Commissions owed

cheekymonkeb0y

Dear All,

Some advice appreciated, I am a sales manager and when I close deals, the commission is a % of the invoice received, I could close a deal, that pays quarterly invoices, over 3 years, i.e my commissions trickle in.

Over time, this means my commissions have built up.

However my company just sold a large chunk of the business, and I am being told that I will no longer receive the commissions owed as they can no longer bill the client, who's contract I closed, as the contract is now managed by another company.

Surely they have not sold the business for £0, feathers or air.

Have I any rights to the commissions I would have been paid in due course?

Cheers

C

sangie595

Well if the company you work for are no longer invoicing the client because they aren't a client any longer, then what would you have a percentage of?

k3lvc

Are you talking historical commissions that they've not billed or potential future ones ?

A different response for each

cheekymonkeb0y

I assume the remainder of the contract was sold for money?

cheekymonkeb0y

k3lvc wrote: »

Are you talking historical commissions that they've not billed or potential future ones ?

A different response for each

Commissons that were due to be paid., as I originally closed the sale.

k3lvc

Unfortunately 'assuming' isn't likely to help you

Is there a clause in your contract that covers this ? If not then it'll be down to how much your employer thinks of you as to whether you get any payment as well as a lesson learnt for the future

sangie595

cheekymonkeb0y wrote: »

Commissons that were due to be paid., as I originally closed the sale.

But they aren't invoicing? So there's no percentage on an invoice that isn't made out. They have no income to offset the commission against. What they sold the business for its something entirely different - and if that isn't covered in your contract, then I don't see how you can claim commission on an invoice that doesn't exist, even if your did bring in their original business

cheekymonkeb0y

Bum. I figured that when the contract was sold the income is coming from the new owner of the contract, in a lump sum

k3lvc

Possibly - but you're unlikely to ever see it worded in the way you want on an invoice and therefore be able to make a claim on it.

As I said talk to your employer and gauge their level of interest in sharing with you

paddyrg

Talk to your managers with a figure you feel would honestly represent real-world commission lost, and a figure that they could offer you as goodwill to buy it out. A smart manager knows you're not going to be incentivised to close future sales if they will just sell the contract and stiff you

cheekymonkeb0y

I have been offeed a £15k pay rise vs. £50k comms I would have got remainder of this year and whole of next.

At same time we are being moved to new bonus plan appears to pay out half (in % terms) per sale versus my current comms plan.