SlideShare a Scribd company logo
Liz Christo
Partner
Stage 2 Capital
Learnings from 1,000+ Comp Plans:
What to Avoid when Scaling from First Sales Hire
to IPO
AJ Bruno
Co-founder & CEO
QuotaPath
@ajb376
1
Say hello to AJ Bruno & Liz Christo
He’s the CEO & Founder of
She’s a Investor &
GTM Advisor
Between them, they have…
2
Executed
100s
of Comp Plans
Hit quota under
10+
of Comp Plans
Supported
1000s
of Comp Plans
QuotaPath:
Scaling 50x in 18 months
- Company Stats:
- Customers: 10 → 500
- Headcount: 15 → 85
- Over 400 Comp Plan Consults
- Launch Compensation Hub
3
5 biggest comp
plan mistakes
while scaling
1. Building the plan in a silo
2. Too much complexity and too
many cooks in the kitchen
3. Failing to test the plan
(especially for extremes)
4. Not aligning plans to company
objectives
5. Illogical plans
(ie: Reps have an OTE of $150k and their
annual quota is $400k )
4
7 Comp Plan Best Practices
1. Collaborate with Sales, Finance, and RevOps
2. Use historical data to design and test new
plans and adjustments or use industry data
3. Focus on behaviors you want to incentivize
4. Define company goals first and then build your
comp plan
5. Standardize your plans
6. Have a communication plan to rollout new
plans or changes
7. Evaluate your plans throughout the year
5
How QuotaPath
adjusted plans
to continue
scaling
1. Right-sized the team based on current
market demand
2. Lowered Quota:OTE ratio to 3x vs current
3.5x
3. Hired 2 BDRs to take MQL/6QA
qualification off of AE’s plates
4. Segmented the team by moving
transactional quotas to monthly instead of
quarterly for AEs
5. Brought on sales enablement
6. Made product release timing and
alignment more visible
7. Revamped messaging and segmentation
around SMB and Midmarket
6
THANK YOU
Let’s talk about compensation.
Visit us at booth #223.

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Learnings from 1,000+ Comp Plans: What to Avoid when Scaling from First Sales Hire to IPO with QuotaPath and Stage 2 Capital

  • 1. Liz Christo Partner Stage 2 Capital Learnings from 1,000+ Comp Plans: What to Avoid when Scaling from First Sales Hire to IPO AJ Bruno Co-founder & CEO QuotaPath @ajb376 1
  • 2. Say hello to AJ Bruno & Liz Christo He’s the CEO & Founder of She’s a Investor & GTM Advisor Between them, they have… 2 Executed 100s of Comp Plans Hit quota under 10+ of Comp Plans Supported 1000s of Comp Plans
  • 3. QuotaPath: Scaling 50x in 18 months - Company Stats: - Customers: 10 → 500 - Headcount: 15 → 85 - Over 400 Comp Plan Consults - Launch Compensation Hub 3
  • 4. 5 biggest comp plan mistakes while scaling 1. Building the plan in a silo 2. Too much complexity and too many cooks in the kitchen 3. Failing to test the plan (especially for extremes) 4. Not aligning plans to company objectives 5. Illogical plans (ie: Reps have an OTE of $150k and their annual quota is $400k ) 4
  • 5. 7 Comp Plan Best Practices 1. Collaborate with Sales, Finance, and RevOps 2. Use historical data to design and test new plans and adjustments or use industry data 3. Focus on behaviors you want to incentivize 4. Define company goals first and then build your comp plan 5. Standardize your plans 6. Have a communication plan to rollout new plans or changes 7. Evaluate your plans throughout the year 5
  • 6. How QuotaPath adjusted plans to continue scaling 1. Right-sized the team based on current market demand 2. Lowered Quota:OTE ratio to 3x vs current 3.5x 3. Hired 2 BDRs to take MQL/6QA qualification off of AE’s plates 4. Segmented the team by moving transactional quotas to monthly instead of quarterly for AEs 5. Brought on sales enablement 6. Made product release timing and alignment more visible 7. Revamped messaging and segmentation around SMB and Midmarket 6
  • 7. THANK YOU Let’s talk about compensation. Visit us at booth #223.

Editor's Notes

  1. How many comp plans they’ve executed themselves, sold under, and supported in their existing roles
  2. Dive into growth of company, revenue, customers Highlight sales team specifics Tease comp plan changes that we issued to account for scaling and why it’s important