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What percentage should an independent representative be paid for selling a product that would retail for $20?

Tim Berry answered June 27, 2008
URL: http://www.entrepreneur.com/answer/221482
Those rep commissions go all over the map. We've seen contracts as low as 2 percent and as high as 25 percent. You get what you can negotiate.

It depends on various factors: how hard the product is to sell, whether you have other products as well, whether it's something the rep can add on during sales calls he or she would be making anyway, etc.

Tim
Tim Berry is the chairman of Eugene, Ore.-Palo Alto Software, which produces business-planning software. He founded Bplans.com and wrote The Plan-As-You-Go Business Plan, published by Entrepreneur Press. Berry is also a co-founder of HavePresence.com, a leader in a local angel-investment group and a judge of international business-plan competitions.