New offer coming - advice

Discussion in 'Growing and Managing a Business' started by Crossroads852, Nov 1, 2013.

  1. Crossroads852

    Crossroads852
    uix_expand uix_collapse
    New Member

    Joined:
    Nov 1, 2013
    Messages:
    1
    Likes Received:
    0
    Background: 3 years in a staffing company. Small company but rapidly growing, went from 5 revenue producing to 20 in the 3 years I started, but with a lot of turnover. At this point I'm the 2nd most tenured sales person, largest revenue producer last year, probably dropped off to 2 or 3 this year. My niche is shrinking but we are about to acquire another company, different small growing part of our industry (vendor management systems). I have been approached about spearheading this post acquisition, didn't commit but stated I was open. Solid product, but they are completely mismanaged, only had 150k in revenue (I earned ~110k last year after commission). It has potentially but will take a year before I can turn it into a serious revenue producer, even if I kill it. By potential, I mean the future of our industry, so huge upside, but it will be slow.

    Qualifications: I'm the best to do this internally, but from a skill point standpoint, others are close. However, their lifestyles mean they won't take it (I'm single, opened to travel and other internal options aren't there). I'm the only internal option, they can go outside but with growing pains and uncertainty. Any ideas what I should be asking for with a new contract? I'm thinking a salary guarantee first year with an equity position after first year if I grow it past a certain number?

    Current structure is a 40k base with 60-80k earned in commission per year last 2. Willing to sacrifice a little in the short term to gain long term, have a 50k nut (high COL area). Any ideas.
     
  2. amwarner

    amwarner
    uix_expand uix_collapse
    Member

    Joined:
    Jan 19, 2013
    Messages:
    185
    Likes Received:
    67
    "By potential, I mean the future of our industry, so huge upside, but it will be slow. "

    Are you able to ask for any stock options in that new company? But probably if they were mismanaged they probably aren't in a position to have stocks yet. What you suggested is good enough, especially wit the equity if you exceed a pre-determined quota. Good luck with it.
     
  3. UnifiedFreight

    UnifiedFreight
    uix_expand uix_collapse
    New Member

    Joined:
    Nov 6, 2013
    Messages:
    5
    Likes Received:
    0
    It seems to be a very ideal offer. I would also look at the PnL's Balance sheets and Cash flow statements for the past 3 years
     

Share This Page