FHB Logo Facebook LinkedIn Email Pinterest Twitter X Instagram Tiktok YouTube Plus Icon Close Icon Navigation Search Icon Navigation Search Icon Arrow Down Icon Video Guide Icon Article Guide Icon Modal Close Icon Guide Search Icon Skip to content
Subscribe
Log In
  • How-To
  • Design
  • Tools & Materials
  • Restoration
  • Videos
  • Blogs
  • Forum
  • Magazine
  • Members
  • FHB House
  • Podcast
Log In

Discussion Forum

Discussion Forum

Sales Commission – For What?

JourneymanCarpenterT | Posted in Business on February 19, 2008 06:53am

What’s the standard contract for commission?  Does the salesman canvass the neighborhood or create leads some other way, and then get paid only if he sells a job?  Or, is the salesman only expected to work with leads already created? <!—-><!—-><!—->

–T

Reply
  • X
  • facebook
  • linkedin
  • pinterest
  • email
  • add to favorites Log in or Sign up to save your favorite articles

Replies

  1. mrfixitusa | Feb 19, 2008 08:02pm | #1

    Several years ago I applied for a job to sell roofing.

    The company would run an ad in the paper and then would give me leads resulting from the ad.

    I was to be paid 10% of the price of the roof replacement. It was strictly commissions.

    I didn't take the job. A lot of these roofs in my area are $3,000 to $4,000 and I didnt think I could make any money doing it.

  2. frammer52 | Feb 19, 2008 08:20pm | #2

    years ago I worked for a company selling roofing, siding and windows.  the  commission plan was as follows;   10% on co. generated leads; telemarketing, adds etc.   15% on leads generated by the salesman.  There was a salery paid equilavent to mim. wage.  The amount earned was placed in account and divided by 4. paid weakly. Any deviation from price list by more than 105, with management approval,  the commission slid down to min. of 5%.  My unerstanding is that specialty contractors today have something simular.   4000 roofs @2 week=800+min wage.  The last year I worked for them In 1979, income was in excess of 100k.

  3. Jim_Allen | Feb 20, 2008 10:29pm | #3

    We're budgeting 10% for retail sales and 5% for wholesale sales. We'll supply the marketing funds to generate leads and build that into our cost structure.

    I hope I have to pay out 1 million dollars in commissions.

    Bob's next test date: 12/10/07

    1. User avater
      JourneymanCarpenterT | Feb 21, 2008 03:50am | #4

      I'm curious, what the "Bob's next test date 12/10/07" signature all about?-T

      1. MikeSmith | Feb 21, 2008 07:13am | #5

        don't ask...he'll have to double his medsMike Smith Rhode Island : Design / Build / Repair / Restore

        1. woody1777 | Feb 21, 2008 08:28am | #6

          Jim or Bob ?Naive but refreshing !

      2. Jim_Allen | Feb 22, 2008 06:59pm | #7

        Occasionally, I have to test Bob to see if we are speaking the same language. He failed his first test and to be fair, I promised him a retest. He's missed the retest on 12/10. The test is very basic and it has to do with him calling me a Republican when I've voted Libertarian 90% of the time since I've started voting. It's a very simple logic test based on those numbers. Since the test offers, he's never started that stupid argument with me again, so it's working. I'd take the signature down, but I'm sure the same stupid argument would immediately surface again. I'm just happy that I don't have to go through it anymore. I gotta stay outa that tavern.... Bob's next test date: 12/10/07

        1. frenchy | Feb 22, 2008 08:39pm | #9

          Blue,

             But you are a republican,,  <grin>  how does it go, walk like a duck talk like a duck?  oh you may have voted libertarian but your strong and continued support of all things republican and lack of interest in other parties clearly identifies you as a duck!

            Most libertarians I know support some positions of both democratic and republican parties..

          1. Jim_Allen | Feb 23, 2008 07:04am | #12

            Wrong folder for that reply Frenchy. Bob's next test date: 12/10/07

          2. frenchy | Feb 23, 2008 02:28pm | #13

            Blue,

             fair enough..

          3. billybatts | Mar 14, 2008 08:10am | #14

            you always seem really nice and helpful and smart...case in point all of that great advice about buying a telehandler in another thread...why are so many people rude to you on here? I don't get it. I see things in a different light when you explain it.

          4. frenchy | Mar 14, 2008 04:45pm | #15

            billybatts,

               Thank you for your kind words..

                Some people are just naturally rude.. they feel that people with views differant than theirs should be punished.  They aren't aware that uniformity is boring and actaully counter productive..

          5. todd | Mar 15, 2008 12:14am | #17

            Hey Billy (and Frenchy),
            I think that the Frenchman gets a little (actually a lot)excited about shellac, SIPS, and a few other topics. But overall, he's a valuable and interesting contributor to this forum and I feel the same as you. Okay to pick on, not okay to demean, although Frenchy's done a good job ignoring those types of posts. Much classier than some...Todd

          6. frenchy | Mar 15, 2008 12:39am | #18

            todd, Thanks too,

              Today must be my day,  I'm feeling really great about some of the nice things people have been saying.  I had a couple of former customers call me as well, mainly to chat and let me know they survived last year and are either planning on getting new equipment or  doing something else..  

             Nice to know things are well or improving..  warms my heart..

             thanks again Todd for the kind words..

        2. User avater
          JeffBuck | Mar 14, 2008 10:46pm | #16

          hey ...

          find out on yer next test why he thinks I'm a "conservative".

           

          thanks,

          Jeff    Buck Construction

           Artistry In Carpentry

               Pittsburgh Pa

          1. Jim_Allen | Mar 15, 2008 12:51am | #19

            I'm sure he'll tell you what you are, depending on the conversation. He usually doesn't base his opinions on your reality, only his desires...at the moment. I find it rather comical.
            Bob's next test date: 12/10/07

  4. frenchy | Feb 22, 2008 08:35pm | #8

    JouneymanCarpenterT

     The real question is do you want nice fresh oats or oats that have been through the horse a time or two..

     Selling is a real tough job.. It's rewarded accordingly.. Most of my working life I've made more money than my boss or even his boss. But I'm successful..

      Those that aren't used to that level of success are willing to live closer to the bone.  Where the compensation isn't as good..

     It's sort of like the pay scale in carpentry.. the laborers make less than the jouneyman who makes less than the supervisor etc..

     If your pay scale starts towards the bottom ,...

       If you hire some hungary young kid he might go out and surprise you with his ambition. His enthusiam will offset any lack of skill or knowledge. Probably not though. The record is One person in 1000 will remain in sales for more than 5 years..  But chances are you'll get tired has beens or never were's  who are just looking to hang on.   They will go thru the steps and make the motions untill a better oppertunity comes along..

      If the compensation is higher you will get better  attack dogs who want to eat from the top of the food chain.. Carefull though,, some of us are barely tamed.   If we create we expect first slice and best slice.. It's not unknown that we will bite the hand that feeds us..  That ambition is what makes us successful..

      We are a real risk if it's our nickle on the line.. If we spend our money first in advertising and travel costs etc.. it's extremely easy for us to take the whole carcus for ourselves.. There are plenty of carpenters out there and lot of them would jump at the chance to move up to supervisory positions..

      Your best method of controlling us is to hire an attack dog but front the expenses..   make the compensation enought to attract an attack dog  but control them with the expenses..

     Few really great salesmen want to take on the additional burdens of management if they don't have to..

     PS I've kept refering to salesmen.. there are some real barracuda's  with Women as well. In fact two of the best sales people I know have been women..

      PSS

      The resume will have all the good stuff, ignore it!  Right along with experiance..   Base your hire on the apparent ambition and eargerness the applicant shows.. if he/she can't get excited at this stage you haven't got much to work with..

      

    1. User avater
      jonblakemore | Feb 23, 2008 01:18am | #10

      "The record is One person in 1000 will remain in sales for more than 5 years.."Frenchy,I've heard you say that before. Are you telling me that, for every car salesman who has been there for 61 months, there are 999 who quit in 60 months or less? Our lumberyard salesman has been working for decades. Has he seen 999 co-workers come and go for each five year period of his tenure? 

      Jon Blakemore RappahannockINC.com Fredericksburg, VA

      1. frenchy | Feb 23, 2008 02:00am | #11

        JonBlakemore

           That is absolutely correct, I've seen the same statistic repeatedly quoted in endless sales magazines and books..  I've been in sales myself well forever, but let's just say that in 40 plus years I would estimate I've seen 3000+ fired and let go and only 1 retire.. Please remember most salesmen work by commision only.   If you fail to produce results you also fail to recieve pay.  Lack of pay is usually sufficent to reason to quit a job..

        As to the turn over in cars sales that is one of the most brutal places to work sales.. most salesmanagers will hire virtually anyone and then pressure them to bring family and friends in to sell them a car.. once there are no more family and friends forthcoming they are terminated.. some dealerships have over  50% turn over every month..

          I can't speak for individual lumberyards but the facts are that less than 1 salesman  in a thousand remains in the career for more than 5 years..

          I suspect that in non-cut throat industries such as lumberyards where loyalty is relatively easy to retain  the percentage may be higher. I don't know that for a fact having never held that position. There might be pressures I'm not aware of..  (grass being greener)   

Log in or create an account to post a comment.

Sign up Log in

Become a member and get full access to FineHomebuilding.com

Video Shorts

Categories

  • Business
  • Code Questions
  • Construction Techniques
  • Energy, Heating & Insulation
  • General Discussion
  • Help/Work Wanted
  • Photo Gallery
  • Reader Classified
  • Tools for Home Building

Discussion Forum

Recent Posts and Replies

  • |
  • |
  • |
  • |
  • |
  • |
View More Create Post

Up Next

Video Shorts

Featured Story

Old House Air-Sealing Basics

Look high and low to find and plug air leaks that cost you money and comfort.

Featured Video

Micro-Adjust Deck-Baluster Spacing for an Eye-Deceiving Layout

No math, no measuring—just a simple jig made from an elastic band is all you need to lay out a good-looking deck railing.

Related Stories

  • Podcast Episode 693: Old-House Hazards, Building Larsen Trusses, AI in Construction
  • FHB Podcast Segment: Finding Hazardous Materials in a Fixer-Upper
  • A Classic Paint Sprayer Gets a Thoughtful Refresh
  • Podcast Episode 692: Introduction to Trade Work, Embodied Carbon, and Envelope Improvements

Highlights

Fine Homebuilding All Access
Fine Homebuilding Podcast
Tool Tech
Plus, get an extra 20% off with code GIFT20

"I have learned so much thanks to the searchable articles on the FHB website. I can confidently say that I expect to be a life-long subscriber." - M.K.

Get home building tips, offers, and expert advice in your inbox

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters
See all newsletters

Fine Homebuilding Magazine

  • Issue 332 - July 2025
    • Custom Built-ins With Job-Site Tools
    • Fight House Fires Through Design
    • Making the Move to Multifamily
  • Issue 331 - June 2025
    • A More Resilient Roof
    • Tool Test: You Need a Drywall Sander
    • Ducted vs. Ductless Heat Pumps
  • Issue 330 - April/May 2025
    • Deck Details for Durability
    • FAQs on HPWHs
    • 10 Tips for a Long-Lasting Paint Job
  • Issue 329 - Feb/Mar 2025
    • Smart Foundation for a Small Addition
    • A Kominka Comes West
    • Making Small Kitchens Work
  • Issue 328 - Dec/Jan 2025
    • How a Pro Replaces Columns
    • Passive House 3.0
    • Tool Test: Compact Line Lasers

Fine Home Building

Newsletter Sign-up

  • Fine Homebuilding

    Home building tips, offers, and expert advice in your inbox.

  • Green Building Advisor

    Building science and energy efficiency advice, plus special offers, in your inbox.

  • Old House Journal

    Repair, renovation, and restoration tips, plus special offers, in your inbox.

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters

Follow

  • Fine Homebuilding

    Dig into cutting-edge approaches and decades of proven solutions with total access to our experts and tradespeople.

    Start Free Trial Now
    • Facebook
    • Instagram
    • X
    • LinkedIn
  • GBA Prime

    Get instant access to the latest developments in green building, research, and reports from the field.

    Start Free Trial Now
    • Facebook
    • YouTube
  • Old House Journal

    Learn how to restore, repair, update, and decorate your home.

    Subscribe Now
    • Facebook
    • Instagram
    • X
  • Fine Homebuilding

    Dig into cutting-edge approaches and decades of proven solutions with total access to our experts and tradespeople.

    Start Free Trial Now
    • Facebook
    • Instagram
    • X
    • LinkedIn
  • GBA Prime

    Get instant access to the latest developments in green building, research, and reports from the field.

    Start Free Trial Now
    • Facebook
    • YouTube
  • Old House Journal

    Learn how to restore, repair, update, and decorate your home.

    Subscribe Now
    • Facebook
    • Instagram
    • X

Membership & Magazine

  • Online Archive
  • Start Free Trial
  • Magazine Subscription
  • Magazine Renewal
  • Gift a Subscription
  • Customer Support
  • Privacy Preferences
  • About
  • Contact
  • Advertise
  • Careers
  • Terms of Use
  • Site Map
  • Do not sell or share my information
  • Privacy Policy
  • Accessibility
  • California Privacy Rights

© 2025 Active Interest Media. All rights reserved.

Fine Homebuilding receives a commission for items purchased through links on this site, including Amazon Associates and other affiliate advertising programs.

  • Home Group
  • Antique Trader
  • Arts & Crafts Homes
  • Bank Note Reporter
  • Cabin Life
  • Cuisine at Home
  • Fine Gardening
  • Fine Woodworking
  • Green Building Advisor
  • Garden Gate
  • Horticulture
  • Keep Craft Alive
  • Log Home Living
  • Military Trader/Vehicles
  • Numismatic News
  • Numismaster
  • Old Cars Weekly
  • Old House Journal
  • Period Homes
  • Popular Woodworking
  • Script
  • ShopNotes
  • Sports Collectors Digest
  • Threads
  • Timber Home Living
  • Traditional Building
  • Woodsmith
  • World Coin News
  • Writer's Digest
Active Interest Media logo
X
X
This is a dialog window which overlays the main content of the page. The modal window is a 'site map' of the most critical areas of the site. Pressing the Escape (ESC) button will close the modal and bring you back to where you were on the page.

Main Menu

  • How-To
  • Design
  • Tools & Materials
  • Video
  • Blogs
  • Forum
  • Project Guides
  • Reader Projects
  • Magazine
  • Members
  • FHB House

Podcasts

  • FHB Podcast
  • ProTalk

Webinars

  • Upcoming and On-Demand

Podcasts

  • FHB Podcast
  • ProTalk

Webinars

  • Upcoming and On-Demand

Popular Topics

  • Kitchens
  • Business
  • Bedrooms
  • Roofs
  • Architecture and Design
  • Green Building
  • Decks
  • Framing
  • Safety
  • Remodeling
  • Bathrooms
  • Windows
  • Tilework
  • Ceilings
  • HVAC

Magazine

  • Current Issue
  • Past Issues
  • Magazine Index
  • Subscribe
  • Online Archive
  • Author Guidelines

All Access

  • Member Home
  • Start Free Trial
  • Gift Membership

Online Learning

  • Courses
  • Project Guides
  • Reader Projects
  • Podcast

More

  • FHB Ambassadors
  • FHB House
  • Customer Support

Account

  • Log In
  • Join

Newsletter

Get home building tips, offers, and expert advice in your inbox

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters
See all newsletters

Follow

  • X
  • YouTube
  • instagram
  • facebook
  • pinterest
  • Tiktok

Join All Access

Become a member and get instant access to thousands of videos, how-tos, tool reviews, and design features.

Start Your Free Trial

Subscribe

FHB Magazine

Start your subscription today and save up to 70%

Subscribe

Enjoy unlimited access to Fine Homebuilding. Join Now

Already a member? Log in

We hope you’ve enjoyed your free articles. To keep reading, become a member today.

Get complete site access to expert advice, how-to videos, Code Check, and more, plus the print magazine.

Start your FREE trial

Already a member? Log in

Privacy Policy Update

We use cookies, pixels, script and other tracking technologies to analyze and improve our service, to improve and personalize content, and for advertising to you. We also share information about your use of our site with third-party social media, advertising and analytics partners. You can view our Privacy Policy here and our Terms of Use here.

Cookies

Analytics

These cookies help us track site metrics to improve our sites and provide a better user experience.

Advertising/Social Media

These cookies are used to serve advertisements aligned with your interests.

Essential

These cookies are required to provide basic functions like page navigation and access to secure areas of the website.

Delete My Data

Delete all cookies and associated data