Commission Shenanigans

I only ever vent on here....

First sales employee at niche AI startup. Doubled revenue year on year. Small sales team, so have 60% of that has come from growth in my accounts and new biz. Carry the largest quota and always hit it.

Long sales cycle. Public sector.

We had a b/s comp plan to start but we got a proper Sales Leader in who aligned comp plan with company goals. Was much better for reps but nothing insane.

Now we are on the verge of the largest deal in company history. 8 figures and it would double the revenue of the company....suddenly the CFO and CEO want to change the comp plan. 

I assume this is as old as time and common in orgs. Obviously I am seething but I want to be clever. I do have leverage as I am key to this deal and upcoming renewals. 

Any advice?




🍾 Commission
😤 Conflict Resolution
🤞 Negotiation
16
poweredbycaffeine
WR Lieutenant
10
☕️
What is written in your plan that you signed? Is it subject to change without notice? Do they need to provide notice? How long until changes can go into effect?
Sunbunny31
Politicker
9
Sr Sales Executive 🐰
^^ it’s common to have a “big deal” clause that gives companies carte blanche to change comp in the cases of those big deals hitting. Do you have that in your comp plan?
jefe
Arsonist
3
🍁
Far too common, and so frustrating. I could see it being reasonable to have some flexibility in when it's paid out for a start up, but you should get but you earn.
Sunbunny31
Politicker
2
Sr Sales Executive 🐰
I asked about why the company would exercise the clause and got some mumbo jumbo about multiple people needing their share of the payout and yada yada that made just as much sense to me as the math in a timeshare preso.

cornerback16
Valued Contributor
6
Strategic Accounts
Last years figures/comp plan were shared and agreed. I personally didn’t sign anything. 3rd year at company. (Rookie mistake by me)

There was a clause about being paid “at company discretion”….which Sales Leader (massively on my side) is trying to get removed.

But targets, accounts, comp plan get renewed at the start of each year.

As with any story lots to it but I am “friendly” with Co-founders and CFO same age profile etc. The money is significant but even if it does get resolved, the attempt to change it has left a very bitter taste given how much I have done. Also the shortsightedness of trying to do this with so many critical deals mid-flight. I am usually locked in but this is all I can think about.

Now I do have leverage as they can’t replace me in 6 months and struggle to do so in 12 months given the niche product/buyer so trying to be tactical and taking the emotion out of it.
oldcloser
Arsonist
5
💀
Sounds to me like you’re completely sane from all angles with this. Also sounds like there’s an undeniable PMF. That’s the gem in this story, and what makes this a long game play over a “fuck you pay me” scenario.

Seems you gotta navigate somewhere just shy of that. But do fight for your right to party. If they trim it back, get something in return.
unclespacejam
Politicker
4
ur dad’s brother
VIVAAAAA LAS VEGAS
VIVAAAAAAAA LAS VEGAS
jefe
Arsonist
3
🍁
Travis' war cry has haunted my dreams since that day...
medhardwaredr
Opinionated
5
Director of Sales NA
If they are reneging on the contract you signed. Sue them immediately so they know you mean business. They will back down immediately. Phuc them for pulling this.
CadenceCombat
Tycoon
4
Account Executive
Lawyer up
FoodForSales
Politicker
4
AE
commission envy. Its how the c-suite controls sales people.
DungeonsNDemos
Big Shot
3
Rolling 20's all day
My current plan has a crazy "we can do whatever we want depending on the CRO or CFO's wim." So that's pretty fun but hasn't affected me yet.
Our incentive plans only change once a year. I've worked in places that would change it up monthly based on how well the team was raking it in.
Pachacuti
Politicker
3
They call me Daddy, Sales Daddy
Nearly every comp plan has a clause stating they can change it whenever they want.
cornerback16
Valued Contributor
3
Strategic Accounts
Is it common that it is exercised?
Sunbunny31
Politicker
2
Sr Sales Executive 🐰
Raises hand. Yes.

However, usually negotiable to some decent middle ground, provided everyone is reasonable.
cornerback16
Valued Contributor
2
Strategic Accounts
I feel like this is what will happen.

Just need to know what I want before and how much to push
Diablo
Politicker
2
Sr. AE
Yes it changes at least for jumbo deals like this one. Best it to talk and make an exception and reach the middle ground.
unclespacejam
Politicker
1
ur dad’s brother
MeowMeow
Politicker
0
Senior Enterprise Account Executive
My company did this to me this month. It sounds like you have decent relationship up the chain, and I did as well. I lost all respect for them during this chaos. I had a feeling they were going to try and pull shit on my commission for a massive logo I’ve had on the hook for a while. I confronted my CEO and got what I deserved in the end. The damage has been done though. I work in good faith everyday to deliver what I’m hired to deliver. They don’t have the same integrity and now I’m shopping jobs.

Get what is yours and start looking or lawyer up! Either way, when you’re out, shame the shit out of them.
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