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Working on straight commission

spindoctor

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Originally Posted by jgold47
Yeah - it takes time. When I first got into commerical real estate one of my guys told me that: year 1 make no money and put up own money to live. year two almost break even year three make a few bucks. year 4, turn a profit, and year 5, make more than you have ever made it before.

If your going to do a 100% commission job, you need to have enough money to live for a while. You can get a draw, but thats just robbing peter to pay paul. Base + commission is the way to go.

I couldnt hack it. I needed the salary, the benefits and the ability to say ******* and leave at 4.30 some days instead of being made to feel guility I wasnt working 98 hours a week.


I think if you had another go taking all the necessary precautions I believe you would be quite good and make far more by being on commission only.
wink.gif
 

globetrotter

Stylish Dinosaur
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Originally Posted by spindoctor
I think it would be better to say that SOME commission only companies are shady and have crappy products. Surely, you agree? I think 20% of the ****** commission only companies give the 80% of decent commission only companies a bad name.

its not so black and white - I don't think that all commission only companies are ******, but I don't think that they are the type of places I would want to work, there is a difference between ****** and not great. I would say that most of them are "not great". one of my biggest competitors is a company that pays only commission. and their sales guys are very good, make very good money. very few of them stay more than 3-5 years, though. and they have a serious culture of lying to the customers, so they have an issue with band equity, and it isn't a comfortable place to work. my company sells 3-4 times as much of this product line as they do, and the average length of time a sales guy is with the company is better than 12 years.

the guys I hired probably cost the company a quarter of a million before they brought in their first sale. we invest heavily in training and in support, and they will probably be with us for many years, and produce a lot. that is what commission only places can't do.
 

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