There are many issues to think about when hiring a sales representative. Considering the five listed here can make the process more rewarding and help guide planning for this new addition to your corporate family.
- Think about your willingness to let go
When hiring your company's first salesperson, letting go can be a major decision that you must make as a manager or small business owner. If you have been the one making all the calls, handling key accounts and representing your company in the marketplace, a new sales representative will play a major role in your perceived position in the company.
You will now have to trust the judgment of someone else to handle the day-to-day issues with your customers so that you can provide full-time vision to the organization. For one thing, you will no longer need to be in two places at once. The change can help you to be more effective in doing what you may do best: analyzing and creating an effective team that is both efficient and productive. This may or may not be an adjustment you are ready to handle.
The reason you are considering hiring a sales representative is because it is so hard to play both key roles — manager/owner and salesperson. Will you be able to step back, coach and advise? If you cannot let go, read no further. Take time to decide where you want the company to be in five years, and where you intend to be. If you continue in both roles, you will be older — and probably even more tired!
- Consider the size and complexity of your market
If your market and your customers are involved in a variety of managed care plans, if hospital staff in your area are more difficult to access and if your competition is more aggressive in their efforts to get the business, it may be time for you to hire a sales representative.
- Take your time in the hiring process
Hiring a new sales representative is not an easy process. It may take answering many calls, meeting with many potential employees and doing some negotiating. You should not make a rapid decision, however, because hiring the wrong person can negatively effect the entire office operation — and your company's reputation. While your staff or associates may encourage you to move quickly, do not. This is one of the most important decisions you will ever make as an HME owner.
You are about to hire someone who will be presenting your company to potential customers. He or she will be carrying your message and all you represent. Never be talked into making a fast judgment on this all-important decision. Include other key staff in the decision-making process, and make sure your potential new hire is a team player.
- Take all costs into account
Every time you add a sales representative to your staff, you must consider all of the costs involved. Providing a base salary and a commission plan is not all there is to it.
Consider all of the following items now to avoid surprises later as you evaluate the costs involved with bringing on a new salesperson: base salary, commissions, bonuses, car or gas allowance, Social Security and withholding taxes, retirement plan, health insurance, workers compensation insurance, training programs/education, promotional or educational programs for customers, participation in health care events that would not be in the marketing plan if not for having a salesperson, and communication tools such as a cell phone, beeper, laptop computer, etc.
- Factor in your commitment to training
If you are committed to hiring someone, you must make the same commitment to training him or her. It is not fair, nor will you ensure success, if you toss someone into the market without any training. Spend a week helping your new sales employee to understand the office, the operation, the industry and the customers.
Is it time for you to hire another salesperson? Are you ready to let go? Are you prepared financially to make the investment? From the hundreds of companies I have surveyed during the past year, I know that the time, money and effort can all be worth it when the right person enters your office. Good luck!
Louis Feuer is president of Dynamic Seminars & Consulting Inc. and the founder and director of the DSC Teleconference Series, a teleconference training program. He can be reached at www.DynamicSeminars.com or by phone at 954/435-8182.
