Deciding between hiring independent sales representatives and in-house sales people can be a difficult decision to make.

On one hand, bringing on independent reps is a free way to get the sales cycle started. You have no financial commitments, no salaries, no benefits or worries that can come with hiring employees. You get sales people who seem eager and motivated and will work on a commission only basis and for most start up companies and inventors this seems like a dream scenario. On the surface, this is a great way to go... BUT you must understand that hiring sales reps can potentially be very hazardous to your business at this critical stage of your growth. Here is why: sales reps are “independent” for a reason. - they are not your employees and don't want to be. Many reps have worked for companies for many years and now want the freedom and flexibility to do as they please, such as work from home. With that, they often have no intention of reporting in to you on a regular basis or even simply returning your phone calls or emails when you want them to. The worst part is that because they are not employees, they are not required to do so and that can be extremely frustrating and potentially harmful to your progress, ESPECIALLY in the beginning! You want someone who will care about your business as much as you do, but most reps have their own interest at heart.

Sales reps have limited time to work with you. Many reps represent numerous companies. I have met reps that told me they rep as many as a dozen lines! How can you expect a rep to give you more than a handful of hours a week when they are “working” for so many other companies? You can't – they just don't have the time. Another important factor to consider is that most reps will spend the most time on the lines that currently produce the most income. If your company in new and virtually unknown, it is highly unlikely that they will spend their precious time “pioneering” for you when they can earn immediate income with lines that are established and produce sales. I don't blame them actually. Reps have families and financial obligations just like the rest of us so they do what they need to in order to pay the bills. In essence, your products will be shown to customers when they have extra time and that should never be good enough for you! How do you find the good reps?

It's very difficult! The good productive rainmakers usually work with big brands that we all know. The others are very picky about who they will represent. They will ask much of you – do you have current accounts that produce revenue that they can now manage so they can earn business is ready to do business. You must have a great website, enticing brochures, great spec sheets, alluring packaging, and other basics your need to succeed. If you are not ready to play with the big boys, the good reps will take a pass on your and move on to greener pastures.

Should you hire a sales person in house?

I know, money is tight. You barely make enough to pay your mortgage never mind a high priced sales pro. But here lies the dilemma - do you invest in a dedicated proven sales pro who will devote himself to you? How do you know they will perform and at least cover their cost of having them on staff? Perhaps you tried this in the past and have gotten burned – big pay with little or no sales from them. This is always a tough call, but, if you are truly in it for the long haul, you need to invest in good sales people. They are the heart of your organization. Without sales, nothing else happens. We believe one of the best investments you can make is to bring aboard the highest quality sales help you can afford.

An important thought – it is not wise to build your business on a foundation of independent sales reps. You need to be in control of your business and dictate how you would like things done. It is also important to note that there are good reps out there. A few of my close friends are very successful and dedicated sales reps. These people work hard and care about their work. They are true professionals. They reality though is that the vast majority of reps we have worked with over the years fall into the earlier. In addition, the truth is that many people are just plain lazy and do not apply themselves in a way that could greatly benefit themselves.

Be careful out there! Choose your help wisely. Ask lots of questions. Check references!!! AND most importantly, make sure your dreams come true and do whatever you can to achieve them as fast and as stress- free as possible.

The DeCavi Corporation can help you understand and navigate the complex world of a start up consumer products company. We work with inventors everyday and teach them all they need to know about raising capital to fund their business, licensing deals, packaging their products, pricing their products correctly, getting quality prototypes to show to buyers, how to connect with the buyers at retailers such as Target, Wal-Mart, and many others. Please contact us at www.decavicorp.com or call us at 770-880-2606.

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