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SaaS multi-year commissions

For my SaaS sis’s and bro’s, what is the pulse out there like for commission on multi-year SaaS deals? Recently closed a 3-year deal and found out the hard way we only get paid on the first year. My thought is if the company recognizes this rev up front, and we go through the cycles of earning a 3-year PO why we partially compensated?

6
Jgre12
Good Citizen
+1
Senior Account Executive
What! You don't get comp'ed at all for years 2 and 3? I would not be pleased. It's common to get a significantly smaller percentage, but I've never heard of no commission on multiyears..

I currently make 10% on year 1 and 3% on any of the following years. 

If they aren't compensating you for locking the business in, why should you keep doing it? If it were me, I'd ask management that question and see what they come back with.  
CadenceCombat
Tycoon
+13
Account Executive
Yeah, I hate that. Similar deal with an enterprise software company I used to work for. I think you would only get like a 1% or 2% bump on commission if it was a multi-year deal but still only based on ACV not TCV. [annual contract value / total contract value]
theCommishioner
Opinionated
+6
Account Executive
small percentage on out years if it's an annualized agreement, slightly higher than that percentage if paid all upfront
us
usmcmp78
Strategic Account Manager - Government
10% on year 1 and an additional % for each additional year...
value
OG Sales Savage
+4
Major Account Executive
Sometimes, companies want to de-incentivize that behavior because they plan to increase their annual license fee. By locking a customer into a multi-year agreement, it may *feel* like you are securing revenue for the company but you may be undermining their long-term ARR revenue growth projections. 
TheWolfofGlengarry
Opinionated
+1
Global Account Manager
Find a new company. If they recognize 3-years or the customer pays up front, then you should get comped. Most pay up to 3 years. The only way for you company to change is for you/others to bring it up or they lose talent to the companies that pay. We are hired to sell. It's your job to find the company to pay you what you're worth! 
CuriousFox
WR Officer
+11
Needer of Life Alert
Are you sure you're not in a new sales/hunter role?
sales101
WR Officer
+6
Senior Account Executive
We get no more commission on even a 1 year contract compared to month to month. Unfortunately, I wouldnt even consider doing more than a year because it makes no sense to me
15
Should the total value of multi-year SaaS deals count towards your current year quota?
Question
21
How do clients pay for a multi-year deal?
Al no
+53
TheDeplorable ,   AllBiteNoBark ,   nowimdun   and 53 people voted
1
Multi Year Vs One Year, HELP!
Question
6
5
How much of an outlier is hitting $1M+ in Commissions in 1 Year?
Question
10
Have you ever grossed $1M + in commission in a single year?
Th
+138
Sniper ,   Theloanemperor ,   Mjollnir   and 138 people voted
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