How to hire your first salesperson (Indian SMB checklist)
Your first salesperson hire determines the next 18 months of revenue. Get this wrong and you waste ₹5-10 lakh. Get it right and you 3x revenue.
Step 1: Found product-market fit first
If you don't have 10+ happy paying customers, don't hire a salesperson. They need a working sales motion to repeat. Without PMF you'll fire them in 4 months and blame them.
Step 2: Pick the right profile: hunter or farmer
Hunter: new business, cold calls, outbound. Farmer: existing accounts, upsell, retention. Most early SMBs need a hunter. Hunters: 1-3 years experience in a similar B2B SMB sale. Indian SMBs often hire over-qualified — don't.
Step 3: Compensation structure
Base + variable. Hunter typical: ₹3-5L base + ₹3-5L variable at quota. Variable kicks in at 70% of quota, accelerates above 100%. No commission on month 1 deals; first month is ramp.
Step 4: 30-60-90 day plan
Day 30: complete onboarding, shadow 10 customer calls, run 10 themselves with you observing. Day 60: hit 50% of monthly quota. Day 90: hit 100% of quota or be on a performance improvement plan.
Step 5: Set the right pipeline:quota ratio
Quota × 3-4x = required pipeline. If monthly quota is ₹5 lakh, the rep needs ₹15-20 lakh of weighted pipeline at start of month. Below this, they will miss.
Step 6: Weekly 1:1 ritual
30 min every Monday. Review: pipeline movement, biggest deals, blockers. Coach on one specific call or email per week. Without this ritual, performance drifts within 6 weeks.
Step 7: Measure inputs, not just output
Output (closed deals) is a lagging metric. Inputs (calls/week, demos/week, proposals/week) are leading. If inputs drop, output WILL drop in 4-6 weeks. Catch it early.
Frequently asked questions
Where do I source candidates?
Naukri (volume), LinkedIn (quality), Apna (entry-level), referrals from existing customers (highest quality). Avoid agencies for first hire — too expensive.
What if my first hire underperforms?
Fire within 90 days if performance is bad. Indian labour law makes longer firing harder. Document conversations from week 1. Don't let bad hires drag for 6 months.
Should I hire 1 person or 2?
Two if you can afford it. Sales is a comparative role — you need a benchmark. Two reps competing on the same leaderboard outperform two solo reps.