The sales income GAME CHANGER

In this episode, I explain the real key to making the big money in any SALES role. 

This includes:- 

• The hard cold facts about earning money in sales
• How to structure your renumeration so you become a top earner
• The FUNDAMENTAL thing you must do if you are in real estate to make a million dollars a year.

Check out the Validum Groups Real Estate Courses Here:
https://www.validum.edu.au

Check out my BLOG with Validum: Commercial Property with Sandra Carder https://www.validum.edu.au/commercial-property-with-sandra-carder

This Podcast is Sponsored by M2 Morning - visit http://m2moringa.com.au

Contact Sandra on sandra@milliondollaragent.info for more information on how to structure yourself and the platforms to use.

Join our mentorship or arrange a meeting with Sandra at http://milliondollaragent.live 

Transcript

Hey, Hey, are you in sales? Do you want to know how to smash that glass ceilings?  Do you want to make more money than you ever thought was possible? You're in the right place. My name's Sandra Carder, I've been in commercial real estate for over two decades, and I know how to sell.   I'm going to teach you the habits, the formulas, the tips, the tricks, and the tools that you will need to be a superstar salesperson in whatever field you're in.

So, sit back, relax, tune in and listen to my podcast million-dollar agent and let's smash some glass ceilings together. This episode is brought to you by M2 Moringa. Hey, Hey, million dollar agents. It's Sandra again, and welcome to episode 17. Now this episode's pretty special because I'm going to tell you what the secret is to actually making the big money when you're in sales.

Now, it doesn't matter whether you are in real estate, commercial real estate, residential, or just sales in general. There's something that you need to know because everybody goes into sales, and usually when you are new in sales, you are so grateful for being in the role that you don't check how your position is set up and how your renumeration is structured.

So, this is what this episode's about. This is the way to set yourself up, whether you're working for somebody or whether you're working for yourself to make sure you are earning the big bucks. Typically when you start off in sales, whether it be property or selling Coca-Cola, you are going to have a base salary or a base retainer plus a fee structure, or you might just have a salary and there might be some sort of performance bonuses at the end of the year.

However, it's structured. You want to flip it on its head, so that you are getting paid for a large chunk of a percentage per transaction. Now it might sound nice and cushy, and it might sound like a safety net to have a bigger salary and a smaller performance-based pay structure. But I'm telling you my friend, if you want to make the big bucks and you want to earn some serious, commissions in sales, you need to flip this on its head, and this is going to be scary, like for those of you that are new into sales. You've only been in the industry for a year or two years or three years or even five years, and you're still cutting your teeth. This can be completely daunting. And the trick to it is to have a really good support network around you so that you can buy some time.

You might need another 12 months of being on the job so that you feel confident enough to change your structure. However, if you feel confident enough that you know your product and you want to start earning some serious coin and you are in sales for the long run, you know, sales is your calling, then you need to sit down, have a good hard look at how your pay is structured, how your renumeration is structured and make sure that you flip it on its head so that for every single deal you do, you're getting a chunk of the pie. Salary's lovely and salary's safe, but sales people on  salaries, they don't make money. They don't make a lot of money. And even million-dollar agents who are doing million dollars of fees, aren't taking a million dollars of fees home because the way that it's structured is that they're being paid the big salaries, they're bringing in the big fees and a chunk of it's going back to the office or they're splitting it with partners or however it's structured. But what you want to make sure is that you get rewarded for your hard work, because if you are truly dedicated to a career in sales and it's not for everybody, I mean, I've said this before, particularly commercial real estate, it's a full contact sport.

Realistically, if you want a career in sales and you don't want to step away from the salary and the comfort zone, then you really need to have a look elsewhere. You're probably better off in a management role. Or something that's safer.  Because sales is scary. It's a roller coaster. And I've talked about this in another podcast, but what you ultimately want to do when you're working in sales is work your way to the point where you are commission only.

So that means you don't take anything away, from the office. And this is only if you're working for somebody else, you're not taking anything as you go. You might have some sort of deal where you're getting, I don't know, you're super paid and you might get sick leave, et cetera. But ultimately you want to be on the highest percentage possible on a commission only structure.

Now you might make that a two-year plan. You might make that a two month. You might make that a three-year plan or a five-year plan, but that's where you want to get to my friends, commission only, so that every single transaction you do, you're taking home a big chunk of the pie. And why is this? Well, firstly, it makes you hungry and it makes you want to work harder because, if you don't work hard, you don't get paid.

So, there's that kind of push along. It's like the carrot and the stick scenario. It also makes you appreciate every single deal. It's not just doing a deal for the sake of tipping it back into the kitty because you owe the office that. So, a lot of the structures, like the salary structures, you have to actually make so much of whatever your salary is, you have to bring that in double to actually cover your own salary plus bringing the fat for the company. 

So, if say you were on a hundred thousand dollars a year, you’re on target earnings would need to be $200,000 a year and half of that's covering your salary. You can take home a hundred thousand dollars a year, but that is it. So, there's no commission, but you get a nice salary. You probably get a pretty card. You might even get the title of director. And if that's what floats your boat, more power to you, because there's plenty of roles like that. And why is that? Those companies are making motser because you’re on-target earnings might be 200,000, but you might be having a great year and you bring in 300,000. Your salary is still one hundred thousand, unless you've been clever enough to factor in a bonus structure. You know, that's, that's how these companies make a lot of money that aren't there to make you money. You're there to make them money. Whose dream are you living for? Are you living for your dream or the company's dream?

Unless it's your company, I would say that your dreams are different. So, you need to work out what is the dream, and then focus on working towards a commission only structure, because if your dream is not completely in line with the company's dream, this is where you need to go. Now, if you're in real estate and you work for an office, whether you're in residential or commercial, they'll tend to be a base salary and then a percentage of the commission that comes back to you. Now, you're never going to get a high commission rate working in a corporate where you're getting a base salary and then you might get 25% of the sales fees, gross commissions. But only as long as you've paid back what they spent on your salary, if that makes sense.

So again, it’s very hard to get motivated when you're in an environment like that. It's very hard to get excited about any deals like you want to be super hyped up and super excited. Every time you have something going under contract, you want to be finding something that you want, cutting it out, putting it on your dream board and working towards that.

“Oh, that deal's taking me closer to that. That deal's taking me closer to that.” It's just human nature. You want to have that fire in your belly. And if you can just write down a nice big amount on your whiteboard about how you going to, what you're going to get from that deal, you're going to make damn sure that deal goes through to the end.

Otherwise, you are just doing the deal for the sake of the company, not for yourself. Now, a lot of companies, whether you're in selling widgets or Coca-Cola or whatever are not going to want to talk to you about this type of structure. You need to probably step out of that. I had a search on, on the seek website the other day, just for the pure curiosity of it and because this topic was my next podcast and there were 300 jobs on there that the keywords were commission only. So, they are out there. And if you have faith in yourself as a salesperson and you want to come along for the ride with me and you want to learn how to be a good salesperson and you want to make the big bucks, those are the roles you need to go for. And as brutal as that sounds, and if that's not your agenda, then this is not the place for you, but you can do this. You can absolutely do this and make a lot of money. The commission only roles are typically seen as, “oh, it's vacuum cleaner salesman or it's telling marketing” or, you know, it's kind of got a dirty stigma to it, but it doesn't have to be like that.

In real estate, there is another trick you need to know about making as much money as you can and the best commissions you can. And the first thing you need to do is go and get your full real estate license. I work closely with the Validum Group, and I've done blogs on their website about commercial real estate.

I'll put a link to their website below. They do very, very flexible, very functional, full real estate courses. And this isn't an ad for Validum. I just like the way that they structure their courses. It's easy to do. You can do it in your own time. They're not paying me for this ad. It's just that they're a really good system.

You can also go through the R E I Q a little more rigid in terms of the way the courses are structured. But it's not hard to get your full real estate license and believe me, this is a license to print money. If you're a salesperson and you've thought, oh, one day, I'm going to do that. And you want to make the big bucks go and do it.

Sign up to a course, do it in your spare time. I don't care if it takes you 12 months. You need to have the course up your sleeve, and therefore there are a lot of platforms you can work on and it's even going to give you more bargaining power with your current employer who would like to get you on a contract structure so that you are commission only.

Do you think, I mean, typically you are less of a burden to them under that structure. So, you know, if you are a good salesperson and they still know they're going to make a clip of the ticket for every deal you do, they're not going to tip you out because you want to be structured like this. 

So, this is what you need to do… Go and get your full license. Approach your current boss, tell them that you're fully licensed and you want to go on a contractual structure so that you are getting commission only. That's your ultimate agenda. Stage it, work out a plan, come up with a staggered amount that you reduce your comfort zone, your salary.

The other thing is if you've got a really good support network, like I do where someone else can look after you, you need to have a chat to them and say, listen, I'm doing this for us. Can we do this? I just need three months of you to look after me while I go and do this. And it's for our future. And that's what I've done with my husband.

And it’s worth it. It's totally worth it because the big picture is, you are in control. You're staying motivated, you're getting excited, and you love sales and you love what you do. And this is what it's all about. If you don't love what you are doing, you need to go and do something else. 

Life is way too short my friend to not absolutely jump out of bed in the morning, be excited about what you are doing. Have that pep in your step. I walk around my construction sites. I was there today, and I just think, how lucky am I? I am just blessed to be doing something every single day that I absolutely love. So, unless you have that passion for what you are doing every day, have a good hard rethink about it because it's not worth it.

You need to do something that you really feel that buzz about. Now the next part of the key. If you're working in real estate and you want to make some serious dollars is to get into a platform that is not a corporate and it's not working under a brand and it's not working for another principle, it's working for yourself.

I'm not talking about going and renting an office and hiring staff and paying loads and loads of subscriptions to all the different things that your office is using now that you need on a daily basis. I'm talking about joining a platform that provides all your administration, provides all of your marketing and you're taking home large chunks of commission for every deal.

I'm talking anything from 93 to 97% of your fees. You get that money into your bank account. I'm not going to tell you what these platforms are called, but I can tell you I've done my homework. There are probably two major platforms that you need to seriously consider. If you are serious about doing this, I'm not putting it in my podcast.

I'm happy to tell you about the good and the bad for both these systems. And I can tell you, I've honestly done all my homework, so you need to contact me, if you want more information about what these looks like. So again, I will put my contact details in the show notes below. I'll put my email address.

You're even welcome to give me a call and ask me if you are serious about doing this. So, when you're talking about taking home, 97, say 90, say worst case 93% of your fees. Say you do look, there's not too many properties, particularly commercial that are under a million dollars now. So, let's work it out on a million dollars.

Let’s say it's a 3% commission, so there's $30,000 there. So, your gross fees it'll be $30,000 plus GST. You'll typically take home under one of these structures, depending on administration fees and they do vary between platforms, but you'll be typically taking home around $27,000 of that $30,000.

If you worked for an office under a salary, like this is one transaction, you should be doing one of these a month, but if you typically took home a salary of 50, 60, 70, $80,000 a year. You've given it to the tax man. The way you're structured is probably you're working under a P A Y G system.

Now there's better ways to manage this. Now this is stuff that's not for the podcast. This is stuff for when you and I talk one on one. If you come into my mentoring program, or if you want to get to know one of these platforms a bit better, they're going to take you through these steps as well. So, it's really important that you understand that this is critical to the way you are structured, that the money you are making is critical to the way you structured.

Look, you can do a deal a day, seriously. If you are good at your job, that's some serious coin, right there. The prices of properties are going up. It's very hard to find a property under a million dollars again. So, with this, I'm not being unrealistic with this fee structure. I'm not saying, “oh, you know, the, the $30,000 commission is a rhino.”

That's not a rhino. A rhino has a zero on the end of that. And if you don't know what I mean by rhino, you need to listen to episode 15, which I talk about the eight things, bad sales people do. And some of them just chase rhinos and rhinos are the big deals, but can you see the little fish are getting bigger as we go.

Now, the beautiful thing about property is the fee structures don't get smaller because the deals get bigger. You know, they might fluctuate between one and 3%, but anything sort of under $2 million is, should be 3%. So, if you are in another form of sales, I do apologize for being so focused on property.

Because a lot of people have said that my podcast is helping them in all aspects of their sales careers, regardless of whether they're in property or not. But I want you to be clear that even if you are selling Coca-Cola you need to sit down and try and work out the fee structure, the renumeration.

So, it suits you and you are making money and you're being rewarded for your hard work. And you're not building the company's dream. And I'm sorry if you're Coca-Cola and you're listening to this, but this is about you. This is not about Coca-Cola you want to be making. As much money as you can, because that's living the dream and that's what sales is about. 

Sales is not for everyone. It's again, the hardest hard work and the easiest easy work. And I was talking to someone today about it and they say they think you guys make a lot of money. And I said, yes, but we have to kiss a lot of toads to get the prints because we don't get paid for every single thing we do.

We do a lot of things, and then one thing sticks and we get paid for that. And it is a lot of money, but you know what, we've had to do 20 things to get there. So that's what sales is about, it is persistence, and you've going to keep going one foot after the other. And you have to have your systems in place where you've got a good routine and a good system and good delegation and good time management.

And you know, a lot of people just want to turn up clock on, do their nine to five, get their pay check, their accountant is happy with that. They go on holiday based on their tax refund at the end of the financial year. They know how much they can borrow for their house. They know how much they can borrow for their car.

They allocate money and, and budget for this and budget for that. But if you are not that person, I'm not that person and you want to aim higher, then you need to listen to me. You need to contact me. Let's talk about how we can get you onto a system that you're not going to be left alone on this.

And I did a little video blog about how are we going to get or what's the secret to making a lot of money and you are not alone in this system. And I'll tell you why, there's one particular platform that offers excellent service, excellent support and training as well. And this is mind blowing stuff. If you want to get into commercial real estate, you really seriously need to get in touch with me because it's a game changer and it will change your life.

So, yeah, that's it for this episode. I don’t know if I can make it any clearer, but you need to take care of business and that, like my mother's always said, if you don't take care of business, it'll take care of. And I'm not sure why she said that, because she's not really that business focused, but it makes sense.

Keep that in mind. So, this is a really easy recap. What is it? Have a fabulous support system. Have a good hard look about how you're being renumerated and flip it on its head. If you are in sales, you want to be getting paid a big percentage of every single transaction. You want to move yourself away from the comfort salary and on to, and get to and work towards commission only if you are in sales and you're in property, you want to be getting your full license.

That's a license to print money. Again, in the show notes below, I'm going to put a link to the Validum group's website, where you can check out their courses. And most importantly, get in contact with me because I've done the homework. You don't have to invent the wheel, and I can tell you the absolute best platform options to make as much money as you possibly can.

My email address will be in the show notes below and please drop me a line and ask me how you do this, because there's plenty to go around and I think you need to get serious about your work. It's your blood, sweat, and tears. You want to be paid for this. So, sales should always be about reward for effort because we are doing the hard stuff.

We are doing the hard yards. We are on the front-line and. It's not for the fainthearted and if you're in it, because it fell into your lap, you don't really love it. You don't think you're going to make a career, but you got a decent salary out of it. Get out of it, go and do something else. 

But if you have a drive for it, you have a passion for it. You're good at it. You're good with people. You just need a bit of fine tuning with your skills. You want to be in commercial, for instance, you need to have a look at my course. You need to contact me. So that's a wrap. Thank you so much for listening. I really appreciate it. My name's Sandra Carder. I'm a commercial real estate agent.

You can find me on LinkedIn, Tiktok, Instagram, and Facebook at Sandra Carder commercial Agent, keep selling hard, get yourself on commission only my friend and smash that glass ceiling. Set servers brought to you by M2 Moringa, Now, this is a tea tonic that I have every single morning. I have it with lemon and hot water. And it's so packed with vitamins that I've had to throw away all of my pills because I don't want them anymore.

See you next time.