Tuesday, October 27, 2026

Most SME owners are fixing the wrong problem. Here's the 3-step method that finds the one constraint actually holding your growth back, before you spend another dollar.

Walk into most SME sales reviews in the final week of any month and you'll hear the same phrase: "I can get this one over the line if I knock ten percent off." It sounds like good instinct — closing the deal, hitting the number. It's usually the single most expensive habit a sales team has.

A study by InsideSales Labs, examining 9.8 million sales opportunities across 151 companies over nine quarters, found reps close 2.9 times more deals in the final days of a quarter — and lose 11.4 times more margin doing it, with win rates falling by more than 12 percentage points against the rest of the month. The researchers put the average cost to a single company at roughly $98 million a year in lost revenue. Separately, a Bessemer Venture Partners survey found 73% of SaaS executives admit to offering steeper discounts specifically toward the end of a reporting period to hit their numbers (that figure comes with no published sample size, so treat it as directional). Scale the dollar figure down to SME size and the behaviour is identical.

I've built and reviewed commission plans across nine businesses of my own and in coaching 200+ businesses one-on-one across 30+ industries. The pattern is always the same: show me a team that discounts heavily at month-end, and I'll show you a commission plan that pays the same bonus whether the deal closed at full price or twenty percent off.

The Enemy Isn't the Rep. It's the Plan You Wrote.

Most owners assume a team that discounts too much has a training problem or a confidence problem. Usually it has neither. It has a plan that pays purely on revenue booked, with no reference at all to the margin that revenue actually carries. A rep paid the same commission on a full-price deal and a heavily discounted one is behaving entirely rationally when they discount to close faster — the plan is simply telling them, in the clearest language a business ever speaks, that margin doesn't matter.

Three Changes That Fix the Incentive, Not Just the Behaviour

  • Pay on gross margin, not gross revenue. Even a simple tiered structure — full commission at list price, a reduced rate below an agreed discount floor — changes the maths on every deal a rep is about to close.
  • Set a discount floor that needs a second signature. Not a ban on discounting — a speed bump that forces a conscious decision instead of a reflex.
  • Put margin on the same weekly scoreboard as deals closed. What gets measured in public gets managed. If margin stays invisible, it stays optional.

"Kevin is an absolute powerhouse! He doubled our business's profits in the first month alone with lots more of his recommendations still to be rolled out."

— Curtis Hacon, Give A Sh!t

Why Owners Who Know This Still Haven't Fixed It

Rewriting a commission plan feels like picking a fight with the exact people responsible for this month's revenue, at the exact moment you can least afford a dip in morale. So the plan survives another quarter, and another. An outside adviser can design and defend the change without it reading as a personal attack on the team that built your current number — usually the difference between a plan that actually gets fixed and one that gets talked about for another year.

Key Takeaways

  • Treat month-end discounting as a design problem in your commission plan, not a discipline problem in your team.
  • Note that one major study found reps close 2.9x more deals and lose 11.4x more margin in the final days of a period.
  • Pay commission on margin, with a real discount floor that needs a second signature.
  • Make margin visible on the same scoreboard the team sees every week.

If your best reps are also your biggest discounters, that's not a coincidence — and it's the first thing we fix.

Monday, September 21, 2026

Working longer feels responsible heading into Q4 — but the data says your output actually falls past a point. Here's how to find your real ceiling.

Monday, September 21, 2026

Time who talks in your next coaching session. If it's mostly your coach, you're getting a lecture — not the accountability that actually changes behaviour.

Monday, September 21, 2026

Chasing wholesale and DTC at once usually means neither gets funded properly. Here's the Channel Mix Audit to pick a primary channel and actually grow.

Monday, September 21, 2026

26% of small business owners plan to spend $0 on marketing this month — and it's capping their growth more than they realize. Here's the Marketing Floor framework to fix it.

Monday, September 21, 2026

Most strategic plans are built on what founders assume customers buy — not what they actually say. Here's the one-week audit that closes the gap.

Monday, September 21, 2026

Most SME marketing still targets a customer persona sketched out years ago. Here's how to find out who's actually buying — and fix the mismatch.

Monday, September 21, 2026

Most SME sales proposals are built to impress, not to close. Here's the one-page format that gets buyers to yes faster.

Monday, September 21, 2026

If Sunday afternoon has become the least relaxing part of your weekend, it's a design problem, not a discipline one. Here's the fix.

Monday, September 21, 2026

Most owners choose a coaching format by budget, not by stage. Here's the test that shows which format actually fits your business right now.

Monday, September 21, 2026

Private label deals look like free growth — until they quietly cost you margin, capacity, and control. Here's how to protect your brand before signing.

Monday, September 21, 2026

New global research says 68% of small business owners now choose stability over speed — and that's the smarter growth strategy. Here's the 3-step Depth Audit to grow without breaking what you've built.

Thursday, September 17, 2026

Most growth strategies don't fail because the market changed — they fail because nobody tested the assumptions underneath them. Here's the four-question audit that catches the weak spot before it costs you a year.

Thursday, September 17, 2026

Your website, socials, and sales team may all be telling a slightly different story. Consistent brands see up to 33% more revenue — here's the one-page Message Map that fixes the drift.

Thursday, September 17, 2026

Sales closes the deal, then delivery loses the customer within a quarter. The one-page Handover Brief that carries the promise, the anxiety, and the customer's real definition of success forward.

Thursday, September 17, 2026

Every interruption costs roughly 23 minutes of refocus time, not seconds. The Protected Block system that stops "always available" from quietly destroying your most productive hours.