"How Do I Attract Sales Reps?"
A discussion about recruiting sales reps for a solar company that achieved $500K in 10 months with 78% profit margins. The conversation focuses on compensation challenges and recruitment strategies for remote cold-calling sales reps versus traditional door-to-door solar salespeople.
Summary
The transcript features a conversation about sales recruitment challenges for a solar company selling to homeowners. The company has achieved impressive results with $500K in revenue over 10 months and 78% profit margins, but needs to expand their sales team. Their current compensation structure offers a minimal base salary of $500 every two weeks plus uncapped commissions, which they believed was competitive compared to the typical commission-only structure for door-to-door solar sales. However, their sales reps work remotely doing cold calls rather than door knocking. The advisor suggests implementing a 'try before you buy' approach, making new hires contractors for 30 days with KPI-based evaluation before offering full employment with base salary. This reduces the hire-and-fire cycle risk. A key insight emerges that remote sales reps compare opportunities across all industries, not just solar, making the low base salary less attractive. The compensation plan is identified as the primary lever for attracting quality sales talent in this remote work environment.
Key Insights
- The solar company achieved $500,000 in revenue over 10 months with 78% profit margins
- The company offers $500 every two weeks as base pay plus uncapped commissions, believing this was competitive compared to commission-only door knockers
- Their sales reps work virtually doing cold calling rather than traditional door-to-door sales
- A 30-day contractor trial period with KPI requirements before full employment can reduce hire-and-fire cycles
- Remote sales reps compare compensation opportunities across all industries, not just solar, making low base salaries less competitive
Topics
Transcript
[0:00] We sell solar to homeowners. >> In 10 months, you did 500,000. >> Yep. 78% profit >> and we need to get more salespeople in the business. >> Yeah. >> What's compensation for the BDRS? >> We do a super small base, 500 bucks every 2 weeks, but we do the still uncapped commissions. Our industry is usually door knockers, which which has just commission only. >> Yeah. >> So, we thought we were being competitive with the 500 every 2 weeks, but >> are those guys doornocking? These guys are virtual >> cold calling. So, one thing you can do [0:31] is do like a try before you buy type situation, which is like we're going to make…
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