Commision-based salary negotiation

by Hitcho 11 replies
Hi there
Person A person works with person B who owns a training company. Person A does not get any money for the work he gets except as a commission. If person A gets an interview that leads to a training agreement between another company and person's b company, person A gets 20% of the revenue at least for the first time. Person A also works in preparing ecourses with person B. Most of the content was prepared by person B but person A worked on it as well. Person A gets 10% for about the first 14,000 $ and then 5% for the next 12 months. But he doesn't get anything after that.
Is there anyway to determine whether person A should get more than that or less especially getting some commission after the next 12 months? Please note that person A does not have any other income.
Regards,
Hitcho
#off topic forum
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  • Profile picture of the author hardraysnight
    get a written agreement
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  • Profile picture of the author Frank Donovan
    Originally Posted by Hitcho View Post

    Person A person works with person B who owns a training company. Person A does not get any money for the work he gets except as a commission. If person A gets an interview that leads to a training agreement between another company and person's b company, person A gets 20% of the revenue at least for the first time. Person A also works in preparing ecourses with person B. Most of the content was prepared by person B but person A worked on it as well. Person A gets 10% for about the first 14,000 $ and then 5% for the next 12 months. But he doesn't get anything after that.
    Is there anyway to determine whether person A should get more than that or less especially getting some commission after the next 12 months? Please note that person A does not have any other income.
    Meanwhile, Person C is slowly losing the will to live trying to fathom this post.

    Seriously, Person A should get exactly what Person A and Person B agree at the outset. But Person A would be best advised to not negotiate from a position of desperation.
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    I've just put Richard Branson's number on speed-dial. I call it my "Get-Rich-Quick" scheme.

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  • Profile picture of the author Hitcho
    Perhaps I should clarify a bit what I mean. Is there a more objective way to settle the issue instead of arguing "I want to have 5% for the rest of life instead of just the next 12 months because I say so".
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  • Profile picture of the author Dan Riffle
    I was just about to thank a Claude Whitacre post (shudder) and it disappeared.

    Shoo. That was a close one.
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    "Arguing with...strangers on the Internet is a sucker's game because they almost always turn out to be, or to be indistinguishable from, self-righteous 16-year-olds possessing infinite amounts of free time."

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  • Profile picture of the author Karla Vega
    I was just about to thank a Claude Whitacre post (shudder) and it disappeared.
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    • Profile picture of the author lanfear63
      Originally Posted by Karla Vega View Post

      I was just about to thank a Claude Whitacre post (shudder) and it disappeared.
      "I was just about to thank a Claude Whitacre post (shudder) and he disappeared"

      Hold that wonderful thought.
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      Where ever you go, there you are.

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  • Profile picture of the author Claude Whitacre
    Due to the obvious popular demand for my incredibly humble posts, I am repeating my post from memory.


    The questions is wrong. Don't ask for more money at the end, ask for more money at the beginning. You aren't going to work for this company forever...and they aren't going to be in business forever. Believe me, you want the up front money more.

    And I would wait until you are really a proven producer before I would ask for more money. If you are going to ask for more money at the beginning, make sure this is an opportunity that you can let go, if the interview doesn't go as planned.
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    • Profile picture of the author Dan Riffle
      Originally Posted by Claude Whitacre View Post

      Due to the obvious popular demand for my incredibly humble posts, I am repeating my post from memory.


      The questions is wrong. Don't ask for more money at the end, ask for more money at the beginning. You aren't going to work for this company forever...and they aren't going to be in business forever. Believe me, you want the up front money more.

      And I would wait until you are really a proven producer before I would ask for more money. If you are going to ask for more money at the beginning, make sure this is an opportunity that you can let go, if the interview doesn't go as planned.

      Meh. Not the same.
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      "Arguing with...strangers on the Internet is a sucker's game because they almost always turn out to be, or to be indistinguishable from, self-righteous 16-year-olds possessing infinite amounts of free time."

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    • Profile picture of the author whateverpedia
      Originally Posted by Claude Whitacre View Post

      Due to the obvious popular demand for my incredibly humble posts, I am repeating my post from memory.


      The questions is wrong. Don't ask for more money at the end, ask for more money at the beginning. You aren't going to work for this company forever...and they aren't going to be in business forever. Believe me, you want the up front money more.

      And I would wait until you are really a proven producer before I would ask for more money. If you are going to ask for more money at the beginning, make sure this is an opportunity that you can let go, if the interview doesn't go as planned.
      I never thanked this post in the first place. Not going to thank it now.

      If nothing else, I am consistent.
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      Australia is an island surrounded by water. Big water. Ocean water.
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