Commission: Greed, bribe or part of business?

In the marquee hire business commission rears its head from many places. People see you taking £1k for erecting a marquee? They want a part of it. Some are deserved, some aren’t and some fall in between where you have to judge if it’s a sound business idea or not.

There are some sites like National trust properties where part of the agreement in being on the ‘recommended suppliers list’ is paying 10% commission.  Whether you increase your normal charges by 10% or pay it out of your normal prices is up to you in all of these cases.

Some caterers ask for commission for any work you pass across and offer in back for return business. Personally I’m not keen on this. Recommendations between people in the industry should be based on a genuine recommendation otherwise it could reflect badly on both parties. Would you choose to recommend someone so you can take commission over someone you knew could do a great job?

Wedding suppliers, wedding coordinators, wedding directories all promise to bring you a whole host of new marquee business in return for commission. To me this is a step too far but hey it’s up to you.

Remember after paying all this commission you have to be still making money 🙂

Thanks for reading

Spencer

  • malparker

    Amen. Dead right again Reverend Spencer. On another note all be aware of a company referring to themselves as BT, yes Bt and offering you a fantastic deal of an exclusive domain name registered to you and a google page 1 website within a couple of weeks. All for a one off £200 fee and monthly payments of £29. They are BT Customer street or formerly known as Ufindus. Once you hand over your card details you will find you are locked into a business to business contract. Really hard to get out of. Be aware. Do not give card details over the phone.

  • Wise advice yourself Mal 🙂 We get so many bl**y phone calls offering us better deals on things, electricity is the worst one – the best way we've found to get rid of them is to say we don't use it! They don't know what to say to that.

  • Once again Spencer is dead right (yawn yawn!haha), people or businesses should want to do business with you becuase of you, your business or your product, preferably all 3! Rather than gaining xx%, conversely if you should feel confident in recommending suppliers, anyway back off my high horse..

  • I should add a note to this post – I heard of someone who retired from hiring, his business had basically wound down to very little but he struck up an arrangement with another local company where he passed on all his work in return for commission. It worked well for both sides so there's certainly times when it is appropriate, you just have to judge each situation individually.

  • I should add a note to this post – I heard of someone who retired from hiring, his business had basically wound down to very little but he struck up an arrangement with another local company where he passed on all his work in return for commission. It worked well for both sides so there's certainly times when it is appropriate, you just have to judge each situation individually.

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