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Sales Commission Draw Agreement

Even if the employee doesn`t earn enough commissions to cover the draw, don`t keep the uncovered amount as an employee`s debt. If an employee has several bad commission periods, they may not earn enough to cover their draws. The employee may go into debt to you. For some products or services such as retail apparel, footwear, cosmetics and electronics, the sales cycle is short, immediate and often customer-oriented. Some products or services require a single cold call, z.B. Cutlery or magazine subscriptions. As a general rule, delegated staff must earn at least one minimum wage. Make sure that the draws you give to your employees comply with minimum wage legislation. Non-recoverable prints are more common when a salesperson starts work for the first time. It takes time for the employee to train and have experience.

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