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Be Careful With Commission-Only Sales Staffs


Cons may outweigh cost and other pros

Who are the best employees on any company's payroll?  Well, from a certain perspective, they're the ones who don't get any money unless they work hard.  There are some downsides to having a commission-only sales staff, however.

Look at the issue of loyalty, for one.  The pursuit of more money may cause commission-only employees to sell more stuff, but you provide them with little reason to prefer your company over any other.  Also, if they're not in it for the long-term, their sales tactics might not line up with your preferred way of doing things.

And that's even assuming you can find commission-only people in the first place.  Jo Prabhu, a member of the Society for Human Resources, talked to Shara Rutberg and said, "They're becoming a dying breed.  Sales reps change industries, jobs and locations.  Today, it seems everyone wants a more secure type of position."

Perhaps money isn't tight at your company, but the economy isn't being so kind to everyone.  If you start looking for corners (and employees) to cut, a salaried sales staff may be best left alone.

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About the author:
Doug Caverly is a staff writer for SmallBusinessNewz.

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