Introductory Commission

Referrals can be a large part of an auction house’s business. Often the best way to remunerate an Introducer is to pay them some Introductory Commission so they receive a proportion of what an item(s) sell for. Snoofa has a comprehensive Introductory Commission framework, so you can manage this whole process from Consignment to the pay out of the Introducer. Read below to see how it’s done.

In order for someone to be eligible to receive Introductory Commission (IC), they first need to be a client in Snoofa. If they haven’t already been added, then they need to be. The client also needs to be marked with the Introducer role, otherwise they will not appear in the Introducer drop down options.

When clicking the Introducer role, the options to set the Introductory Commission (IC) rate will appear. The rate that is filled in here will populate all future Consignments which have this Client marked as the Introducer. If the rates here are changed, existing Consignments will not be effected, only ones created after that point. If existing Consignments do need to be changed, they can be changed individually.

Introducer Settings

Type

• Hammer Price: The introducer will receive a percentage of the final hammer price on every sold lot for which they are marked as an Introducer

E.g.

• Hammer Price: £100

• IC Hammer Price rate: 10%

• Amount paid to introducer: £10

• Vendor Commission: The Introducer will receive a percentage of the final Vendor’s Commission amount on every sold lot for which they are marked as an Introducer

E.g.

• Hammer Price: £100

• Vendor Commission: 20%

• IC Vendor Commission rate: 25%

• Amount paid to Introducer: £5

Rate

• Choose the % for either the Hammer Price or Vendor Commission types.

Introduced By

A Client can be marked as having been introduced by a specific Introducer. Select from the drop down the relevant Client that this person has been introduced by (they must be marked as an Introducer to appear in this list). It is also not possible to select the same Client - a Client can’t introduce themselves!

As above, select the Type & Rate of Introductory Commission this Client’s Introducer will receive. This will populate all future Consignments which are created for this Client.

Introduced By

Consignments

Each Consignment will pre-populate with any Introductory Commission parameters that have been set for the Client. However, these can be over-ridden for specific Consignments.

It is not possible to have two separate Introductory Commission settings on a Consignment e.g. three items with Hammer Price 10% and three Items with Hammer Price 5%. If there are Items that require different Introductory Commission, a new Consignment will need to be created.

An Introducer, Type & a Rate can be specified to apply to all Items on this Consignment.

Consignments

Pre-Sale Advice

It is possible to keep an Introducer informed about any lots they are due to receive Introductory Commission on before they go to Auction. There is a Pre-Sale Advice, much the same as the one that is sent to Vendors, which lists the Lots that the Introducer will receive Introductory Commission for. If they are due to receive Introductory Commission from multiple Consignments, they will have multiple Introductory Commission Pre-Sales.

Introductory Commission Pre-Sales

Viewing & sending these Introductory Commission Pre-Sales works in much the same way as the regular Pre-Sales. Under the Cashiers tab for the relevant Auction, there is an Introductory Commission Presales tab. From this screen all of the Introductory Commission Pre-Sales can be managed & sent. To generate the documents, either do this individually or in bulk using the tick boxes.

The green PDF button allows us to check the Introductory Commission Pre-Sale document before sending. When we’re ready to send these to the Clients, we can send individually or in bulk using the same methods as the generation. The Sent column allows us to keep track of which have been sent.

Introductory Commission Pre-Sale Advice

Settlement

If any lots brought in by an Introducer are successful, we can send the Introducer a statement, much like the Vendor Settlement Statement, to inform them how much Introductory Commission they are due to receive. As with the Pre-Sales, if they are due to receive Introductory Commission from multiple Consignments, they will have multiple Introductory Commission settlements.

Introductory Commission Settlements

Generating, viewing and sending these Settlement Statements works the same way as indicated with the Introductory Commission Pre-Sales above. It can be done individually or in bulk. This can be found under the Introductory Commission Settlements tab in the Cashiers area for the relevant auction.

As with ordinary Vendor Settlements, each Introductory Commission Settlement has its own manager page.

Introductory Commission Settlement

Introductory Commission Settlement

Introductory Commission or Introducer Commission (IC) Disclaimer, gives the ability to add or edit a Disclaimer on Consignments related to Introductory Commission.

Introducer Commission (IC) Disclaimer

Lastly, another tool within Snoofa - Reports. They give the ability to create & view Introductory Commission reports as well as other things within the system.