|
Sponsorship Sales Pricing, Fees & Commissions
|
|
LSS Associates enters into a written agreement covering each party's duties and our method of sponsorship sales pricing and fees. Compensation is based on both commissions earned from sponsorships sold, and modest up-front fees. The commission rate is a function of the total dollars to be raised for the event, and the size of each sponsorship. The greater the total amount of expected sponsorship sales, the lower the effective commission rate. We also generally charge a modest, up-front fee to cover the extensive start-up work each project requires. This fee is then treated as a commission advance. That is, as commissions are earned, the fee is paid back.
|
|
What If Some of the Sponsorship Sales Are Already in Process?
|
|
Suppose in the past you have been selling sponsorships yourself. Now you are considering outsourcing the whole project, but don't want to pay sizable commissions on work you have already done, or on past sponsors who will surely renew. This is the case with some of our clients. So we structure compensation packages that pay a sliding scale of commission rates based on how much work has already been done and how much effort is required by us. You should pay less for less effort on our part, and more for more effort on our part--like bringing in a new sponsor. This creates a win-win agreement, and one that provides us with incentives to work hard to expand total sponsorship dollars raised.
|
|