1. Welcome to PlowSite. Notice a fresh look and new features? It’s now easier to share photos and videos, find popular topics fast, and enjoy expanded user profiles. If you have any questions, click HELP at the top or bottom of any page, or send an email to help@plowsite.com. We welcome your feedback.

    Dismiss Notice

Hiring a sales person

Discussion in 'Bidding & Estimating' started by EXR, Nov 10, 2010.

  1. EXR

    EXR Senior Member
    Messages: 192

    Hiring a sales person for winter services.

    Has anyone done this before ?

    If so, how did it work out.

    I'm thinking about doing it next year.
     
  2. viper881

    viper881 Senior Member
    Messages: 459

    Be carful cause the sales person is the one that is the go to guy that commicates with the customer. So if he goes to work for a different company the next year. He is the one your accounts want to go with, not just your company name
     
  3. Triple L

    Triple L PlowSite Fanatic
    from Canada
    Messages: 5,988

    How would you pay this person? Seems like its easy to make promises and then not deliver with a sales person who is focused on sales only....
     
  4. 4700dan

    4700dan Senior Member
    from Ohio
    Messages: 329

    If it was me I would pay them a salary with a commision, because hourly would get screwed unless you have him meet a quotta
     
  5. Brant'sLawnCare

    Brant'sLawnCare PlowSite.com Addict
    Messages: 1,754

    I would pay a nice commission. Seems like the fairest way to do it.
     
  6. EXR

    EXR Senior Member
    Messages: 192

    I was thinking of having a privacy contract not allowing them to disclose company information to other businesses (I believe you can get sued over this if you do breach that ..trying to remember from college..have to look it up).
    I do that now with the sub I have for the winter.

    I wasn't sure if I was going to hire someone for lead generation or for the whole sales process.

    I was thinking a small base hourly rate plus a % on the total contract value. I'm a small company and most of my contracts are smaller accounts.


    Its hard to be on the job site and be out pounding the pavement at the same time..
     
  7. elite1msmith

    elite1msmith 2000 Club Member
    from chicago
    Messages: 2,762

    never hired one myself, but actualyl have one (not workign for me ) in the family

    here is what i know -

    it is important to hire them becasue of skill and knowelge, but its more like who they bring to the table with them

    if your phone is ringing off the hook for work....then really what you need is an estimator, not a sales guy....you need a guy that can measure the punch numbers

    if your phone is not ringing then you need to come up with more leads...=sales guy

    if he brings you work from his past...he could be sued if he has a non compete, just keep that in mind but sometimes they can bring in all new accounts and faces. its important to find an honest sales rep. becasue there will always be accounts the you , me and him, lost becasue of __BLANK____ reason. as a result that HOA or company will never do business with that person....so if the sales guy is smart he give you the info and they never need to know that he works for you. a good reputation is important, but if he can honestly, " say hey my last company messed this one up, so you should sell it, he are the numbers".....thats better

    now if hes willing to walk in the door with accounts, he is sure likley to walk out with them and more.

    Once an account is sold, you should turn it over to the "customer service rep" which would be you.... that way, once they become a customer they start to loose that bond with the sales guy...2 years later you let him go, heck they dont care, because they have been dealing with you the whole time.
     
  8. forestfireguy

    forestfireguy PlowSite.com Addict
    Messages: 1,276

    Lots of points here.....

    Are you at the point where maybe you shouldn't be on the job site anymore?

    What you need is a contract with a sales person including a non-compete. You may win litigation if proprietary information is disclosed, or they directly try to steal your accounts, the portion of a typical non-comp where you limit the area or the time by which any person can work in the same business is harder to get upheld, especially in this day of high unemployment and tough economy.

    BUT-

    I'm a commercial sales person/account manager/snow production manager for a large landscape contractor. The balance between sales and production is tough, as the sales guy I'd like to sell everyone our service, but as the production manager sometimes I have to pull back the reins on the sales side and realize the headaches of actually doing a certain site, or making the commitments a person wants to hear ona given site to close a deal. Unless you find someone expierienced in both I wouldn't bother............

    As far as compensation, salary plus commision is the way to go IMO, but, to get someone good you'll have to pay a decent salary, spend the time with them to understand your pricing and bidding methods etc etc......if you don't have time to sell business yourself do you have time to bring in a sales person this late in the game??? Or did you mean for next season??
     
  9. EXR

    EXR Senior Member
    Messages: 192

    It would be for next year.

    I see your point. It won't be an easy process.
     
  10. elite1msmith

    elite1msmith 2000 Club Member
    from chicago
    Messages: 2,762

    another thing to keep in mind, are you looking to hire a jack of all trades or are you looking to hire a sales guy.

    i honestly couldnt tell you which is better

    the family member that i have , currently works for a company that has a completely seperate division for production....he comes up with the numbers, before submitting the bid both production managers have to sign off on the man hours and materials needed, and the senor account manager has to sign off on the estimated profit. then the job is sold, and from there besides buying a cup of coffee or shaking hands the sales guy is done, its then up to production to get it done and come up with the logistics. Now they have a fancy computer system that tells them just about everything, all he has to do is input line items and QTY and the system has all the numbers. he can over ride it , but again thats why those managers have to sign off on it

    now he did use to work for a different company, he had to sell, estimate, track man hours and production. he was able to do all these things, but to be honest i dont think in any one area that he was totally able to master it, and truely get all the pennies that he could have, both in sales, and savings.

    i think if i were that big, i would go with the first option let him do new sales, let others worry about production. after awhile of being out of the operators seats, sometimes the sales guy (including myself) are worng about projects or what a new machine (that they nnever ran) can and cant do.