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To pay commission or not...?

cooltouch

New Member
Had an individual come to us who works at a large distribution company here in town and they have (15-20) wrapped vans. I've tried getting into this company before And they already have a printer/installer. He guarantees he can convert them over to us for a per van fee which he says he will only ask for if we get the job. Do you give in and give him a kick back for each van we do ($100 each)

Do note all vans are removal and reinstalls. Also graphics are changed every 8-12 months.

Is this opening a can of worms or is this normal?
 

Fred Weiss

Merchant Member
In addition to being illegal, I would guess that the company would be within its rights to withhold or sue for recovery of any payments for your services should they discover the arrangement.
 

Custom_Grafx

New Member
Here's something to think about, on top of it potentially being illegal - would be hard to prove though...

is that.... this guy is telling you that they change the graphics every 8-12 months... how many times has he already done this trick? Does he go to a new place every time and cash in with kickbacks?

"had an individual come to us"... meaning he just walked through your door and put that to ya? or he's an old customer who knows you guys are great and wants to talk his boss into using you for a fee, which his boss is aware of?
 

Craig Sjoquist

New Member
I would wonder if ..this was a overload of work the company can not do.

Another would be payment who pays, how soon also is the total more then what you charge.

If it is overload then it would be under company approval.

Is it price lower or same.
 

Wiggum PI

New Member
Tell him you will pay him in beer, wine, spirits and/or signage and thats a regular transaction here.
But also what custom said, know the guy first.
 

10sacer

New Member
Offer to put him on your payroll as a 1099 contractor and see if his story changes when he realizes he has to pay taxes on the "commission".
 

ddarlak

Go Bills!
simply a cost of business. of course you have to pay him cash and you'll be paying the tax on that cash, but if you price it accordingly you only have your conscience to deal with.

me, i'd pay it everyday and twice on sunday.....
 

Gino

Premium Subscriber
Your question about this being normal is very impressive. It is so normal and commonplace, most people don't realize it's wrong and illegal, anymore. Just about everyone and their momma are trying to get money they don't deserve. It's from high government positions.... to the kid at the grocery store delivering groceries and taking money on the sly to give better service.

You must already know it's wrong or you wouldn't have asked it... especially in the fashion you asked.

Ya wanna handle it right.... go to the head of the department and ask to see the contract his company is providing with his getting and extra $100 out of your pocket. Then, ask if you could have a truly legitimate chance of bidding since the company already doing them is probably on the take as we speak. Tell them you don't believe in this kind of conduct and don't want to be party to such activities, but if they are un-informed, you'd like to start on an even playing field.

See what takes place. You'll either win or lose, but at least you won't be a lying cheat.... and sparky will probably be outa job.
 

Locals Find!

New Member
Its part of doing business. It may be illegal or immoral. However, at the end of the day its no different than taking the decision maker of a company out for Golf or Lunch at the Country Club. It is how the world works.

That being said, if you do it make sure you only contact this person via a burn phone and all payments are in cash and via dead drop or other anonymous methods. No emails, no letters, nothing in writing ever. Many large corporations now have internal or contracted investigators checking up on employees in the decision making process to put a halt to this kind of behavior.

You're the one who needs to decide for yourself whether its worth putting your company, its reputation, your ethics and everything else on the line.
 

FireSprint.com

Trade Only Screen & Digital Sign Printing
I might just walk away from this one...

Or try to earn the companies business legitimately, don't offer a kickback. If you get the business, send the guy some steaks for letting you know that the distributor is was even considering the work to be done.
 

Circleville Signs

New Member
The smartest thing I heard said in here was that you need to hire the guy first. I wouldn't even 1099 it. I'd straight W-2 the guy. If he still wants to play along, then it is HIS ethics policy that HE would be violating - not yours. Most importantly, it removes any legal problems from your doorstep. He is a sales employee at that point.
 

ddarlak

Go Bills!
Its part of doing business. It may be illegal or immoral. However, at the end of the day its no different than taking the decision maker of a company out for Golf or Lunch at the Country Club. It is how the world works.

+1
 

Billct2

Active Member
Sounds skecthy to me. It would depend on who this guy is within his company.
We have truck salesmen refer clients to us, if I want to send them a $50 finders fee that is legit. But this sounds risky. One time I had a boat salesman refer a client to me and he wanted a "kick back". I lettered the boat and gave the salesman his fee. As often happens in a boat yard I got several other guys asking to have their boats lettered. The saleman felt he was owed a fee for all those jobs too, I disagreed. He blacklisted me in that yard. Anything that happens "under the table" can come back to bite you.
 

CS-SignSupply-TT

New Member
"...I've tried getting into this company before And they already have a printer/installer..." It sounds like the business is available. Otherwise, WHY would this person be offering it to you. Go back to your company contacts and work the account.
 

Gino

Premium Subscriber
For those of you encouraging this kind of action.... you should be shot and at close range.

The OP said, this person works for the company. He is stealing not only from you, but the company as well. You wanna go down with him if he gets caught ??

He's committing bribery, extortion or whatever else you want to call it. To actually admit you do this is really telling how low and what lack of morals you have, not only as a business person, but as a human being.

Sure, it takes a lot to stay in business, especially these days, but to side with an act that generally pushes costs upward and then use the excuse you're protecting and putting food on the table for your family...... well, I just hope you never get caught. Guess you guys scalp sports tickets and Christmas toys.

It's one thing to do it..... here or there, but to actually put it down in writing how to go about it and how normal it is in your life, is quite pathetic. You really have a system for this kinda specialty racket ?? The thought that one has to use tricks and thievery to remain in business and not rely on their wares and expertise.... is probably par for the course considering.

I knew a guy whom was doing this, many years ago. I, and a friend caught him in the act as he was set up on several counts. We approached him and told him we would no longer do business with him and he better stop his games. Turns out he must not have stopped. He was beaten so badly and found left for dead one night and after that..... he not only stopped his kickbacks, he went into a totally different kind of business. He started selling real estate. Betcha you saw that one coming. :Big Laugh
 

signswi

New Member
Other than the frightening violence (really? I'll never understand people who get physical, life is too awesome to get into fights) I agree with Gino for once. Though it's funny to say "it's illegal" and then talk about first degree assault and "shooting people at point blank range" like it's nothing...
 

HulkSmash

New Member
Though it's funny to say "it's illegal" and then talk about first degree assault and "shooting people at point blank range" like it's nothing...

I'm going to go with this is a figure of speech/sarcasm.


on a side note............
HOW ABOUT THEM PACKS?
 
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