I Scale Sales. Helping Founders Develop the Ability to Scale by building high-performing Sales & RevOps teams for B2B Software & Service companies.
Hey there, a few good answers here: https://clarity.fm/questions/1722/i-am-working-on-creating-a-sales-compensation-plan-for-a-recurring-revenue
Or I'm happy to jump on a call to talk specifics https://clarity.fm/damianthompson
Like many things in life, you get what you pay for.
Instead of looking at commission only, you can minimize your new hire risk by bringing on sales contractors that can eventually be brought on as employees if they work out.
Often the issue is not the salary but the LACK of a repeatable, scalable sales process. Ensure you are ready for a sales team.
Agree with Preston.
If you have a "wealth" of knowledge and specific industry expertise, start there.
If you are good at selling, that starts with selling yourself. Why would a customer buy consulting from you for their business if you struggle selling your firm's services?
FOCUS is key.
I focus on Startup Software companies and only work with them. Knowing who to say "No" to is as important as who to say "Yes" to.
Pick your Top 50 Potential Customers and prospect, prospect, prospect. Prove your worth to them, and the deals close themselves.
I think you are making it far too complicated. I would target 1st year payment only. I also wouldn't pay a percentage of sales, I would make it target based e.g. If you want the rep to sell $1M a year in ARR you give them a target of $1M and pay a percentage against achievement. This breaks the direct correlation to deal value and instead focuses them on achieving a set outcome.