I'm building a comp plan for a Hardware-as-a-Service, Series B, tech startup and could use some help on benchmarks and structure. SaaS comp plans and benchmarks are widely available, but HaaS is pretty new and has different margin % and LTVs. I know commission rates for SaaS are in the ~7-10% range, but does anyone have any benchmarks on HaaS commission relative to deal size?
ACV is $50k, but we sign 2 year deals so TCV is $100k but usually paid yearly, not upfront. LTV is likely 4+ years. How should I comp for multi year deals?
Sales cycle will likely be 90 days and we're early enough where we can't quite forecast so setting quote will be a shot in the dark at this point. I'm thinking this comp plan will only run until end of Q2 then I'll reevaluate.
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