Benefits of a Commission-Only Sales Position

Commission-Only Sales Jobs Have Advantages and Drawbacks

Just the though of commission-only sales jobs can strike terror into the hearts of many job seekers. But there are a few key reasons why intentionally choosing a commission-only position may be in your best interest.

Commission-only positions are not for the faint of heart, nor are they always the top-paying sales jobs available. But if you've done your homework on such a position and have determined that it is one you might like to hold if it were a salary plus commission job, put it to the litmus test to make sure it offers the key benefits you require.

Unlimited Income Potential

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You should expect the possibility to earn an unlimited income is part of most every sales position. But there is a difference when it comes to commission-only positions, as some do "top out" at a certain earnings level. While employers may try to disguise an earnings potential limit with additional compensation opportunities, these truly do not offer unlimited income potential.

For example, consider a position that allows sales professionals who work solely on commission potential earnings of up to $150,000 in annual commission. Once that earnings level is met, the rep can earn awards, prizes, trips, or can "roll over" a percentage of sales into the next year.

No matter how it is framed, any position that limits the amount of commission you can earn should be considered carefully. And while you are doing due diligence, don't be seduced by a company that promises unlimited earnings potential but that markets a product or service that is either too general, and therefore viewed as a commodity, or too specific, resulting in fewer sales opportunities.

Benefits or Freedom?

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Some commission -nly positions offer benefits (health, dental, vacation time, sick time, etc.) to their sales employees, and some view their sales reps as independent or contract workers. If you cannot stand the idea of going without an employer-sponsored benefits package, only consider positions in which you are a direct employee of the company and that offer a benefits package.

But if you have more of a sales entrepreneur temperament or don't need to work for a company that offers benefits, make 100 percent certain that the hiring company does not place too many restrictions on how you manage your time. You should have the freedom to sell other non-competing products or services so long as you deliver whatever revenue expectations to which you and the hiring company agree.

Commission-only sales jobs often offer a tremendous amount of freedom to their sales reps and, as a result, employ many of the top professionals in the world of sales.

Advancement Potential

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Not only is promotion to a salary-plus-bonus position a potential benefit, so too are advancement opportunities to positions that continue to pay only commissions and includes a percentage of sales commissions from other reps as part of earnings packages.

Unlike traditional multi-level marketing companies, many sales businesses employ sales leaders that sell and earn their commissions and also provide training or support to others selling for the same company. Companies like these usually offer advancement opportunities to their sales professionals who demonstrate both a strong skill set and the ability to help others improve their skills.