



 




|
|
The Advantages of Hiring Independent Representatives
Instead of Hiring In-House Sales Personnel
- Fixed costs (If sales go up, revenues go up. If sales go down, sales expenditures go down.)
- Commissions paid only on what is sold in the exclusive territory. (When margins are low, representatives work for lower percentage commissions.)
- Experienced multiperson salesforce, not just a single salesman.
- Professional territory managers with an existing database of active customer accounts.
- Multistate territories with resident sales personnel in strategic areas.
- Tax write-off for the principal.
- No taxes to withhold.
- No health, auto, or life insurance premiums to pay.
- No company bonuses to pay.
- No company vehicles to provide.
- No expense accounts to pay--airfare, hotel, gasoline, etc.
- No 401(k) benefit package to oversee.
- No sales meetings to fund.
- Clear-cut termination agreement (usually a termination letter 60 days in
advance).
|
|