Commissions

Standard Commission Rate: Fencescape pays a default 10% commission on sales made at book (non-discounted) pricing.

Discount Adjustments: If a discount is applied to a sale, the commission percentage decreases proportionally.

Non-Commissionable Items: Certain items are marked as non-commissionable, especially items that are invoiced separately after the project starts (e.g., teardown fees or specific service charges).

Retail Sales:

• Kits are sold to retail customers.

• Commissions are calculated based on the exploded Bill of Materials (BOM) and inventory items in the sales order.

• Components are relieved from inventory upon shipment.

Project Sales:

• For projects, commissions are linked to the final invoice amount, including any adjustments to project scope (e.g., changes in footage or materials).

• If additional items are billed after a project has started, these are often non-commissionable unless explicitly tied to a new PROJ code or specific contract terms.

Commissions are forecasted at the sales order stage but only become payable once:

• The project is fully completed.

• The customer has paid all invoices related to the project.

A sales invoice is commissionable when,

• There is a salesperson assigned on the SI and

• The salesperson has commission setup

Invoices without a salesperson assigned are automatically treated as non-commissionable.

Teardown fees, while forecasted, are not typically commissionable unless explicitly included in the project’s final invoice with appropriate markup.

Currently, commissions are calculated manually in Excel by Fencescape’s team.

• They track sales, discounts, and project profitability for each salesperson.

• This manual process also accounts for pending commissions based on forecasted sales.

The goal is to automate commission calculations in GFERP.