HIRING INSIGHTS
HOW MUCH SHOULD YOU PAY A SALES REP ?
Get The Right Answer Here
BY PAUL CISSEL
If you ’ re looking to grow your MSP business , you ’ ll likely consider hiring sales representatives at some point . After all , a great sales team on board means you ’ ll have people dealing directly with potential clients , actively promoting your services , and closing deals . But there ’ s one big question you must ask — how much should I pay my sales reps ? There ’ s no one size fits all , which means getting it right can be tricky . MSP industry veteran and founder of Growth Caddie , Paul Cissel broke down the different factors involved in determining how much money is appropriate when hiring and paying a sales rep for any organization operating within the MSP space .
A serial entrepreneur and Certified Exit Planning Advisor ( CEPA ), Cissel has spent 43 years in technology , which includes stints as a sales trainer , VP of sales , and CEO for two venture capital-backed software companies . He ’ s also been involved in 48 acquisitions and founded three start-up companies , growing the first company to $ 250 million and the second to a market cap of $ 1.2 billion . Both companies went public . His third company was an MSP , which he grew to $ 17.5 million with 82 employees before selling it in 2017 . Here are highlights from Cissel ’ s session :
Don ’ t Have Hybrid Farmers And Hunters .
Hunter sales reps drive revenue by generating new leads and converting them . Farmer sales reps generate revenue by nurturing and growing existing accounts . When you keep these two types of salespeople separate , you focus on their strengths , which keeps them engaged , leads to better performance , and helps retain them . “ Keep hunters and farmers separated , because true hunters want nothing to do with any further relationship ,” Cissel said . “ At one point , I had 1,400 agents . Once the agents got up to about a $ 10,000 check per month , they stopped
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