Employed Trading - What Commission Would You Expect?
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Ok so here's an interesting one. Anyone who read my most recent post about being employed by my cousin to trade for him will be caught up.
But I'm not doing it for nothing and when the money gets to a certain level I'm charging him commission on top.
So what percentage would people think is fair? 10%, 15%, 20%?
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@mick-mcmahon said in Employed Trading - What Commission Would You Expect?:
Just found the thread. Have you started it @Richard-Latimer ?
I'm intrigued by the why of you doing this. Unless he has a huge wad of capital to drop that you need, then would 10% or so be worth the extra hassle?
It's all about afforability checks for houses etc.... Funny enough self employed sportstrader isn't well received. Not started it yet no. Right now, I'm just trading for him and taking commission while we try to sort the rest out.
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Just found the thread. Have you started it @Richard-Latimer ?
I'm intrigued by the why of you doing this. Unless he has a huge wad of capital to drop that you need, then would 10% or so be worth the extra hassle?
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@dan-mackinnon no clients on the trading. He has a leaflet delivery business. This is just me getting a payslip and making us both dollar. A marriage of convenience if you like.
I'll make sure we have something in writing but it will just be to ensure a strong bond remains. We're more like bickering brothers haha!
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@dave-hayes I don't understand your question. There is no product. Just me beavering away in the background on top of what I do now which is very boring and hard work haha!
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@martin I don't want to be employed doing the other. It's leaflet delivery haha!
It was my idea.
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@richard-latimer be careful bud, these things can start out with great intentions and quickly dissolve. Will he only employ you if you do the trading for him?
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@dave-hayes said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
Basically he's a massive cynic. I know it's not gambling anymore than stocks and shares. He views stocks and shares as gambling.
When I say he can't risk me making loads and him turning down the opportunity, I mean that he is a realist, he sees the numbers and is beginning to believe I could do it.
If he remained the cynic and I made the money he missed out on, it would kill him haha! Annoy him hugely maybe haha!!
His current business is nothing to do with trading. I'm just pushing the envelope. I need a full time salary, he wants money. We both want money haha!With The strategy Ryan shows on the OV / U 3.5 goals market, which I am doing and started a couple of days ago, to me that will show you and him that the money will come in, consistently.
As for commission, depends on what you are pushing, which /what product is it?
But certainly 10% Minimum for maybe a trial period of 90 days, then review after that, and go for an increase of 5% on top.
Might sound a bit niggly but having worked in this role previous for myself, It might be best to draw up an Up Front Contract which is a peice of paper that says the details of what he will pay you and what you agree to, doesn't need to be done by a Solicitor, but drawn up and agreed by you both, with maybe an Independent Witness, as opposed to the 'Gentlemans agreement.Avoids any arguments.
For example before my wife worked for NHS primary care, she was a slef employed locum working 'on trust' til someone tried to have her over. So we drew up a contract and both parties signed it, so there were no grey areas and payment was always prompt from then on.
Just a bit of advice thats all.
I would second this purely so you both know "the rules". In my previous work I dealt a lot with developers and often you'll find someone who's a build and another who the salesman and needless to say they fall out a lot. Money can be a big wedge in relationships regardless of how you know one another.
I guess there's also things you might not have considered but if you're effectively self-employed, but also working for someone, what do you do regarding days off/ annual leave? What happens if you were unable to work due to sickness or your internet was down? What happens if one of you wants to cease the agreement, do you have a winding up procedure?
You might also want to clarify, how are you handling "client's money", will this be in your account or a separate account, is this tradeable money, what are the terms to withdraw this, etc.
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@richard-latimer said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
10% is the initial fee mentioned. I'm just not sure if it's too low.
10% is a good starting point so you can both see how good you are.
Cheers Dave, I think you're right.
No worries. I'm intrigued now, what product/s are involved?
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@dave-hayes said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
10% is the initial fee mentioned. I'm just not sure if it's too low.
10% is a good starting point so you can both see how good you are.
Cheers Dave, I think you're right.
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@richard-latimer said in Employed Trading - What Commission Would You Expect?:
10% is the initial fee mentioned. I'm just not sure if it's too low.
10% is a good starting point so you can both see how good you are.
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@dave-hayes said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
Basically he's a massive cynic. I know it's not gambling anymore than stocks and shares. He views stocks and shares as gambling.
When I say he can't risk me making loads and him turning down the opportunity, I mean that he is a realist, he sees the numbers and is beginning to believe I could do it.
If he remained the cynic and I made the money he missed out on, it would kill him haha! Annoy him hugely maybe haha!!
His current business is nothing to do with trading. I'm just pushing the envelope. I need a full time salary, he wants money. We both want money haha!With The strategy Ryan shows on the OV / U 3.5 goals market, which I am doing and started a couple of days ago, to me that will show you and him that the money will come in, consistently.
As for commission, depends on what you are pushing, which /what product is it?
But certainly 10% Minimum for maybe a trial period of 90 days, then review after that, and go for an increase of 5% on top.
Might sound a bit niggly but having worked in this role previous for myself, It might be best to draw up an Up Front Contract which is a peice of paper that says the details of what he will pay you and what you agree to, doesn't need to be done by a Solicitor, but drawn up and agreed by you both, with maybe an Independent Witness, as opposed to the 'Gentlemans agreement.Avoids any arguments.
For example before my wife worked for NHS primary care, she was a slef employed locum working 'on trust' til someone tried to have her over. So we drew up a contract and both parties signed it, so there were no grey areas and payment was always prompt from then on.
Just a bit of advice thats all.
No, I'm only doing my own. I know it's good. My strategy, my product haha!
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@richard-latimer said in Employed Trading - What Commission Would You Expect?:
Basically he's a massive cynic. I know it's not gambling anymore than stocks and shares. He views stocks and shares as gambling.
When I say he can't risk me making loads and him turning down the opportunity, I mean that he is a realist, he sees the numbers and is beginning to believe I could do it.
If he remained the cynic and I made the money he missed out on, it would kill him haha! Annoy him hugely maybe haha!!
His current business is nothing to do with trading. I'm just pushing the envelope. I need a full time salary, he wants money. We both want money haha!With The strategy Ryan shows on the OV / U 3.5 goals market, which I am doing and started a couple of days ago, to me that will show you and him that the money will come in, consistently.
As for commission, depends on what you are pushing, which /what product is it?
But certainly 10% Minimum for maybe a trial period of 90 days, then review after that, and go for an increase of 5% on top.
Might sound a bit niggly but having worked in this role previous for myself, It might be best to draw up an Up Front Contract which is a peice of paper that says the details of what he will pay you and what you agree to, doesn't need to be done by a Solicitor, but drawn up and agreed by you both, with maybe an Independent Witness, as opposed to the 'Gentlemans agreement.Avoids any arguments.
For example before my wife worked for NHS primary care, she was a slef employed locum working 'on trust' til someone tried to have her over. So we drew up a contract and both parties signed it, so there were no grey areas and payment was always prompt from then on.
Just a bit of advice thats all.
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This will literally be me with my SHG strategy/system that I believe in hugely now.
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Richard Latimerreplied to A Former User on 18 Feb 2022, 14:42 last edited by Richard Latimer 18 Feb 2022, 14:43
@dave-hayes said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
Just me. Been trying to convince him of the validity for ages but he can't risk me making loads of money and him turning it down. He's massively anti gambling haha!
In that case, I'd say the higher end for sure.As for gambling, well I am Anti Gambling as well and don't see BF Trading as Gambling in the slightest, but trading, so that boshes that out the window for a start off.
I don't get the bit that 'He can't risk you making loads of money and him turning it down' Is this bit to do with his own business?... in which case he knows you, surely and knows what an asset you would be other wise he wouldn't have hired you, or have I musunderstood what he is saying.
When i started BF trading, my wife said, because she like a flutter on WH on Saturdays, "Your going to be a professional gambler"
My reply was No I'm not because I am trading on the fact that I want 1 goal per match in my selections, then I can cash out, whereas on WH you need a complete selection or at least the majority of them to come up with a minimum of 2.5 Goals to get a cash out, so you are gambling on that outcome.
Does that Help Rich
What product are you going to be selling
Basically he's a massive cynic. I know it's not gambling anymore than stocks and shares. He views stocks and shares as gambling.
When I say he can't risk me making loads and him turning down the opportunity, I mean that he is a realist, he sees the numbers and is beginning to believe I could do it.
If he remained the cynic and I made the money he missed out on, it would kill him haha! Annoy him hugely maybe haha!!
His current business is nothing to do with trading. I'm just pushing the envelope. I need a full time salary, he wants money. We both want money haha!
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@richard-latimer said in Employed Trading - What Commission Would You Expect?:
Just me. Been trying to convince him of the validity for ages but he can't risk me making loads of money and him turning it down. He's massively anti gambling haha!
In that case, I'd say the higher end for sure.As for gambling, well I am Anti Gambling as well and don't see BF Trading as Gambling in the slightest, but trading, so that boshes that out the window for a start off.
I don't get the bit that 'He can't risk you making loads of money and him turning it down' Is this bit to do with his own business?... in which case he knows you, surely and knows what an asset you would be other wise he wouldn't have hired you, or have I musunderstood what he is saying.
When i started BF trading, my wife said, because she like a flutter on WH on Saturdays, "Your going to be a professional gambler"
My reply was No I'm not because I am trading on the fact that I want 1 goal per match in my selections, then I can cash out, whereas on WH you need a complete selection or at least the majority of them to come up with a minimum of 2.5 Goals to get a cash out, so you are gambling on that outcome.
Does that Help Rich
What product are you going to be selling
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10% is the initial fee mentioned. I'm just not sure if it's too low.
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@dave-hayes said in Employed Trading - What Commission Would You Expect?:
@richard-latimer said in Employed Trading - What Commission Would You Expect?:
So what percentage would people think is fair? 10%, 15%, 20%?
Cor this is a difficult one and depends on a lot of factors, one of them being that it is family.
I'd say that the minimum commission should be 10%..It also depends on the product/s role/s that you are doing and how many others are also doing the same.
Just me. Been trying to convince him of the validity for ages but he can't risk me making loads of money and him turning it down. He's massively anti gambling haha!
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@richard-latimer said in Employed Trading - What Commission Would You Expect?:
So what percentage would people think is fair? 10%, 15%, 20%?
Cor this is a difficult one and depends on a lot of factors, one of them being that it is family.
I'd say that the minimum commission should be 10%..It also depends on the product/s role/s that you are doing and how many others are also doing the same.