?

Are you hustling to find the leads or is somebody handing you a contact and you go out and bid?


Is this person under you a family member?

 

[KleanerDude]

Hi Mikey,
One truck operation - truck mount - deep steam, of course.
I sit at home on the phone and search for leads using various resources,
i.e., yellowpages, yellowbook, various city Chamber of Commerces,
TripAdvisor, Yelp, etcetera
There is no person under me - that is hypothetical, but they will not be
a family member - just someone we will search for if and when the need
arises.

 

[Mikey P]

Are you thriving doing this?

 

[KleanerDude]

Not at this point in time, Mikey, not at this point in time.

BUT... I am doing my due diligence and the MAIN thing
is, not only must I have the ABILITY and SKILLS to set
the appointments or get the leads BUT this owner MUST
also HAVE the TIME to visit them and give the estimate
AND DO THE WORK.

The way I see it, for it to be a truly viable and practical
REAL income, I would have to get him $13,000 in jobs
each month - that would give me $525 per week AFTER
taxes. Not bad, but a long-term goal.

Right now, I am just starting out, trying to get him at least
5 jobs per month - minimum $300 per each job. I have
other income, so I can play with this for a short while to
see that it REALLY works.

My real challenge is going to be finding just the right places
that want to get estimates, so far it has been going fairly
smoothly.

 

[Mikey P]

$13k from cold calls?

I hate to be discouraging but I think that's unrealistic.

What is his one truck currently producing?

 

[WillS]

When there is incoming calls to book is he answering them or are you? How do you determine if a return call that books is a job you called or not?

 

[KleanerDude]

All calls I make are routed to my cellphone, first.

 

[Mikey P]

Coit has call centers, have you thought about applying to a real company?

 

[Shane Deubell]

$13k in new business every month is around $150k a year. That would be a lot of new business year after year, residual i would say $13k month is expected. Over long term of course.

Using the phone i would lean more towards larger employers, say 20 or more employees. Many exceptions though, apartments/churches for example can be nice accounts but dont have a lot of employees.

Smaller offices are just like us and receive 8,000 google/yelp calls a day so it can be tough to get through. Larger businesses have people who specialize in tasks, so the facility manager doesnt deal with all those google calls. For example

The key is identifying yourself immediately as a local contractor so they dont think you are another telemarketer from india.

 

[Old Coastie]

Or Lebanon. Good lord, I can't stand those

Wait a sec. That's me. Never mind.