Many MSP business owners and leaders struggle with hiring and empowering their first successful, quota carrying salesperson. Ted Hulsy and David Birk, partner at Network Doctor, share their views on why MSPs should focus on Account Management.

1. How to Hire Your First Salesperson:
Five Reasons to Start with
Account Management
Ted Hulsy
VP Marketing, eFolder
ehulsy@efolder.net
linkedin.com/in/tedhulsy
David Birk
Partner,
Network Doctor

2. Agenda
© 2017 eFolder, Inc. All Rights Reserved.2
Partner Introduction
Five Reasons to Start with Acct. Mgmt.
Questions and Discussion

3. © 2017 eFolder, Inc. All Rights Reserved.3
Partner Introduction
Five Reasons to Start with Acct. Mgmt.
Questions and Discussion
Agenda

4. David Birk
Partner,
Network Doctor
Partner Introduction
Founded in 2003
40 employees serving the New
York City and Los Angeles
metro areas
150 clients,
between 20 and 200 users
© 2017 eFolder, Inc. All Rights Reserved.4

5. © 2017 eFolder, Inc. All Rights Reserved.5
Partner Introduction
Five Reasons to Start with Acct. Mgmt.
Questions and Discussion
Agenda

6. #1 Clients are like icebergs
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Initial agreement
Projects, upsell, cross-sell and
technology innovation
Best Practice: thoroughly document all products, services,
and SLAs before hiring any quota carrying sales staff

7. #2 Farming is easier than hunting
© 2017 eFolder, Inc. All Rights Reserved.7
“70% of companies
say it’s cheaper to
retain a customer
than acquire
one…”*
* http://oursocialtimes.com/70-of-companies-say-its-cheaper-to-retain-a-customer-than-acquire-one/
Best Practice: hire Account Managers as your first quota
carrying, non-owner staff; have principals keep hunting
new accounts

8. #3 Client retention is the key to value
© 2017 eFolder, Inc. All Rights Reserved.8
Best Practice: MSP AM Comp Plan:
• $40k base $40k base
• 2% of MRR $60k variable ($250k
MRR)
• 10% GM of product $8k ($80k product GM)
• 20% GM of project labor$12k ($60k labor GM)^ http://www.slideshare.net/500startups/institutional-venture-partners-jules-maltz/30-
30Cohort_Revenue_Negative_ChurnSource_Model
^

9. #4 Client satisfaction needs sales process
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QBRs must be quarterly
to be called “QBRs.”
Best Practice: Account Managers quarterback the whole
client relationship and are responsible for coordinating
QBRs and vCIO engagements; satisfaction needs process

10. #5 Master sales management first
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Sales management must
be learned and perfected
by the business principal;
it is easiest with account
management.
Best Practice: hire a sales hunter only after you have one
year of success managing an account manager who
achieved 100% of plan

11. © 2017 eFolder, Inc. All Rights Reserved.11
Partner Introduction
Five Reasons to Start with Acct. Mgmt.
Questions and Discussion
Agenda

12. © 2016 eFolder, Inc. All Rights Reserved.12
Questions and Discussion

13. Thank you!
Ted Hulsy
VP Marketing, eFolder
ehulsy@efolder.net
linkedin.com/in/tedhulsy