Alarm: Hiring Your First Sales Rep?Don’t Make This Big Mistake!

This article is specifically for Startup Founders and Business Owners who want to avoid making a very costly mistake.

There is a recurring conversation I have with business owners and founders whose sales have stalled.

It goes something like this: 

The owner of a small tech advisory company comes to me looking for advice and guidance.

Why?

They’ve been running the business for a few years and grew it by selling to their personal contacts and business relations. However, now their personal connections are all used up, and growth has stalled. 

They’ve come to the conclusion that the business won’t grow any further without more resources.

So, now they want to know whether they should “hire a sales rep.” 

My First Response Is This:

I ask whether they have in place the following five strategies:

Make it stand out

  1. A defined target market (industry, sector, geography, business size, buyer personas, etc.) 

  2. A sales process for that target market (including top, middle, and bottom of the sales funnel) 

  3. A clear and succinct value proposition (to answer the “why choose us” question) 

  4. A proven and scalable lead generation program (to fill the funnel) 

  5. A high-quality sales pipeline (showing upcoming revenue flows) 

Often, in each case their answer is: “No.” 

Typically, the business owner then asks a question that triggers alarm bells for me:

“Won’t the rep bring all that with them?

Alarm Bells!

When I hear these bells ringing, I explain to them that, in my experience, quota-carrying, commissioned salespeople, reps and BDMs alike want to make money.  Quickly.


Just like anyone else, sales reps prefer to come into an organization where everything is set up for them and ready to roll. A place where their success will be actively supported from the start, not one where they must first build everything out from scratch and on their own... often without being paid for it. 

At this point I usually continue with my explanation and warn them that, from what I have seen time and again, the pressure of high expectations from owners will cause the new BDM to go for “quick wins.”

They will start cutting corners and get caught up in short-term activities. This will lead to them having to put out fires caused by the lack of structure, systems, and methodologies not in place before their arrival. 

After a couple of month of trying to muddle through, the rep becomes frustrated and leaves for greener pastures, i.e. an employer where everything is already set up for them to hit the ground running, be productive and

make money.

The poor business owner then needs to start from scratch, having just lost several months of sales and having to go through the recruitment process all over again.

The consequence is that the business never becomes set up for long-term success. 

Back to the Beginning 

To complicate matters further, even IF a sales rep sticks it out and brings along their own sales process and lead gen methods, what happens when you hire your second and third rep?

What if these new hires also bring their own sales processes? 

You’ll end up with a rabbit warren of 
different sales engagement styles and methods 
that serve only to confuse you and – worse yet – your customers. 

Eventually, it will be up to you, the owner, to sort out the mess and finally create a singular, consistent, and useful system. You’ll be going through the steps outlined above, but now with one or more frustrated salespeople on your payroll. 

So, if you are looking to hire your first sales rep, don’t put the cart before the horse.

My advice is to do this instead: 

Get your house in order first.
Set up your business (and your reps) for sustainable success. 
Then hire your first rep.

Only then can you hire your first rep with confidence and start scaling up your business. Going about it in this way will save you the time, energy and heart ache of having to stop-start again just when your business should be taking off. 

How can you be sure you’ll get started right? 

What do you need to have in place to be ready?

How do you know when the time is right for you to hire your first sales rep?

Easy: You take stock of your current situation first.

Use this free Sales Funnel Assessment tool to discover just how ready you are right now to hire your first sales rep. And what you can do to be ready.

Or, if you prefer to talk first, then let’s have a conversation.

Go ahead. I’m looking forward to helping you make an informed decision.

Contact me directly to discuss your specific requirements and to explore how you can get there. After all, your first call with me is always free. 

Wishing you all the best for your business growth!

Peter Strohkorb


Peter Strohkorb is the Founder and Principal of Peter Strohkorb Advisory, the international Sales Acceleration Advisory firm with a growing list of clients in the B2B services and tech space in the US, Australia, and in the UK.

Our motto is: “More Sales, Faster”

and that is exactly what we deliver to you, our clients.

Contact

Phone AUS: +61 (0)411 865 301  |  pstrohkorb@peterstrohkorb.com

Phone US: +1 (628) 246-1242  |   peterstrohkorb.com

Peter Strohkorb

Peter Strohkorb has walked in your shoes. He knows what it’s like to be in your situation.

Starting as a quota-carrying sales rep, Peter earned his stripes during a 25 year career in corporate sales and marketing executive experience. He generated record-breaking revenue results for multinational corporations and for small and medium businesses alike.

In 2011, he started Peter Strohkorb Advisory to help SME and mid-market Business Leaders get ahead.

Since then, he has advised many Tech and B2B Services Businesses in the US and in ANZ on modern selling and is now a sought-after sales expert.

https://peterstrohkorb.com
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