What do Warren Buffet, Mark Cuban, and Howard Shultz all have in common? They all worked as salesmen before they were billionaires. Are you looking to start your own business someday or are looking to make some cash on the side? Here are 6 reasons to get a sales job.
1. Income Potential
You get out what you put in. There are very few jobs out there where your pay is tied directly to your performance. Sure, you may get a bonus or a raise in a regular job for good performance. But in sales, it’s not uncommon for one person to be making two or three times more than their peers in the same job.
Talent and hard work pay off. No one is born a salesman
If commission sales have such great benefits, why don’t more people take advantage of it? It’s hard, and there’s no guarantee. You may be going door to door in town or driving hundreds of mile in a rural area trying to make a sale. If it’s commission only you aren’t getting paid until you make that sale.
You generally have to pay for your gas and expenses as well. Greater risk, greater reward. IF you can get good at it. It’s not like a regular job where you can be mediocre and get paid anyway.
If you make it though, it has a higher potential than almost any other career. You also don’t need a degree to move into management. When you’re in charge of a team you usually get a cut from every sale made in your group in addition to your own.
2. Residual Income
Residual Income- Some sales jobs sell a product or service on a recurring basis. There is a good chance you can earn residual income for as long as that person remains a customer.
Say for example you are going door to door selling security systems for homes. Say an average install is $400 from the customer up front and $50 a month after that for the system monitoring. A commission there could be something like $100 (1/4) of initial sale. Then a residual of $15 a month for as long as they remain a customer.
Residuals are a steady way to boost your yearly income. Many customers won’t cancel
The first year on the job that initial $100 per sale are your bread and butter.
Say you sell ten contracts a month and never improve. That’s $1,000 upfront a month and $150 a month residual, going up by $150 every month. $300, $450, $600 all the way up to a $1,800 month after 12 months where it will even off.
After one year on the job, you’re making more in residual income than from your monthly sales. Those 100k a year commissions jobs I mentioned quickly become 200k next year and more the next. Your
ast forward a few years. Say you take a month-long vacation. You’d earn more from residuals doing nothing than you did your entire first year working your ass off! Next, move up to a leadership position where you are making a percent of your team’s sales. You’re well on your way to early retirement.
3. Overcoming Rejection
The hardest part of sales for beginner salespeople is fear of rejection. People hate salesmen on principle. You’ll get a lot of no’s, a lot of hang-ups, a lot of doors slammed in your face, and a few choice words to go with them. It sucks at first, but once you get over it, you’re bulletproof!
Did you use to be afraid to talk to or ask out a beautiful stranger? Not anymore, that’s way more comfortable than your job, and you know a no here means a yes somewhere else. Ever wanted to haggle for a better deal or ask for something for free? No shame, the worse they can say is no, and you’ve heard it a thousand times.
It sounds depressing, but it’s liberating. You get to stop caring what people think or how they react to you. You realize it’s more about them than you. You can always get better, but you can’t get everyone.
4. You learn about people and yourself.
You learn a lot about people and yourself. After a few months on the job, you’ll begin to see a pattern in the responses you get. You can come up with plans to overcome those rejections.
In a few years, you’ll be able to read people like a book. Everyone is unique. But we all share certain traits and people generally fall into predictable categories. It’s not magic, it’s psychology.
You also become keenly aware of how your own emotions and attitudes are picked up by customers. It can be great for self-growth. Learn to let go and enjoy life. Realize you are not your emotions or your thoughts.
5 Flexible Schedules
This isn’t always the case. Many times you have required long hours or you may be on the road five days a week. Those jobs are tough, but if you’re working full time or more, hopefully, it’s with a five-year plan to make a boatload of money. If you also have a significant investment plan for that money you can retire off it.
Luckily, many sales jobs let you pick your hours. After all, they’re only paying you for the sales, not your time. If you can do in 2 hours what it takes a worse salesman 8 hours, then great!
My first sales job was selling tree trimming services door to door. I drove around in my car after my day job. I knew people were more likely to be home and I’d knock on any house that had a dead tree or limb. If I didn’t want to work that day or that week I didn’t.
Often though I’d work weekends because I wanted the money and it was the best time to catch people at home. Like running a business, it’s great to be the captain of your own boat. It’s great to have a part-time commission job like that if you’re just starting out in business.
6. Prepares you to run a business
“Sales cures all”- Said by the Mavericks’ owner and shark tank favorite Mark Cuban. When it comes to a business, there are a lot of moving parts. There is a lot to plan for and a lot to do — hundreds of things that can go wrong.
At the end of the day, if a company isn’t bringing in money, it’s not going to make it. If your business is in the red, it’s taking on water. Worry about sales first, before the boat sinks. Then use that money and motivation to fix whatever is causing the leakage. Once you understand sales and understand it’s importance.
I love sales and could talk all day about it, but those are my top 6 personal reasons I’d suggest you get into sales. Now if it came down to a job or starting a business, I’m always in favor of starting a business. You take all the risk and all the rewards.
High commission sales can also replace a business if you invest wisely. I knew several guys that retired after five years selling supplemental insurance. They were fully vested, so they kept their residuals once they quit.
They also had hundreds of thousands they’d packed away earning interest. Granted they were working 14-hour days and on the road five nights a week. Who’s to say that’s worse than working 40 years at a desk job?
What are your experiences with sales? How have they helped you succeed in life or your business? I’d love to hear!
Further Amazon Reading: How I Raised Myself from Failure to Success in Selling.