h1 class="aligncenter">How to Compute Fee to Finder
COMPUTING COMPENSATION FOR SALES LEADS
NETWORKING / LEADS REFERRAL GROUP
| S O U R C E: | |||||||||
| E X A M P L E | INCOME STMT | ACTUAL | |||||||
| GROSS SALES REVENUE | $1,000 | $350.00 | |||||||
| -------------------- | |||||||||
| SALES TAX | Chicago | 8.750% | 88 | ||||||
| CUSTOMER PAYS | 1,088 | ||||||||
| -------------------- | |||||||||
| COST OF PRODUCT OR SERVICE | 68.0% | 680 | |||||||
| SELLING EXPENSE | (b) | 18.0% | 180 | ||||||
| ADMINISTRATIVE EXPENSE | 9.0% | 90 | |||||||
| -------------------- | |||||||||
| COMPANY PROFIT | 5.0% | $50 | |||||||
| PROPORTION OF SELLING EXPENSE | |||||||||
| OFFSET BY QUALIFIED LEAD REFERRAL | |||||||||
| (ESTIMATE BY COMPANY) | (a) | 35.0% | |||||||
| COMPENSATION TO FINDER | (a) * (b) | 6.300% | $22.05 | ||||||
| (PERCENT OF GROSS SALES REVENUE) | |||||||||
| BY CONSTRUCTING A SPREADSHEET SIMILAR TO THE ABOVE YOU CAN COMPUTE | THE AMOUNT | ||||||||
| TO PAY FOR (PAID) BUSINESS FROM A SUCCESSFUL REFERRAL. | |||||||||
| THE PROPORTION (a) | OF SELLING EXPENSE IS A JUDGMENT CALL BASED UPON THE EFFORT | ||||||||
| YET REMAINING TO CLOSE THE BUSINESS. | |||||||||