Re: Compensation based on Percentage of total Internet sales.

My advice: don't do it. If the customer is that broke that they can't afford
to pay you up front, then they are not going to be able to generate the hits
on the site either. Or they are a cheap scam-artist that has no intention of
paying you.

How are you going to know that they pay you the right amount? How can you
stop the client from fudging the figures? What about sales that are
generated through your web efforts, but are phoned in rather than ordered
on-line?

I remember seeing a lengthy dialog about this issue on a listserve about a
year ago, and those who had tried it all got ripped off. Unfortunately, I
can't remember exactly where I saw it.

Malcolm Smart
Smart Online Services
malcolm(at)smart-web.com
718-783-0261

----- Original Message -----
From: Jacqueline Shaffer <jshaffer(at)tusco.net>
To: <hwg-business(at)hwg.org>
Sent: Wednesday, January 12, 2000 11:36 PM
Subject: Compensation based on Percentage of total Internet sales.


> Has any member here had a potential client suggest Compensation based on a
> percentage of total Internet sales, instead of the typical hourly rate for
> entire design?
>
> I've never heard of this before.  This client's business is custom-built
> computers.  If anyone here has done this or heard of it, could you please
> tell me how common is this type of compensation/pay arrangement.
>
> Thanks
> Jacqueline Shaffer
>
>

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