Salesmen Commision?

LOL! Natty, you're an idiot.

You read what you wanted to read. I'm not even going to waste time explaining it to you.

There is no line. It is up to the individual contractor to determine what he charges for his work. Much like it is up to the owner to determine how much hell pay.

I get what you are saying but, imagine if it wasnt like this.... Would you really want your competition to determine what you can charge...? Or worse yet... the government...? I think not.

I believe there is a line between a fair and profitable price and price gouging. What roofguy was stating is clearly gouging. He said that he would split any upcharge 50/50 with his salesman if he could get it.

natty Said:

Roofguy Said:

Example of par is lets say we normally charge $300/SQR for a spec. If the salesman gets $400 then he gets 10% + 50% of the amount over our base rate. So the salesman gets 10% + $50/SQR.

Where is the line between a fair price and price gouging? Commercial work may be different, but in residential work, so much of the job is just based on trust. I once knew a salesman who would feel out the prospect, gain their trust, then jack up the price if he felt he could get it. I know this may be standard capitalist practice, but I never thought it was right or fair. I never could do it.

There is no line. It is up to the individual contractor to determine what he charges for his work. Much like it is up to the owner to determine how much he'll pay.

I get what you are saying but, imagine if it wasn't like this.... Would you really want your competition to determine what you can charge...? Or worse yet... the government...? I think not.

That's why I said "helping the uninsured break the law."

There is no uniformity in commercial claims like you are suggesting. There is so much supposition, prices are all over the ballpark. Way more often than not, if I'm involved on a claim I can make a $100,000 difference on a $500,000 claim. Yes I know, I can't negotiate with adjusters, but the law allows me to defend my estimate - which I do.

The issue is that most adjusters are very poorly trained in adjusting commercial hail claims.

Roofguy Said: If we do work for $300/SQR and an adjuster pays $400, the 2 options available to me are to help the insured break the law by doing the work for $300, or doing it for $400.

If we do work for $300/SQR and an adjuster pays $400, the 2 options available to me are to help the insured break the law by doing the work for $300, or doing it for $400.

Roofguy Said:

Example of par is lets say we normally charge $300/SQR for a spec. If the salesman gets $400 then he gets 10% + 50% of the amount over our base rate. So the salesman gets 10% + $50/SQR.

Where is the line between a fair price and price gouging? Commercial work may be different, but in residential work, so much of the job is just based on trust. I once knew a salesman who would feel out the prospect, gain their trust, then jack up the price if he felt he could get it. I know this may be standard capitalist practice, but I never thought it was right or fair. I never could do it.

That would be me, and I keep whatever is left.

10% of gross. Sometimes we do a "par" for those unusual instances where the salesman gets more than our normal charge. We don't encourage them to charge more than normal but we offer NO discounts to insurance companies and if they want to pay $150/SQR more than we usually charge...

Example of par is lets say we normally charge $300/SQR for a spec. If the salesman gets $400 then he gets 10% + 50% of the amount over our base rate. So the salesman gets 10% + $50/SQR.