User Tools
Commission
Help with This Page:
This is the screen where you state the percent of the prices received that you expect to divert to commissions. Usually commissions are paid to marketing and salespeople, but Offtoa does not care to whom you are paying the commissions. All it cares about is what percent of the revenues received are being used to pay all the commissions.
On the commission assumptions screen, enter the percent commission you will be distributing out of each product in each market for each year. For example, let's say you have three markets, M1, M2 and M3 for product X in year 2. You plan on paying salespeople 10% commission when they make sales in markets M1 or M2, the sales manager 2% commission on all sales made in all three markets, and distributing 3% commission to the marketing staff whenever any sales are made. In this scenario, you would enter commission rates for markets M1, M2 and M3 (for product X in Year 2) as 15%, 15%, and 5%, respectively.
Additional Questions:
Do I have to have commissions?
Absolutely not. If they are not part of your business strategy, just leave the assumptions on this screen blank.
For planning purposes, can I just “bury” commissions in the base salary?
Absolutely. But this may affect revenues because Offtoa uses base salaries, but not commissions, to drive revenues when you have chosen to use customer acquisition cost (CAC) as the means to calculate customer acquisition and thus revenue.
Are commissions used in calculating new customers from the customer acquisition cost (CAC)?
How do I add or remove a year (column) to the commission table?
