The salesperson is my nephew who is eager to put his skills to work. He will be trying to drum up business for me through the local chamber of commerce, business associations and cold calling small to mid size businesses.
I'm trying to come up with a fair commision rate for him, since he will be only generating leads at this point.
First you need more than a commission rate. You need a sales plan and written strategy you are going to implement. You need a validated target list.
If you think you can hire someone tell them to drive around and things will work out big mistake.
Great sales people work for 50-60 hours a week. 40 in the field and 20 at nights and weekends planning.
Second the local chamber will not bring you business fast enough to cover a sales person. It won't get 2 leads a month. At least mine wouldn't
Cold calling 7-8 hours a day 5 days a week will be your only chance of covering his costs. Few people love this.
He will need to be able to measure, price, quote and close on site. Can he do that by himself?
If you do not have a office to follow up as we do he will need to be able to schedule right on the spot or follow up to schedule.
Does he have any cleaning experience? How will he know how long it will take? When he should up charge for difficult production rates?
How will he be trained so he can INFORM, SUGGEST & then ASK for the business?
The more you educate your customer from a position of expertise the more you sell in any industry. Being a consultant will be the most effective.
You may be doing more work and not having any profit? All your profit will go to just covering his cost for the first 4-6 months.
It will be the rare individual that can get his sales pipeline going in just 30-60 days.
Does the person your hiring have professional sales training?
What success selling have they had? Do they have solid proof of that success?
I would want to see company print outs with ranking, award Trophy's and sales partners letters of recommendation along with contact information.
This topic is not a new one on this board.
Again no need to answer or defend. Just thoughts to consider.
Good luck