This week’s term is one I am asked about frequently. People are never sure if taking a draw is right for them, and honestly there is no black and white answer as everyone’s situation is different. Being in sales however, this is something you may eventually need to consider.
A Draw or Draw on Sales Commission is a term used to note a certain pay structure. The ‘draw’ is released against expected commissions or earnings. In layman’s terms you are advancing your commission. Draws can be good or not so good. On the good side draws can give you a consistent source of income during slow sales periods, but when times pick back up you will have that draw taken out of future commissions.
Want to see if a draw is in your best interest? Let’s schedule a chat!