Latest / Closing Sales in Nigeria - Sales For The Nigerian Business Person: The Sales and Marketing Blueprint / How to Hire, Train, and Manage a Successful Sales Team
Transcript
- 0:01Hello and welcome to the show today.
- 0:03I'm not in the audio booth, so apologies for any interruptions
- 0:06coming in through the background.
- 0:08If you'd love to connect for a strategy session, the phone
- 0:10number is 08064662140. The country code is +234.
- 0:17Then you can find me on LinkedIn.
- 0:19The name to look for is Tavishima Aide.
- 0:21I'm the host of the show and then you can also find me on
- 0:25YouTube in case you like to get the podcast over there.
- 0:29So last week on my radio show. But I mean, I called in from Wu
- 0:34and she had some troubles with managing car sales people.
- 0:38Now because the connection was sporty, we couldn't really get
- 0:41into detail about what business she's into.
- 0:45But I was able to hear one of the stories.
- 0:47It turned out to be a sob story show, a very sad story and one
- 0:51of those things that breaks my heart because lots of Nigerian
- 0:55employers can be very cruel or wicked.
- 0:59But then in her own part, she went out of her way to be really
- 1:02kind to her sales people, in fact, paying house rent for one
- 1:05of them. And the lady just upped and
- 1:07left. And so the investments in salary
- 1:10and in house rent just went up in smoke basically.
- 1:15So Madam Mommy and I had some questions about how to manage
- 1:18sales people. And while we're on the air, I
- 1:21was able to tackle some parts of the question.
- 1:25I tried talking again, I think this week, but we didn't finish
- 1:31it anyway. But I'm going to make a podcast
- 1:33recording. Today's episode is about that
- 1:36just so that those of you who are in a similar position, you
- 1:39know, you're having problems with managing your sales people,
- 1:42you know how to go about it. So the way that we tackle this
- 1:46problem for Madam, I mean, I also look at it from a three
- 1:48pronged perspective. So First off, we have to make
- 1:51sure that we hire the right kind of sales people because if we
- 1:54want to make sure that people don't up and abandoned us or you
- 1:57know, don't do a strong team, we have to make sure that we're
- 2:01hiring the right people in the 1st place.
- 2:03The next one to make sure that the incentives are aligned.
- 2:06Incentives just means, you know, what's that sugar?
- 2:09What's that sweetness? What are you trying to do to get
- 2:12them to play along as a part of your organization?
- 2:15So what are the incentives? And then the last part of the
- 2:19discussion that we looked at was on how to train people well, on
- 2:23how to train sales people well because they need continual
- 2:27training. So there is nothing that is 100%
- 2:32correct, foolproof. So it doesn't mean that if you
- 2:35take these three steps that you won't have sales people that
- 2:38will disappoint you or that you have sales people that will
- 2:40never leave you or that you'll have sales people that will
- 2:43never 'cause you headache. There's nothing that is 100%
- 2:47correct. I mean, think about it.
- 2:50I mean, even, you know, even God who is the master of the
- 2:53universe, you know, can't OK, well he has chosen not to compel
- 2:56us to, to do things 100% correct.
- 3:00So The thing is, if God can't achieve 100% success rate when
- 3:06it comes to human beings, then don't expect that you will in
- 3:10your own business achieve 100% success rate.
- 3:13However, if you're mad I'm in a situation you've been having
- 3:16problems with managing sales people, this is the starting
- 3:20point about how you need to look at things #1 higher right?
- 3:23Make sure you have the right people on your team #2
- 3:26incentivize well to make sure that your goals and your visions
- 3:31are aligned so that if you're heading north, they do, they're
- 3:34also heading north. Then also train your people
- 3:37well. Then after that, we're going to
- 3:38have some particular advice around character assessment and
- 3:45then some particular recourse that might be available to Madam
- 3:49Amina in case you're in that kind of situation.
- 3:51You know, all kind of things you can do with the with the courts
- 3:53and then how to get your money back.
- 3:56If you're somebody like Madam Amina, you had some sales
- 3:58people, you're trying to treat them nice.
- 3:59You paid house rent and at the end of the day, Sharda just
- 4:02ghosted you. And then house rent issue is,
- 4:06is, is pending. You're looking for a new sales
- 4:10person. That one is pending to get your
- 4:12millions back that you spent house rent on, you know, down is
- 4:15spending. So let's start off on high right
- 4:17now. To hire the right salesperson.
- 4:19You need to look for somebody that has a growth mindset.
- 4:22You also need to look for people that have listening skills.
- 4:24I also need to look at people that have talking skills.
- 4:27Most of you go straight to the whole talking skills thing, but
- 4:31let's just break things down 1 by 1 so you understand what is
- 4:35the way, what we are, where we're heading to.
- 4:41So First off, growth mindset. Now what does a growth mindset
- 4:45means and what does it mean? Now in the Nigerian context,
- 4:48every single time you hear growth mindset, it just means a
- 4:50person where they hear word, as in somebody who listens to
- 4:53instruction, somebody who believes that things can be done
- 4:56and somebody who has an air of humility.
- 4:59Again, growth mindset just means person where they hear word,
- 5:03somebody who believes it can be done, person who has an air of
- 5:05humility, somebody who is willing to learn because if you
- 5:10mess up and you marry somebody that, so I say marry, hire
- 5:13somebody that has a fixed mindset because a fixed mindset
- 5:15is the person who believes that look, nothing is ever their
- 5:18fault. Things never change.
- 5:21The problem is always the customer, the problem is always
- 5:24you, blah, blah, blah. If you go and carry somebody
- 5:27like that and put that person in your business as a salesperson,
- 5:30you've given yourself one chance.
- 5:31That is serious hanging. You know, like you, you do high
- 5:36jump. You just hang yourself in the
- 5:37air like you're in a serious predicament.
- 5:39There's nothing you can do apart from sack that person.
- 5:43Because people who have a fixed mindset, you can't, you can't
- 5:49shake them. That's just how they are.
- 5:52Is that they were born like that or when they were born, you
- 5:54know, their parents, I don't know, maybe their parents mess
- 5:58them up or something, sure, But that's just their factory
- 6:01settings, their default. You can't change it.
- 6:03Well, you can't. You can't change, but it's hard.
- 6:05So that is why I advise clients that it is better to make sure
- 6:09that we hire the right person first, then we now train them on
- 6:13other things. Some people like to look at
- 6:15technical expertise. So if you're hiring, let's say
- 6:18you own a shop that sells paint. Some people want to hire
- 6:22somebody who knows everything about paint.
- 6:25They know the different kinds of emotion, they know the different
- 6:27kinds of this is the different technique, the everything.
- 6:30You want to hire the paint specialist now that's not a bad
- 6:32idea. But The thing is you hire a pain
- 6:35specialist, but the person has a fixed mindset.
- 6:38That guy will mess you up severely, seriously mess you up.
- 6:42Because if the client says, oh, I don't like this, it should be
- 6:45like this. The person with the fixed
- 6:46mindset will say, no, I am the pro, I'm the specialist or the
- 6:51customer chew where you are. I will do this thing my own way.
- 6:55Now, I'm not saying that we should bend to whatever it is
- 6:58that the customers want. But The thing is, if we don't
- 7:00handle these things the right way, customers leave some
- 7:03situations not feeling heard, not feeling validated, not
- 7:06feeling appreciated. And that is what limits their
- 7:10chances of coming back for repeat business because the
- 7:12money is made when people come back and do business with us
- 7:15again or referrals to somebody else.
- 7:17So if you run a paint shop and somebody comes and buys paints
- 7:21and everything, at the end of the day you give them B, you
- 7:24know, the bill is like 900 K and you're like God has done it for
- 7:28me. See, The thing is that 900 K is
- 7:30not really the sweet money. The sweet money is if the client
- 7:33comes and she dropped in 100K now and then she now calls you
- 7:37in four months to say, OK, that my last house I finished
- 7:40building it, but now I'm building another house in
- 7:44Guzabe. So how far can you guys come and
- 7:46paint that thing? Now that is where the sweet
- 7:48money comes in because she dropped 900 K three months ago.
- 7:52She's calling you up. Now.
- 7:53This one is possibly maybe like 1.5 or something.
- 7:57And the reason why it's a sweet money is because the first time
- 8:01she came in, you had to advertise, you had to hustle,
- 8:05you had to all kinds of things to get people into the store.
- 8:07But then the 2nd and the 3rd and the 4th and the 5th time that
- 8:10the woman comes into the store, that is easy money.
- 8:13That is money that you are not chasing.
- 8:15It is money that you woke up and you were thinking, Kai, what we
- 8:17do today and then all of a sudden this person shows up and
- 8:20then the deal is easier to close.
- 8:22Because if everything was sweet the way that she worked the last
- 8:25time and she trusts you guys and you guys had a good
- 8:27relationship, it makes it easier to close the sale now.
- 8:30And then if she starts referring people to you, they think it
- 8:33becomes even more sweeter. So when we're in sales, what
- 8:36we're looking at is customer lifetime value or look at repeat
- 8:40business, repeat purchases. We're looking at referrals.
- 8:44That's where the sweet, sweet, sweet, sweet money is.
- 8:46So it's not just that somebody will come and drop 900K or not
- 8:49today, bam, that means things are good.
- 8:51We're trying to see how somebody will drop 900K in January, maybe
- 8:55they can drop 1.5 in September, maybe next year they can drop
- 8:59maybe 400,000. But in between they have been
- 9:03sending more people to us that have been, you know, giving us,
- 9:07you know, 150 K 1.2, you know, 300, you know, all those kind of
- 9:12things. That's where the sweet money
- 9:13comes from. So if you have somebody who is
- 9:16the expert, but the person has a fixed mindset, they get a
- 9:19totally out of your business. So in my own opinion, I tell
- 9:22people that look, when it comes to medicine and all these other
- 9:25technical stuff, hire the right person.
- 9:28So if you run a hospital, please hire the doctor that graduated
- 9:32first class. But when it comes to sales, on
- 9:36the other hand, hire the person who has a growth mindset.
- 9:40Hire the person, you know, person where they hear would
- 9:42hire that person first. You can hire that person and
- 9:45then now start training the person.
- 9:47OK, look for paint. This is emotion, this is gloss,
- 9:51this is a vostic. This is this, this is that.
- 9:55This is the best for this. This is the best for that, for
- 9:58this kind of wall up stroke, for this kind of wall side stroke,
- 10:01for this kind of wall down stroke, for this kind of wall
- 10:05use roller. For this kind of wall, use
- 10:07cement blaster. You know, you're now trained a
- 10:09person on technical stuff. That is the kind of person who
- 10:12is amenable to working really well in your business.
- 10:16So Please remember this is contextual.
- 10:18If you're hiring for a professional, if you're hiring
- 10:20an engineer or an architect or a lawyer or a doctor, hire the
- 10:24person who finished first class who knows their stuff.
- 10:27Because if you hire the engineer who graduated Tutu and then they
- 10:31finished the building or the architect finished two, two or
- 10:34third class or pass and they finished the building and the
- 10:37building collapses is going to be on your head.
- 10:40Police will be after you, Governor will be after you.
- 10:42It's on your head. So when it comes to these
- 10:45technical professions, law, medicine, what else?
- 10:50If you're looking for a pilot, please go and hire the best
- 10:52pilot possible law, whether they have growth mindset or fixed
- 10:55mindset, make sure you hide the best pilot.
- 10:57Because if you go and hide a pilot that graduated with pass
- 11:01or you know, let my people go degree and the plane crashes,
- 11:06it's all on you, right? But when it comes to sales, look
- 11:10for the person that has a growth mindset first.
- 11:14They're now trained the person upon the other things.
- 11:16So for Madam Amina and other people in that situation, we
- 11:19should be looking for people who have a growth mindset.
- 11:22Another thing is that people who have growth mindset, like, you
- 11:25know, I'm with, you know, let's grow, let's do this thing.
- 11:29Those people also have more. What's the word?
- 11:31I don't know what the word is of like stickiness.
- 11:34They hang around, they give it a shot.
- 11:36Like almost I started it. Let me just let me finish it.
- 11:42Let me just let me just see more people fix mindset.
- 11:46They can't start something like I man, this thing is this thing
- 11:51is long story. And then next thing they start
- 11:52to do U-turn and they start doing reverse on you and then
- 11:56you're left in the lurch. But somebody with a growth
- 11:58mindset will say, I don't you care.
- 12:00Let me just follow through. So that's why I look for people
- 12:03who have growth mindset. Then of course you need to
- 12:07listen to hire people who have listening skills.
- 12:09Listening skills are important because well, first of all, you
- 12:11want them to listen to you because you're the old guy.
- 12:13You're the one who knows the best way to sell your product or
- 12:15your service. In theory, you know you've been
- 12:17selling whatever it is you're selling for, you know, 10/15/20
- 12:20years. So you know what's up.
- 12:22You know who the customers, who the best customers are.
- 12:24You know the best lines to use. You know the best ways to choose
- 12:28people to buy the product or the service.
- 12:31So they should be listening to you.
- 12:32Listening skills also come in handy because you also need to
- 12:35listen to the customer and figure out what the customer
- 12:38values, what the customer thinks is important.
- 12:41It is only when you listen to the customer, you know what the
- 12:43customer values, that you can now make a a convincing sales
- 12:48pitch. So you want sales people who
- 12:51listen back to the painting. Some people might roll up on
- 12:56somebody and start saying Madam, buy this paint.
- 12:59This paint is the best because it is emotion.
- 13:01It is ISO 15 something, something certified and it is
- 13:06sustainable, is built with these, you know, sustainable
- 13:12what's what's this thing called? Sustainable business practices
- 13:15something, something, something, you know, all those things.
- 13:17And technically speaking, what you're saying might be correct.
- 13:20It might be the most modern paint on the market that is done
- 13:24with sustainable business practices.
- 13:26So it has no adverse effect on the environment.
- 13:29And it is this and this and all that and all that.
- 13:31But The thing is the Madam who is in the paint shop now, who
- 13:33wants to buy paint, if she doesn't care about sustainable
- 13:36business, then what are you talking about sustainable, sorry
- 13:38sustainable business products and what are you talking about
- 13:40sustainability for? If as far as she is concerned
- 13:44environmental global warming is scam and you keep on saying this
- 13:48thing, you actually will be irritating her.
- 13:51So that's why you need to listen to the person, figure out what
- 13:54they find valuable. You will now know how it is that
- 13:56you're going to sell because if Madam is like most Abuja mothers
- 14:01and she is tired of seeing mode inside the building because
- 14:05well, for me, I've just gotten used to the fact that look,
- 14:08anywhere you go, share Adobe mode.
- 14:10It's just Abuja builders are useless.
- 14:13Oh, by the way, I just finished moving house recently.
- 14:15So we're done. We're finally settled in.
- 14:18But of course, as we're coming in, we had to was that thing
- 14:22scrape the we had to scrape off mold from the wall and do
- 14:27treatment and everything. So that's just how Abuja
- 14:30builders are. Abuja builders are useless.
- 14:32They're stupid. I don't understand it, Abuja is
- 14:35in a dry location but every single house in Abuja has mold
- 14:38in it. How in a dry climate?
- 14:41On the other hand, Lagos is next to the sea and it's moist and
- 14:45everything. But in Lagos, I have lived in a
- 14:48house in Lagos back when I was in Mumsy, we lived in one house
- 14:51for 10 years. We did not see a single spot of
- 14:53mold. So I don't get it in Lagos that
- 14:56is wet and moist, people can build and there will be no mold.
- 15:00But for some reason Abuja developers very useless, very
- 15:04stupid. Every single house has mold in a
- 15:07dry climate. I don't understand.
- 15:09In the UK it rains every single day but you will live in your
- 15:12house in the UK you will not see a single spot of mold.
- 15:16I only heard of one of my guys that had more treatment in the
- 15:18bathroom so I mold in the bathroom and they had to call
- 15:21the landlord to treat it. So I don't understand.
- 15:23UK is wet no mold, Lagos is wet no mold.
- 15:26Abuja is dry mold everywhere. I don't know Abuja different
- 15:30anyway where was I? So what I'm trying to say is now
- 15:34so that Madame dies in is in the shop if I own his outlook.
- 15:37I'm tired of seeing mold in my house.
- 15:39I have three young babies under the age of seven.
- 15:43I don't want it. Our own mold, you know I don't
- 15:45want them allergies, blah, blah, blah.
- 15:47If you listen to it, Madam, you now know that.
- 15:49OK, this Madam, I entered into the shop the categories of paint
- 15:53we should be showing her. Let us leave all this
- 15:55sustainable ISO certified international.
- 15:59This is. Let's leave all that one.
- 16:00Let us only show her these ones. This one that is mold treatment.
- 16:05This one that is mold prevention.
- 16:07This one that is non harsh smell, non allergy, non nothing,
- 16:12and these are the things that make you effective in selling.
- 16:15So if you hire somebody who listens to the customer, that is
- 16:19how we determine, OK, which one are we going to present?
- 16:22Which paint will we show? What are we going to talk about?
- 16:25How are we going to toaster? How are we going to get her to
- 16:27buy? So that's why listening skills
- 16:28are important. Then of course, talking skills.
- 16:31Talking skills is just when you know, being able to communicate
- 16:33value to say that, Madam, this is what you should buy.
- 16:36So these are the things you'll be looking out for when you're
- 16:38trying to hire a salesperson. But please make sure you hire a
- 16:41salesperson that has a growth mindset because with a growth
- 16:44mindset, they will listen to you.
- 16:47They will take dressing, they will listen to the customer.
- 16:50They will also hang around for longer because people who have
- 16:53growth mindset, when they start something, they must finish it
- 16:56or at least they must push it to a logical conclusion.
- 16:58Somebody who has a growth mindset is going to say, look,
- 17:01when I started with this company, I said I was going to
- 17:04achieve this. I was going to achieve this, I
- 17:05was going to achieve that. They will do their best.
- 17:08If they have problems, will come and meet you and say, OK, line
- 17:10manager, I beg, you know, I don't hook.
- 17:13Yes, we agreed on this. But to be honest, this is where
- 17:16I'm struggling. And you guys will have that
- 17:18conversation. Somebody who has a fixed mindset
- 17:21will say, like, I beg, I don't tire.
- 17:23I can't go and kill myself. And then one day they'll just
- 17:26will show up to work. You will now be calling them,
- 17:29you know, phone number switched off and blah, blah, blah.
- 17:33And for some reason it's becoming like a problem even
- 17:36Niger to and look, if you're listening to this podcast, it's
- 17:41dishonest. Stop it.
- 17:44If somebody has you to work for them, this whole thing of like,
- 17:49you know, you just don't show up again, like it's absolute
- 17:51rubbish. I don't get it.
- 17:52There's one person I was consulting for that one of his
- 17:55staff. One day she didn't show up to
- 17:56work and you know, where is she? Where is she?
- 17:59Where is she picked up course, she said that she's stressed
- 18:02that she's taking a mental health day.
- 18:04Taking a mental health what? See, mental health is important.
- 18:08But The thing is when you decide to work for someone, you have
- 18:12contractually committed yourself to working for a certain number
- 18:16of days. So show up when you said you're
- 18:20going to show up. If you can't show up, you tell
- 18:22the employer ahead of time that boss, Madam, blah blah blah, I
- 18:27won't be able to come on Friday because XYI mean things happen.
- 18:31I can't come on Friday because my house flooded, God forbid, or
- 18:36Popsy died or you know, this or this or that or that or, OK,
- 18:41they snatched my back so I don't have TFA or something.
- 18:44But call ahead of time. You don't just take mental
- 18:46health days or you don't just resign without telling anybody.
- 18:49It's absolute madness, absolute madness.
- 18:52OK, so next. OK, it's advising people.
- 18:57No, Madam. I mean, she did something that
- 18:58was really, really nice because she gave them salary.
- 19:02And once in a while she was also sorry.
- 19:04One moment. Sorry about that.
- 19:07I record these things on my phone and the notification came
- 19:10in. I just wanted to be sure what's
- 19:11up because, you know, now this is how I make a living.
- 19:14So if I'm making a podcast and somebody calls because I want to
- 19:16give me money, you better believe I'm going to pause,
- 19:19pause the recording, you know, deal with them first, collect
- 19:22deposit, and then I'll get back to you guys.
- 19:25Where was I? So what I mean, but I mean, I
- 19:28did was she used to give them extra money, you know, stuff
- 19:31like that. So we know, bless our heart, my
- 19:33mom and I was trying to do the right thing.
- 19:36But when you hire people, this is the best way to look at it.
- 19:40Don't give people a wage, a salary that is unrealistic.
- 19:44And then every two, two weeks, you're now adding something.
- 19:46Or I take 500 or I take recharge card, take this, take that.
- 19:51When you're dealing with sales people, just give them a living
- 19:53wage straight from the beginning so that there's no excuse.
- 19:59What is a living wage? It depends.
- 20:01A living wage in Abuja is different from living wage in
- 20:04Kano. Because I remember when I was
- 20:06serving in Kano, the guy whose house I was squatting in, I said
- 20:09I wanted to contribute to the house rent because the guy had a
- 20:115 bedroom, house was 5 bedrooms. So I said look, this nice house,
- 20:17everything ought to contribute. The guy said look, there's no
- 20:19need. I said Sir, please on the
- 20:21country we said, look, I don't understand, you're coming from
- 20:22Lagos and you know that it was in Lagos we pay millions,
- 20:251,000,000 millions for this kind of house.
- 20:27But here there's no deed. I paid for three years.
- 20:30I said, OK Sir, I'm just curious, how much was it?
- 20:32He said this five bedroom house I've been, how much do you think
- 20:35it is? So back then serving, I just
- 20:38tried to use like Lagos. I, I said, OK, I think it should
- 20:41be like 1.5, maybe 1.8, you know, he laughed.
- 20:44He said no, that this, this place, what I paid was 150,000
- 20:48for a year. I said yeah, they say yeah but
- 20:50150,000. But Kano is an easy place to
- 20:53live in. Now this was 2008, one hour
- 20:55serving of 2007, 2008. So please don't go to Kano.
- 20:59I'll be looking for a House of 150K.
- 21:01Now what I'm telling you was a long time ago.
- 21:04I'm just saying that coming from Lagos, I expected the house rent
- 21:07to be like 1.51.82 M as per his five bedroom in in the centre of
- 21:13town. But what he paid was 150 K.
- 21:16So cost of living back then in Kano was easier than cost of
- 21:21living in Lagos or Abuja. So living wage depends where are
- 21:25you, what is the industry? Then there's also legislation on
- 21:31living wage, minimum wage. So if you take all these factors
- 21:34into the account, what does the government, what does the law
- 21:36say that minimum wage is supposed to be?
- 21:39Which city do we live in? What is realistic?
- 21:41You know, stuff like that. They might now round it up.
- 21:44Use your church mind, use human kindness, you know, just round
- 21:47it up, you know, milk of human kindness, round it up, make sure
- 21:50it's a living wage. But this whole thing of you have
- 21:53sales people and then today you say I take recharge card,
- 21:56tomorrow you say take, go and buy bread.
- 21:58Next tomorrow you say go and take, go and buy a car.
- 22:00After that you say, we'll take this your transport.
- 22:02And so none of that, just give them living wage.
- 22:05Bam, one time. Dealing with sales people is not
- 22:09the same thing as dealing with an accountant or dealing with a
- 22:11lawyer or dealing with a medical doctor is not the same.
- 22:15Our mind frame is different, Our world view is different,
- 22:19personalities are different. So when you're dealing with
- 22:21sales people, stop it. Stop all this extra, extra,
- 22:23extra, extra, extra. Stop all this handout.
- 22:26Just give them living wage one time, manage them.
- 22:29Now you go do your job. Although traditionally this is
- 22:34what is done. You give them a base fee, which
- 22:37is not much, then, you know, compensate them whenever they do
- 22:43something that has a big upside. In other words, traditionally
- 22:48you might say, OK, architect, your staff.
- 22:51Let's say you run an architectural firm.
- 22:54OK. No.
- 22:54How will I put it? Yeah, let's say you run the
- 22:56architect. No, let's go back to the
- 22:57painting. So you have an accountant on
- 22:59staff because you sell paint. So traditionally, maybe your
- 23:04accountant, you pay your accountant 250K every month
- 23:07fixed. Because of that, you think you
- 23:09can pay your sales staff 250K every month fixed.
- 23:13Well, there are some play. There's some parts of the world
- 23:16in West, in the West, North America particularly where
- 23:20people are trying out that experiment.
- 23:22So I'm watching to see how it goes and I'll let you guys know.
- 23:26But traditionally what you do is the sales person will now have a
- 23:31low base. The base is just shall let them
- 23:35have credit, let them have TP, you know, let them have
- 23:38something to eat. But then the big money is going
- 23:41to come when they close the deal.
- 23:43So accountant, you can be paying the accountant 350K every month,
- 23:46but the sales people, you can say, look, we're giving you a
- 23:49base of 150 K every month. Every single time you close a
- 23:52deal, you're getting 10% on that deal.
- 23:54So that's what motivates sales people.
- 23:56So the salesperson is collecting 150K every month at the end of
- 24:02the year. That means the base is as one
- 24:04point something happy. And I'm not good at math.
- 24:06So that's one point something as a base.
- 24:08But every single time you close the deal, that's 10%.
- 24:11So the salesperson can go out and find business or maybe like
- 24:142 M and they give him 10% of that.
- 24:17Two M is 10% of 2 million should be what?
- 24:21What is that like 200,000 or something?
- 24:23When do you get my point? So there's the base, but then if
- 24:29they work very hard, they make plenty of money.
- 24:31If they don't work very hard, they don't make much money.
- 24:33So traditionally that's how sales people are compensated.
- 24:36But either way, it is not a good idea to be dashing sales people
- 24:42money and to be giving them things on a It's not a good idea
- 24:49to be giving sales people money that is not a reward or things
- 24:53that they have not earned. Yes.
- 24:56So if you want to see other accountants, well, don't know,
- 24:59take this one go and buy small shops.
- 25:02You know that's different. But for your sales team, if
- 25:06you're dropping stuff, you should be tied to output, you
- 25:10should be tied to merit, you should be tied to reward.
- 25:14Yes, you want to be kind, but I'm just letting you know that
- 25:16your accountant is not the same as your as your sales person.
- 25:24So this whole thing of sales people taking their owners for
- 25:27granted when you try to be kind, these are some of the ways where
- 25:30we start seeing trouble. So if you're going to give them
- 25:33a salary, just make sure that it is a living wage one time, bam.
- 25:38And then there's no take this, top up this, this, this, not
- 25:41that. Give them a living wage and
- 25:43manage them or do the traditional thing, which is give
- 25:46them a low base and then give them high upside that will
- 25:50motivate them to sell more like an insurance because I tried
- 25:54selling insurance for a bit. In insurance, depending on the
- 25:56firm you work for, you find that the base is rubbish.
- 25:59Maybe it's like 50 KA month or 100 KA month or something like
- 26:02that, but it's not much. Very low base.
- 26:05But then the commissions are very, very sweet.
- 26:09So there's some people who don't even know what the base is
- 26:15because for them, Commission, Commission, Commission, that is
- 26:18what they're chasing. So there's some industries like
- 26:20that, that some people don't even know their base because the
- 26:23Commission is what they're after.
- 26:25So there's some people who live that way that maybe in January
- 26:29commissions can bring in 500 K, maybe in February, 200 K in
- 26:33March, maybe one point something, you know, yes, it's
- 26:36up and down and up and down, but that's what motivate them,
- 26:39motivates them. Now this is the difference.
- 26:42An accountant will never work that way.
- 26:43An accountant will say, look, give me my money, 350K flat
- 26:50January, February, March, April, May all the way to December.
- 26:54A salesperson is OK with making 2 million in January, excuse me,
- 27:00two M in January, then maybe 200K in February and maybe
- 27:06nothing in March, but then maybe in June 700 K and maybe in July
- 27:12another one M. So for sales people, they're OK
- 27:15up, down, up, down, up, down, up, down, no problem.
- 27:18Feast and farming sales people used to it.
- 27:21Other people, they just want their money.
- 27:24So a doctor, you can't pay a doctor on Commission.
- 27:26A doctor will say look I don't care how many clients I see pay
- 27:30me my salary. So in January if I saw 400
- 27:33clients, I don't care pay me my 500K.
- 27:37If in February I only saw two clients, I don't care pay me my
- 27:41500K. I'm not in control of who comes
- 27:43into this hospital or not. My own shy is my salary is 500 K
- 27:47every month. So for sales people, that's how
- 27:51it works. Either give them a living wage
- 27:54one time and stop all of these dashing, dashing, dashing, or
- 27:57let it be a low base and plenty of upside.
- 28:00But either way, you can dash all the employees stuff, but sales
- 28:06people don't be dashing them things that they haven't earned.
- 28:09So let me skip this whole part about training.
- 28:13Well, because we're almost at 30 minutes and let me, so I, let me
- 28:16look at my notes and go to a specific advice that I had for
- 28:21Madam Amina, people who have been in that situation.
- 28:24So unfortunately, Madam Amina, when she wanted to pay the house
- 28:27rent of this girl, one of her team members has said, Madam,
- 28:30you know, free this team, blah, blah, blah.
- 28:32But I mean, I decided to do the nice thing.
- 28:34And it is my prayer that God will continue to bless and
- 28:37continue to reward Nigerian employees like Madam Amina, who
- 28:41have their interests, the interests of their employee at
- 28:44heart and who go out of their way to make sure that people are
- 28:47settled. You know personally that they're
- 28:49settled, family issues are settled, all kinds of things are
- 28:52settled. So May God bless Madam Amina for
- 28:53that. But Madam Amina and other people
- 28:56who are like her, please pay attention to your team when it
- 28:59comes to character assessment, especially if you consider
- 29:02yourself to be a nice person. Now, my mom likes to say that we
- 29:05are born in twos. She says that because I'm one
- 29:09way and my brother is another way.
- 29:10And my mom says that the reason why God made us like that is it
- 29:12evens things out. It balances things out.
- 29:14And it makes sense cause I've noticed that in family matters
- 29:19or in business, there's some things that I will catch.
- 29:20And my brother, my brother, I will not click.
- 29:23And I think that, you know, for, for him, some things, you know,
- 29:26it will click. But for me, I will now go and
- 29:28rock it. So there's a tension that kind
- 29:31of evens itself out. The same thing in marriage.
- 29:34There are some things that my wife will not see that me I will
- 29:37see and I stop her from running into trouble.
- 29:39And then there's some things that my wife will see and I will
- 29:41say, I beg you over acting. And then when I go and hang in
- 29:45front, she will now keep quiet. Should not be looking at me with
- 29:47side eye. And I say yeah, I know, I know
- 29:50you want me. I know.
- 29:51I'm sorry. I'm sorry.
- 29:52I'm sorry. You said no, I'm not saying
- 29:53anything. No, I'm not saying anything.
- 29:55I'm not saying anything. No.
- 29:56What are you telling me sorry for?
- 29:57I know it was your choice now that you made your choice.
- 30:00So what are you telling me sorry for?
- 30:02So anyway, that's how my wife is.
- 30:03She can be petty sometimes. So it's the same thing.
- 30:07If you think you're a nice person like Madam Amina, please
- 30:11pay attention to the people on your team who are Bulldogs.
- 30:14If you're saying you want to help this person, you want to
- 30:15help this person, and then the Bulldogs on your team are saying
- 30:18no, not this person. Even if they can't give you a
- 30:22convincing answer, there's something that they're seeing.
- 30:25So for me, I find it really interesting that there's
- 30:28somebody on her team who's not as nice as she.
- 30:30And when she wanted to help out two of the sales people, the
- 30:33person said Madam, not these two.
- 30:36Pay attention to people like that.
- 30:37So trust members of your team when it comes to character
- 30:39assessment, especially if you think you're one of those people
- 30:41who is very nice. If you have Bulldogs on your
- 30:44team, if you have devils on your team, pay attention to the
- 30:47Devils. You know, you you're an Angel.
- 30:48There's some things you're not seeing the devils, they're
- 30:51saying some things. So if you want to help somebody
- 30:53like this, you want to do this thing and then two or three of
- 30:56the devils on your team say, ah, Madam, no, no, no, no, no.
- 30:58Is it in case anybody else but knowing itchy, just trust them.
- 31:02There's something that's seen about in kitchen that you you're
- 31:04not seeing. All right.
- 31:05So Madam, I mean, in my own opinion, especially since
- 31:08experience has showed twice that this guy's assessment was
- 31:15correct, in the future, when this guy says something about a
- 31:20sales person's character just just taking on board, he'll be
- 31:25100% all the time, correct all the time.
- 31:27But just taking on board then for if you're in, Madam, I'm in
- 31:32a situation now what, to be honest.
- 31:35OK, let's just go through this now.
- 31:36What's the recourse #1 lawyer. But to be honest, the whole
- 31:41thing about lawyer is cost. You have to pay the lawyer.
- 31:45Even if the lawyer is your friend, at least you have to
- 31:48mobilize the guy. Like, OK, look, this thing
- 31:50you're going to go to court is going to be, you want to spend a
- 31:53lot of time before the matter is called and everything.
- 31:55So if nothing else, you mobilize the guy with something.
- 31:58Let not be as if he's totally wasting his time.
- 32:01Yeah, he wants to help you. But sure, you have to mobilize
- 32:03the lawyer. So this cost then there is time
- 32:08because lots of other people are also trying to get things done
- 32:12in the court system. So your matter is going to be
- 32:14added to a queue and you know it's first come first serve.
- 32:18So you go down, you sit down, your matter might be called at
- 32:219:00 in the morning, your matter might also be called at 5:30 in
- 32:24the evening. You have no idea.
- 32:26You have no control shy. The thing is if the court opens
- 32:30830, you have to be there at 8:30 because first come first
- 32:32serve, the call your matter, you're not there.
- 32:34You know they skip you. So you have to be there 8:30, if
- 32:38you're lucky, you might be there until 5:30 in the evening
- 32:40because you're trying to get that listing closed.
- 32:43Then also, when it comes to timing, the courts like to be
- 32:46very fair. So they would like to listen to
- 32:48everybody. So if Madam Amina goes to court
- 32:50and files proceedings because she's trying to recover house
- 32:53rent and stuff from this lady, the court will give Madam Amina
- 32:58and her team leave to serve the other party.
- 33:00Leave to serve the other party just means you have to tell
- 33:02these other people that Luco, I'm taking you to court.
- 33:05Come and answer the query. Now back when I was in school,
- 33:08I'm not sure what the rules are. I think it was three weeks that
- 33:10you had to serve the other party.
- 33:11So in other words, what that means is if I go to court
- 33:13January 1st and I'm taking you listening to the podcast right
- 33:18now, I'm taking you, dear listener, I'm taking you to
- 33:20court. The court will give me until I
- 33:25say 3 weeks, January 1st, 3 * 721.
- 33:29So the court will give me till January 21, give you to January
- 33:3521 to show face. So in other words, I'll take the
- 33:38paper and I won't drop it with you when I'll be waiting for you
- 33:41until January 21st to see if you show.
- 33:44If you do not show on January 21st, we now have to apply to
- 33:47the court for substituted service.
- 33:49So substituted service just means, I mean, trying to hold
- 33:52this guy sharp, but I can't find this guy.
- 33:55So let's let's notify him some other place, let's go and catch
- 33:59him somewhere else or something. That's what not substituted
- 34:02service and other these other kinds of service.
- 34:04That's just what it means. So in other words, I can go to
- 34:08court January 1st, but then all of January and February, we
- 34:12still have not forced you. We still have not compelled you
- 34:14to come to court. So you see how time starts
- 34:17wasting. You can start the thing January,
- 34:21but maybe you don't even show up in court until April or March.
- 34:25And the fact that you guys showed up in court in March does
- 34:28not mean that this matter will be decided this year in 2025 S
- 34:32when it comes to legal actions, you know, sometimes this is
- 34:35where I tell people that, look, it's costly this time involved.
- 34:39What's the possibility of you winning?
- 34:40You know, these are the things. So like I told you guys on the
- 34:45podcast, when moms you work with quadrant.
- 34:49So it was no quadrant. Yeah, I think it was a quadrant.
- 34:52And what they were being old was 7:00 AM.
- 34:54By the time they spoke to lawyers, they saw that legal
- 34:56fees and law was like 3.5. And that doesn't mean you're
- 34:59going to win. And that doesn't mean you
- 35:01collected this year. Also, just about the I beg
- 35:04doesn't make sense. The biggie is 7 M.
- 35:07We're trying to use 3.5 to go and chase 7 M like doesn't make
- 35:11sense. And then they met a factor.
- 35:14Factors are people who buy your liabilities.
- 35:16If you have basic, the fact that this person will say, OK, no
- 35:19problem. How much is this basic worth?
- 35:21OK, it's worth this amount. I will buy this basic from you
- 35:25give you the money. Anything I make on top is my
- 35:27own. So like in this case, what the
- 35:29factor took for that 7 million, I think the factor give them I
- 35:33think 4 point something. So OK, this is the problem Abby.
- 35:36No problem. Give me all the paperwork.
- 35:39I will chase it myself. You take this 4.5 in cash that
- 35:42is your own. If I'm able to chase this thing
- 35:44and I'm able to recover the seven M in full, then seven M -.
- 35:504.52 point 5. That 2.5 is his own profit.
- 35:56For those of you who are hearing this for the first time, you
- 35:59believe me the way you're confused, That is how I was
- 36:01confused to the way I was hearing it.
- 36:03I was like, so there are people who, that is their business.
- 36:06They go and look around for who is in basic.
- 36:08Then they buy the basic from you, give you discounts and then
- 36:12try and make the money on top. I, I just, I don't know, I was
- 36:16confused. But anyway, it's a thing.
- 36:19Discounts, factors, that's what they're called Factors are in
- 36:23Nigeria, factors are in America, factors are in the UK, they're
- 36:25all over the world. So there are people who make
- 36:27their living that way, but you will never catch me doing that
- 36:30kind of business. No way, no way, no way.
- 36:32I like my piece too much. So that's how they settled it.
- 36:36They made a factor instead, who gave them 4.5 clean and went
- 36:40with it. So if the guy was able to
- 36:42recover the 7 million, then it was a good deal.
- 36:45That means he made 2.5 on top the whole thing.
- 36:47So yeah, that's my advice. When it comes to lawyers, it's
- 36:50only a matter of cost. How much are you going to spend?
- 36:54How much time do you have? What's the probability of
- 36:56winning these things? So it depends.
- 36:57But Madam Mamina, yeah, that's an option that's available.
- 37:00Go and get a lawyer and go after this babe.
- 37:03So at least, if nothing else, the money that you spend in
- 37:06house rent, at least you collect that one.
- 37:08Then I prefer soft touch. Since you settled this babe's
- 37:14house rent, my guess is that Madam Mamina was in touch with
- 37:18the landlord. So you can call the lawyer.
- 37:22You know, human touch, soft touch, you can achieve a lot.
- 37:25Hey, Olga. So I said Lord, the landlords.
- 37:27Olga landlord. How now this is me person that
- 37:30paid the rent for in kitchen. Yeah, two months ago.
- 37:33So Madam. Oh yes, yes, yes.
- 37:35Nice to meet you. Hope there's no problem.
- 37:37So Yeah, So there's a problem. Have you noticed that in Katie's
- 37:39no longer in that house? In Katie's not there.
- 37:41Yeah. So in case she has left Abuja,
- 37:43she said that her mother told her to come back to the village,
- 37:46say OK, no wonder. No wonder I've not been seeing
- 37:49the lights on at the property. Maybe we even go to the
- 37:51property. You check, you now see that
- 37:53property is vacant and then you reason with the landlord that
- 37:56look on the landlord, you know, teachers done me strong thing.
- 37:59So this money that I paid for higher rent, you know, I beg, I
- 38:03want the money back. No human touch.
- 38:06You know, this way that you can reason some of these things,
- 38:09there's some things you can work out.
- 38:11The landlord might say, ah, Madam, that's 2 million you gave
- 38:15me. I have spent you 2.
- 38:16Then you guys can now enter into a discussion.
- 38:18OK, You know what? Since this house is vacant, it
- 38:20means you can still rent it out again.
- 38:22You rented it out at 2,000,000. If you rent it out at 2 million
- 38:25again, then you can give me my money back like that or you can
- 38:28give me partial refund like that.
- 38:30You know, So I'm not saying that there are soft touches, soft
- 38:33touch ways that you can worry about getting your money.
- 38:35By the way, I'm not giving legal advice here.
- 38:37So if you're in this sort of situation, you know, speak to
- 38:39your lawyer. But I'm just trying to let you
- 38:41know that legal recourse now, one day you can go to the court.
- 38:46Soft touch, that one is also there.
- 38:49If you're in this situation, you can see how you can partially
- 38:52recover, partially recover something.
- 38:55Even if you want to talk to the landlord and you get half the
- 38:57money back, the landlord says, OK, you know what, let's see if
- 39:01I can write this thing again. He rents it out.
- 39:03He gives you one M. It's better than nothing.
- 39:05It's better than losing 2,000,000 outright.
- 39:08Then also I did some research. If harmonize a Muslim, they are.
- 39:12If both parties are Muslims, there's a Center for Alternative
- 39:15Dispute Resolution run by the Sharia Court of Appeal that is
- 39:20also another Ave. that is available there.
- 39:22Alternative dispute resolution just means this quarrel that we
- 39:25have. Let us solve it, but let's not
- 39:27enter court. That's just what alternative
- 39:29dispute resolution mean by the weekly.
- 39:31Those of you who are lawyers, I'm sure some of you will be
- 39:32angry saying that look, my definitions are being too
- 39:35simple. Yes, my definitions are being
- 39:37too simple, but I'm just trying to explain things in a way that
- 39:39ordinary non lawyer people will understand because alternative
- 39:44dispute resolution eventually, at some point you have to get to
- 39:47the court to enforce the matter. But it's it's it's a much
- 39:52quicker process of trying to solve quarrel.
- 39:55So lawyers, please don't be angry or let me just educate my
- 39:58people right now who are non lawyers.
- 40:01Alternative dispute resolution does means this quarrel between
- 40:03us. Let us solve this quarrel, but
- 40:05let us not enter court. So Madam Amina, if you are
- 40:09Muslim, I was doing both of you have to be Muslims to go to the.
- 40:16Set up for alternative dispute resolution that's under the
- 40:18Sharia Court of Appeal, abuse the Sharia Court of Appeal.
- 40:21I can't remember, sorry, forgive me, but Sharp Google, if you're
- 40:26in that situation, then there's also the National Industrial
- 40:29Court of Nigeria. They have offices in Abuja and
- 40:31Lagos. They have an ADR center,
- 40:34alternative dispute resolution center.
- 40:36Remember, ADR just means this quarrel that we have, let us
- 40:40solve it without going to court. So the National Industrial
- 40:45Court, they have a center where you people will just step aside
- 40:48and go and solve this thing. It handles disputes between
- 40:51employees and employers. So Madam Amina and staff, you
- 40:54guys can go and query your stuff.
- 40:55You can go and talk about health and safety and welfare and all
- 40:59these sorts of things. Now, the only thing I didn't do
- 41:02in this research is I didn't research whether it's available
- 41:04to big businesses or because there's some things that work
- 41:09best for, you know, big, big businesses, maybe like Zenith
- 41:12Bank kind of business, you know, millions and millions of
- 41:15employees and they don't quite work for small situations where,
- 41:18you know, you're selling paint in your shop is you and you have
- 41:2210 sales people. So I didn't do that.
- 41:24But I just wanted to say that beyond this whole thing of
- 41:30sorry, let me check my notes. Hiring, right, incentivizing
- 41:32people and training people. If you have already entered,
- 41:36you're now stuck with this troublesome sales person, there
- 41:39are things that you can do. You can go meet your lawyer.
- 41:42There are ways you can do soft torch outside of court.
- 41:45And then there's alternative dispute resolution where you try
- 41:48and settle the matter with trained legal professionals.
- 41:51But you guys are not doing it in court.
- 41:53That is what makes ADR run a whole lot smoother because the
- 41:57person who is trying to settle the matter is a lawyer.
- 42:00So you know, the, the person, the arbitrator or the mediator,
- 42:05the person is able to think quickly that OK, legally this
- 42:08was involved, financially, this is what is involved, you know,
- 42:10this and this and that and you'll be able to solve things a
- 42:13whole lot smoother. So that's all for today's
- 42:17episode. It's close for 5 minutes.
- 42:19Let me just bring that to a close.
- 42:21But sure, bottom line, my prayer goes out to Madam Amina and
- 42:25other people in that situation because currently I'm working
- 42:27with a client who is based in Benin who is also dealing with
- 42:30one of these sorts of issues. You know, the person has said,
- 42:36look, I'm tired. I'm going, they've disappeared.
- 42:38Meanwhile, you pay salary and you know, things like this just
- 42:43hanging in the balance. Now, this is not what I do
- 42:46professionally. What I do is I solve sales
- 42:48problems. I help you to increase the
- 42:50profitability of your, of your team, the effectiveness of your
- 42:53sales team. I help them handle conversations
- 42:56better. But I'm knowledgeable on this,
- 42:59on some stuff. And then of course, I know some
- 43:01other professionals that I can refer you to because it's
- 43:04normally in this business that you're doing something and maybe
- 43:07there's an accounting challenge. I'm not an accountant.
- 43:09I might know one or two other accountants.
- 43:11I said, OK, go and talk to this person.
- 43:12Go and talk to this person. They will help you out.
- 43:14So it's also the same thing. We're also trying to help this
- 43:16guy reason this thing and come to a solution.
- 43:20So my heart goes out to Madam Amina and other nice employers
- 43:23out there because the problem is this.
- 43:26By the time somebody does you strong team one time like Madam
- 43:29Amina does you strongly again two times like Madam Amina.
- 43:33If it happens the third time, you know, happens that people
- 43:36like Madam Amina might now become those employers that
- 43:38everybody hates, you know, like that tight fisted, they don't
- 43:42trust, you know, they're wicked, they're inhumane.
- 43:45You know, sometimes this is how these people are born.
- 43:49And This is why we, we ought to be careful those of us who are
- 43:52employees because sometimes we are creating the very employers
- 43:56that we do not like. There was one lady like that who
- 43:59used to come clean my house. This was a long, long, long,
- 44:04long, long time ago. What we negotiated was, I can't
- 44:09remember what we negotiated anyway, but she used to do
- 44:12anyhow. Anyhow, when she went outside
- 44:14and she went do I meet somebody was going to be paying her 35 KA
- 44:17month. This was a long time ago.
- 44:19I mean, now 35 KA month is not living wage anymore.
- 44:22So this was long before Fioscasity increased, long
- 44:25before this, long before that. You know, in fact, somebody
- 44:29might even say that for a cleaning lady, if she negotiates
- 44:3135 with somebody and negotiates, you know, 35 and she's cleaning
- 44:35for people's houses, that it might not be a bad deal after
- 44:37all. So she now negotiated 35 with
- 44:41somebody, but that person required her to work Monday to
- 44:44Sunday from 7:00 up until 6:00. And if she came in at seven O 5,
- 44:49the person started reducing the money.
- 44:53Meanwhile, me, the amount we negotiated, I can't remember
- 44:56sharp, but I think was maybe like maybe close to like 20.
- 44:59I only wanted her to come once a week.
- 45:02I know once a week I only wanted her to come like around 9-10.
- 45:07And you know, I ordered her to leave the house, you know,
- 45:10before the kids come home by 2-3, you know, but somehow she
- 45:19thought where was I? Anyway, I guess what I'm just
- 45:23trying to say is that employers who end up being very strict,
- 45:27very wicked, very whatever, you know, I guess the one always
- 45:30born that way. So that Madam who said, look,
- 45:32it's 35,000, you must be here from 7:00 to 6:00.
- 45:35It's probably because these sorts of things happen to her.
- 45:37So please, while we're dealing with employers, let's try and be
- 45:40on our best behavior. Let's not try and create any
- 45:42Frankenstein's. And if you're like Madam, I
- 45:44mean, you're trying to do what's right.
- 45:45May God continue to bless you, provide for you, and help your
- 45:49business to grow. But also you try and do one or
- 45:52two things to make sure that you don't get hurt in the business.
- 45:56So hire the right people, incentivize them well, train
- 45:59them well. Pay attention to your team when
- 46:02it comes to character issues. Let's see what else?
- 46:04And then remember, you always have recourse to the legal
- 46:07system. Lawyer, it was a criminal
- 46:09matter. You also have recourse to the
- 46:11police. And then there's a way that we
- 46:13can solve things. I'm out of court.
- 46:15So that's it for today. Thank you very much for your
- 46:17time and attention. If you'd love to connect with me
- 46:19for a strategy session, the business audit or you have some
- 46:22questions you'd like me to answer, the number is
- 46:2408064662140. The country code is +234.
- 46:29For those of you who are not Nigerian, that's my WhatsApp
- 46:32number as well, the name to look for if you want to connect with
- 46:35me on LinkedIn, establish my IED.
- 46:38Thank you very much for your time and attention.
- 46:40I'll catch you guys in the next episode.
- 46:41And remember, if you're don't like Spotify, if you're a
- 46:44YouTube person, just check for me on YouTube.
- 46:47You find the channel there. All 1050 something videos are
- 46:51currently up and available. So thanks for your time and
- 46:54attention. I'll catch you guys in the next
- 46:55episode.