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About Walter L. Gibson
Expertise
I can assist with starting and growing a successful house cleaning business. Specific questions should relate to: marketing; customer relations; estimating jobs; employee hiring and management; office procedures; equipment and supplies procurement; data management; and scheduling.

Experience
Experience in the area


I have run an independent residential cleaning business since 1989, and have experienced all aspects involved with this venture. I have created an owner's manual, daily procedures manuals for both office & cleaning staff, employee handbook, business letters, forms and documents necessary for an indepentent business owner to develop a successful cleaning business. These cleaning business forms, letters and manuals are available at MaidDocs.com


 
   

You are here:  Experts > Business > Small Business: Canada > Managing a Business > referral bonuses

Managing a Business - referral bonuses


Expert: Walter L. Gibson - 3/8/2009

Question
Hello,

Your response would be greatly appreciated.  Regarding referral bonuses for our cosmetics business, people want to refer clients to us.  These clients are typically beauty schools.  How much each will purchase will have a wide range.  How much referral bonus should we give to the person who referred us to the school?  Is it typical practice to keep giving a commission to the person for every order the school makes.  This means we have to give him a bonus for the 2nd order, 3rd order, 4th order, etc.  What suggestions do you recommend?

Thank you in advance for your assistance.

Answer
I would send a monthly or quarterly bonus check for a certain percentage of total orders.  We have run a cleaning business for 20 years and pay commissions on sales of cleaning jobs.  Our commission structure is 3% for sales up to $199 and 5% for sales over $200, and bonuses are paid monthly.

Hope this helps!

Gwen
MaidDocs.com
Cleaning Business Forms and More

<b>Cleaning Business Forms and More:  http://www.MaidDocs.com</b> - provides free information for cleaning service businesses, both start-up and established.  With this system you can successfully start a cleaning business without a franchise, and keep it growing strong.  You can purchase a complete cleaning business system, or an economical start up package which includes a cleaning fee estimate calculator; lists of resources; a full color tri-fold customizable brochure, and over a dozen customizable templates, forms, and customer letters.  There is also an economical Employee Package which includes a guide to hiring and managing cleaning business employees, an employee handbook and cleaning procedures manual; performance reviews and warnings; and a payroll template.  

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