I mostly clean residential homes with just a small amount of commercial, however, reading the many posts on here I’m crazy not to also build up a larger commercial/store front side of my business.
My question, I have residential and constantly advertising for them but hate the time it takes and going business to business to try and get commercial. Do any of you think it would make sense to pay a sales person to go to commercial businesses big and small and pay them a commission based on each one they bring in for a 6 month or 12 month period.
Im thinking of doing a contract whereby the business can sign up for 6 or 12 months service (with the 12 month, receive 1 full month free). So the salesperson goes in gives them an estimate which is something else I would need to train them on first and they receive their commission based on that.
Commission wise haven’t decided yet but thought perhaps $25-$75 for a 6 month contract bought into us and $100-$150 if they bring us in a 12 month contract. I know what your thinking, well if they bring in accounts worth $5 a week or even $15 a month I’m paying out a lot!
Commercial wise I charge $30 per half hour based on how long I estimate the job to take. For the accounts I have gotten myself at the beginning it works I just hate spending time going to businesses and would rather give someone a job while at the same time increase business.
It’s my opinion that building a commercial route just takes time. You need to continue to call on the businesses. Sooner or later you’ll call at the right time. The hardest part is finding the decision maker. I think you’ll be better off selling the accounts. If you don’t have enough time, hire somebody to clean the windows - and you sell.
With your plan, what happens if the client stops service after a month? Would your salesman refund his commission? A service agreement in our business does very little. It actually is more of a benefit to the client then to you. If you draw one up that would hold up in court you’d have a hard time finding a client to sign it. At least around here, it’s customary to have a 30 day cancellation clause, so that presents more problems.
I know of a company here that has several employee’s. They pay their employee 3 months of the account up front. So if the employee gets a mcdonalds for 50 dollars a month, they get a 150 dollar bonus in their next check.
Just a few thoughts, and strictly my opinion. Each area of the country is different.
Absolutely…But trust me when I say you are being very very generous!! I pay 50% of the first months receipts and 50% of the second months. Does pretty well. Not all commercial accounts are big ones. So i found a set fee doesn’t work out in my favor. A percentage is best and then offer bonuses on top! Keep morale high! You will buying lunches…Etc Etc. But worth it in the end.
[SIZE=“7”]IT WONT WORK[/SIZE] The one month free thing I did last year…in fact I [SIZE=“7”]BLASTED[/SIZE] the ad all over the internet. I thought it was a no brainer! Anyone who signs a 1 year service contract no matter what the size or price (mid rise and residential) that the first one was free! Of course they would either have to pay in full or give a credit card number.
That is a great idea, or so I thought, and well…I ran the ads for 40 days
[SIZE=“7”]NOT ONE SINGLE CALL OR EVEN A QUESTION ABOUT IT[/SIZE]
Commercial stuff will come in time my man. Dont worry. It will come to YOU…I have tried hitting the pavement, it has worked for some, but for me I have yet to get one single client like that. It is just a waste of time for me. Save your money that you earn off your residentials, a good percentage of it. Start planning for how you will get the word to local businesses. Join the BBB, get an ad in their book. Charity events. Get noticed.
