How To Find Independent Reps, 1009 Reps, Manufacturers Reps And Commission-Only Sales Reps

CommissionCrowd commission only sales reps

One of our main priorities here at CommissionCrowd is helping companies who may have never worked with independent sales reps, 1099 reps, manufacturers reps or rep agencies previously.

Here’s an interesting fact for you… Did you know that the industry is still highly fragmented and unconventional. In fact that’s why sales professionals who work on a commission only basis go by so many different titles like independent, freelance, commission only, 1099 reps, manufacturers reps, rep agencies… and the list goes on! While there can be slight variations in each of the above, sales people who are classed under those titles are essentially self-employed and work on a commission basis.

If you’ve never worked with commission-only sales reps before, it might be quite hard to believe that someone would choose to give up the security of a set wage. Here’s a popular article we wrote to explain why sales people become independent: Earning A Salary Vs Commission-Only - Is It Ever Worth It?

It can be a challenging industry that requires patience and persistence when setting out to build a successful commission-only sales team which is why we always go a step beyond to help our members.

Managing expectations is also hugely important to us. While many companies find the perfect sales partners within a very short time frame, others might take a little longer. With our guidance, support and dedicated account managers, we don’t leave you to it on your own.

In 2016, The US Dept. of Labor estimated that there were over 2 Million Independent Reps in the United States. That number has been increasing by 6% – 10% annually, mainly due to improvements in technology that make working remotely much easier and convenient for independent sales professionals.

While we are award winning and also one of the fastest growing dedicated B2B commission-only sales job platforms, our current agent database is only a fraction of that size currently. Instead, what tends to happen is that as we publish new freelance sales opportunities on our platform, we start to organically attract agents that are specifically looking for new product and service lines to add to their portfolios. This happens for two reasons; Our Marketing and online presence is second to none and the second being referrals by agents on our database who are exposed to new listings and share with their connections.

Why We Sometimes Turn Companies Away

The first thing we look at is qualifying companies that express an interest in using CommissionCrowd to start their recruitment drive. While no company (including ourselves) can control who an independent sales rep chooses to work with or not, there are a few basic factors we look at to determine whether a sales opportunity will be seen as attractive to prospective freelance sales reps. It’s important we do this because our main priority is to keep the quality of our database high and also because we simply don’t want to charge companies a joining fee if we feel they won’t be successful with us.

Here’s a few factors we consider before allowing a company to join CommissionCrowd:

1. Is The Company Established And Are Their Products/Services Proven In The Market?

It’s important to understand that 1099, Manufacturer’s reps (more commonly known as freelance or commission-only sales reps) who work on a commission-only basis are typically only interested in working with well established companies whose products or services are proven in the marketplace. Rarely will a rep or agent take the risk on a newly established company who have yet to see sales or know if they’ll ever come to fruition.

For some companies this may seem strange and certainly there are exceptions to this rule but a reps most valuable asset is time. If we feel a company has a potentially fantastic product or service to offer but are newly launched, we may make an exception or ask you to come back at a later stage.

2. Average Sale Value And Length Of Sales Cycle

It has to be worth a freelance sales rep’s time to focus on developing new business for the company Principal they are working with. That’s why we always recommend a company have a product or service that sells for above $5000 per sale or average order value (or equivalent currency) or above $500 per month recurring (where the rep is paid a recurring commission for the life of the client).

The length of the sales cycle should correlate directly with the average sale value. A rep may may be willing to spend many months nurturing a prospect that’s likely to place a very substantial order but not so likely to do the same for lower value products/services.

3. Ability to handle large orders and fulfill an increase in business

Reps will absolutely want to know that your company can handle an increase in business and you’ll be able to service their clients. Your company may not be suited to working with independent sales reps if you are a sole trader or have very small teams and limited output capabilities. That’s not to say you won’t be successful, but you may be at a disadvantage to larger companies who can easily scale their company based on a sudden increase in demand.

4. Understand how freelance sales reps operate and what they expect from their business partners

The answer to this question has many factors. We’ve written what’s been referred to as the: ‘blueprint to working with commission only sales reps here

One very important thing to understand is that reps build diverse, complimentary sales lines as part of their wider portfolio. It’s rare to non-existent that your company will be the absolute focus of the rep’s full time and attention… this is what employees are for. However, that being said, this is actually a good thing! The majority of freelance sales people have large existing networks of contacts as a result of their portfolio and your company will be put infront of prospective clients on a much more frequent basis than employees can.

CommissionCrowd For Companies:

To find out more about how CommissionCrowd can help you build the perfect outsourced sales team for your company here’s the link to more information: CommissionCrowd for companies

CommissionCrowd For Independent Sales Reps:

To find out more about how CommissionCrowd can help you build and easily manage the ultimate sales portfolio, here’s the link for more information: CommissionCrowd for independent sales reps

Ryan Mattock

Co-Founder of CommissionCrowd... Let's get disruptive!