
The KeyHire Small Business Podcast
Why Your Best Salesperson Should Out-Earn You (with Stefan Boehmer)
Text us your comments or topic ideas for future shows. If your best salesperson is out-earning you, that is not a problem to fix. That is the plan working. On this episode of The KeyHire Small Business Podcast, Corey Harlock sits down with Stefan Boehmer, Managing Director and Fractional CFO of Texas Advisory Services, to tackle one of the trickiest parts of building a sales team: the compensation plan. If you have ever struggled to land those big killer salespeople who love to close and make money, the comp plan is often the make-or-break piece. And as this conversation shows, getting it right does not have to be complicated. Stefan brings a CFO’s discipline to a topic that gives many small business owners heartburn. Early on, he lays out the foundation: SMART goals that are specific, measurable, achievable, relevant, and time-bound. Just as important, he argues, the goals should be personal and something the individual can actually influence. If your operations person cannot impact a company-wide number, it does not make sense to tie their incentive to it. A big part of the episode is the distinction between business development and account management. Corey and Stefan break down why these are two very different roles that attract two very different people. Some salespeople love the hunt and the adrenaline of landing new business. Others thrive on relationships, upselling, and nurturing accounts over time. They also explore how the length of the sales cycle matters, and why a fast transactional seller can fail in a long-tail relationship role, and vice versa. From there, the conversation gets practical. Stefan walks through the KPIs he would incentivize for each role, from number of leads and conversion rates for BD to order intake, gross margin, and expanding the footprint for account managers. One of the most surprising takeaways is that he weights account managers more heavily than business development, because relationships are future-oriented and difficult to duplicate if that person leaves. He even shares a story of an account manager who worked a deal for nine years and walked away with a million-dollar payout, and why that check should be honored, not resented. Corey drives home a principle he repeats often: there should be no voodoo in the math. Every salesperson should be able to calculate to the penny what they earned, and it should match exactly what the owner pays out. The two also dig into when incentives should kick in, why quarterly payouts with an 80 percent achievement threshold protect the business, and how unit-based incentives can jumpstart new products or services. Perhaps the most valuable message is for owners who feel the sting of writing big commission checks. If you have a well-designed plan and someone is maximizing it while injecting real money into your business, do not scale it back just because they are making more than you. Stefan and Corey also call out the discretionary bonus as a trap, using a memorable story about a “generous” plan that left a top performer confused and underwhelmed. If you are a small business owner, sales leader, or entrepreneur trying to build a comp plan that attracts and retains top talent, this episode is a must-listen. Tune in for a clear, practical conversation on sales compensation, incentive plans, KPIs, and building a team that keeps growing. KEY TAKEAWAYS Make the goals SMART and make them personal: specific, measurable, achievable, relevant, time-bound, and tied to something the individual can actually move. If a goal is company-wide only, it does not matter how well that person performs, so the incentive stops changing behavior. Business development and account management are two different jobs for two different people: hunters chase new relationships and cold calls, account managers nurture, upsell, and expand what is already there, and people always default to the one they are most comfortable with. Give each seat its own KPIs: BD gets number of leads and conversion rate with a minimum margin requirement, while account managers get order intake, gross margin, and expanding the footprint into new departments and add-on services. Weight account managers more heavily than BD: cold calling can be handed to a new employee, but a relationship built over years cannot be rebuilt, which is why the account manager who worked one deal for nine years and walked away with a million-dollar check earned every penny of it. No voodoo in the math: every salesperson should be able to calculate their payout to the penny and land on the same number the owner has, which is why Stefan avoids complicated or interlinked KPIs like cash flow that nobody can trace back to their own work. Pay quarterly, but not in Q1: an 80 percent achievement threshold before the first payout protects the business and keeps people hungry, with unpaid quarters accumulating forward, while unit-based add-ons for new products or services can pay out right away. Do not punish a plan that is working: adjust for a bigger territory or goals that were set wrong, but if someone is maximizing a well-built plan and injecting real money into the business, take a deep breath and write the check. And skip the discretionary bonus, which feels generous to the owner and underwhelming to the employee. LINKS & RESOURCES Connect with Stefan Boehmer on LinkedIn: https://www.linkedin.com/in/stefanboehmer/ Learn more about Texas Advisory Services: https://www.texas-advisory.com/ Connect with Corey Harlock on LinkedIn: https://www.linkedin.com/in/coreyharlock/ Learn more about KeyHire Solutions: https://www.keyhire.solutions Subscribe on Apple: https://podcasts.apple.com/us/podcast/the-keyhire-small-business-podcast/id1643962763 Subscribe on Spotify: https://open.spotify.com/show/1FT9oqXSek3jMfiKrZPLQs EPISODE CHAPTERS 0:00 – Introduction: why the comp plan makes or breaks your sales hire 5:05 – Stefan’s background and what Texas Advisory Services does 6:50 – SMART goals and why an incentive has to be personal 7:52 – Business development vs account management: two roles, two people 10:17 – Why the length of the sales cycle decides who succeeds 12:08 – No voodoo in the math 13:08 – The KPIs to incentivize on the business development side 15:36 – Behaviors, outcomes, and watching the early warning indicators 18:53 – Capping BD commission, and how high the cap should go 21:06 – Building the account manager plan: order intake, margin, footprint 23:16 – Why account managers get weighted more heavily than BD 24:32 – The nine-year deal and the million-dollar payout 28:06 – When incentives kick in: quarterly payouts and the 80 percent threshold 30:50 – Unit-based incentives for launching new products and services 33:20 – When your salesperson out-earns you, do not scale the plan back 38:48 – Why the discretionary bonus is a trap






