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2 essential sales compensation program tips to live by

By April 12, 2013June 11th, 2024No Comments

When faced with dipping sales numbers and unproductive and unmotivated employees, businesses aren’t to blame when they don’t know where to turn to right the ship. In fact, a recent survey by Salesforce found 55 percent of responding organizations say sales team members don’t reach their quota and 65 percent stop trying after hearing a “no” for a second time. However, firms in such a state of sales team disarray can take a page from other businesses’ books and implement a sales compensation program that can provide just the incentive sales pros need to hit the pavement running. Just remember there two cardinal rules to a successful performance-based bonus structure: Always align incentives with business goals Incentives with no direction or relevancy to what the business is attempting to accomplish are a disservice to both the employee and the employer by becoming too cost-inefficient and not providing enough guidance for team members. As such, businesses should keep in mind that it’s critical to sync their incentives with stated goals and objectives. For example, a new service launch can be accompanied by a contest to reward the individual for pushing the most sales through on a desired offering. There are options outside monetary compensation Companies that can’t afford to constantly dish out cash payments through their sales compensation software should investigate incorporating other classes of incentives into their program. For instance, experience-based incentives can accomplish the same things as monetary bonuses, like improving employee engagement. Through offering a vacation getaway or tickets to a sporting event, firms can forge personable relationships with reps while still providing a valuable incentive to generate better performance. Regardless of whatever strategy organizations choose to power their performance programs, they can save money and streamline operations by investing in sales compensation software.

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Ballast Point Ventures is a later-stage venture capital fund established to provide expansion capital for rapidly growing, privately owned companies in diverse industries, with a particular emphasis on companies located in Florida, the Southeast, and Texas. The BPV partners have more than 70 years of combined experience investing in and building high-growth companies in a number of industries, including healthcare, business services, communications, technology, financial services, and consumer goods. BPV has $200 million under management and seeks to make equity investments ranging from $3 million to $10 million.

Harbert Management Corporation

Harbert Management Corporation seeks to generate superior returns for their investors by identifying and investing in the most promising early growth stage companies in the Southeastern U.S. HMC seeks to capitalize on what it believes are compelling regional dynamics, such as a strong and fast-growing economy, significant research and development activities, and an established entrepreneurial community. The HMC team combines substantial investment, advisory, and operating experience with capital and networking contacts to support great entrepreneurial teams in successfully executing their growth plans. With offices in Birmingham, Alabama; Richmond, Virginia; and Gainesville, Florida, it’s well positioned to partner with entrepreneurs throughout the Southeast.

KBH Ventures

KBH Ventures was an early investor in Iconixx Software. KBH's investment philosophy plays a significant role in the firm's successful track record. KBH believes in running businesses to be cashflow positive and profitable every month. Startups and companies in a startup mode, such as one that has been purchased in distress, are expected to generate revenue within the first six months and reach profitability within the first 12 to 18 months. KBH also only invests in or acquires companies that are in the startup phase or have less than $20 million in revenues. KBH targets technology companies that offer business-to-business services.

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