Splitting Commission

[emoniquej]

See Charpress's first response. You went in without a clear understanding and now you are unhappy. Call it a learning experience and do what you can to salvage the situation.

If you had known up front what if any split was expected, then you would have been able to make an informed decision as to whether or not to participate.

I read it. I am not unhappy. I just wanted to make sure I was looking at it correctly. People will try to use the new person. That is why I came here with my concerns because I have learned more from the people here than the person who is suppose to be helping me.

 

[Charpress]

Do these leads come with a little blue ribbon around them like in Glengarry Glen Ross? (A movie you need to see if you don't get the reference).

I have to say this is confusing.

One time I got many more attendees sign up for a seminar than I thought I could handle, so I called in a "friend" to help out on a 50/50 basis assuming we would work the leads together after both running the seminar.

Big mistake. I should have done the whole deal by myself no matter how much work.

Anyway, I'm missing why you are sharing anything under the scenario you describe.

 

[emoniquej]

Do these leads come with a little blue ribbon around them like in Glengarry Glen Ross? (A movie you need to see if you don't get the reference).

I have to say this is confusing.

One time I got many more attendees sign up for a seminar than I thought I could handle, so I called in a "friend" to help out on a 50/50 basis assuming we would work the leads together after both running the seminar.

Big mistake. I should have done the whole deal by myself no matter how much work.

Anyway, I'm missing why you are sharing anything under the scenario you describe.

Lol, no i don't get the reference. Duhhh, I said I was new, so I wanted to know was it standard to split commission even if you helped obtain the leads and if so how much. I figured people with years in the business would answer the question. I shared with a question so that meant I was looking for answers. Are you still missing why I shared?

 

[DHK]

Aside from a 50/50 split, there are other ways to do commission splitting, such as the "MDRT 5 20's":

NAIFA's Advisor Today - Forging a Working Relationship With Bankers

In the sidebar:

I use Norman Levine’s (32-year MDRT member) “five 20s” formula for splitting commissions:
- 20 percent for the lead,
- 20 percent for the opening and interview,
- 20 percent for computer work,
- 20 percent for the closing and
- 20 percent for ongoing service.

The bank has the client and the appointment, and that’s worth 20 percent. They were going to be involved in some of the ongoing service, and if they gave me an office space to use, and set the appointment, it seemed to me that a 60/40 split should be equitable. I take 60 percent; they take 40 percent.

 

[emoniquej]

Thank you DHK! I appreciate you!

 

[Charpress]

Lol, no i don't get the reference. Duhhh, I said I was new, so I wanted to know was it standard to split commission even if you helped obtain the leads and if so how much. I figured people with years in the business would answer the question. I shared with a question so that meant I was looking for answers. Are you still missing why I shared?

I think we may be talking about different things. You are referring to sharing your question with us. I was referring to sharing commissions.

I avoid those commission sharing situations if at all possible because it ends up sour more often than not. Just sad experience.

 

[emoniquej]

I think we may be talking about different things. You are referring to sharing your question with us. I was referring to sharing commissions.

I avoid those commission sharing situations if at all possible because it ends up sour more often than not. Just sad experience.

I understand. DHK provided the information I needed. Thank you

 

[VolAgent]

I understand. DHK provided the information I needed. Thank you

For what it is worth, I never saw the MDRT split work. If you aren't doing 50/50, someone is generally going to be upset.

 

[bill3173]

That dude is calling the leads as we speak and might give you al the crappy ones that don't pan out. That night you should have walked with half the stack.

Good one, right to the point. People go broke from too much discussion.

 

[Charpress]

For what it is worth, I never saw the MDRT split work. If you aren't doing 50/50, someone is generally going to be upset.

The guy who can get a qualified prospect in the door is worth 50% and the guy who can close that prospect is worth 50%. That is how thing work about 90% of the time.