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Old 09-25-2012, 10:49 AM
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DVS Hardscaper DVS Hardscaper is offline
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Originally Posted by PaperCutter View Post
Out west I worked for a landscape co that dealt directly with the homeowner but had to give a 10-15% kickback to the pool co. We obviously just marked our prices up by that much. It's where I learned to sell - if your pricing is that out of line with the market you better be able to close or you're going hungry.
That was initially the arrangement. The pool company would get a kickback from me. We had a job last May and the company wanted 20%! 20% FOR WHAT? For forwarding a name, address, and phone number??! The 20% mark up blew the price out of reality. And i told them the home owner would never go for it and all we're doing is prompting the home owner to shop around. I told him it was a lose / lose.

So on this round I sent an e-mail saying we needed to talk about their commission, and I said that 15 to 20% was too much. I also said it wasn't worth my time to price because I know the home
Owner will never go for it. People are not stupid, with the Internet everyone researches everything.

We have another pool company where I just pay a flat commission, with a cap of $500 maximum. This keeps the prices in line with the market, and the pool guy is happy, I'm happy, everyone is happy.

And architects are the same way. Gotta have their hands in the pot

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  #22  
Old 09-25-2012, 11:05 AM
PaperCutter PaperCutter is offline
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Originally Posted by DVS Hardscaper View Post


And architects are the same way. Gotta have their hands in the pot

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Damn right! Of course, when I'm designing and coordinating a job all my contractors have to do is show up. But I'm the exception, I know

I left that company in AZ when we moved here, but I would've quit anyhow. The way the commission split worked was 5-10% went to the owner of the pool company and 5% went to the pool sales rep. My commission from my boss was 7%. So I realized (way later than I should have) that I was working 14 hour days and busting my butt for 2% more than the guy who did nothing more than say "this is Dave, he'll be designing your landscape around your new pool." Duh.
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  #23  
Old 10-26-2012, 09:52 PM
david bailey david bailey is offline
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I am a sub/contractor for a pool company here. He has never said anything to me about kickbacks or % reduction. Generally I'll charge by the hour or load and that will depend on how many guys and what equipment I need. He pisses and moans but I do a good job,have the proper ewquipment for what is asked of me,and i show up when i'm supposed to.

I ran into a similar deal when i used to do foreclosed houses. when the lady toold me how much i would make and then told me I would be giving a 15% kickback for the work I told her,um hell no
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