Cutting Dead Weight

I have a few outside sales reps who work around the country. They are actually general industry reps in that they rep a number of similar products and go around to stores in a given area. And even though the economy is doing poorly they are all, for the most part, doing a good job for us and earning that 15% commission.

All but one that is and that one has managed to get under my skin in a way unlike any other person I work with. First and foremost, she says that she's not a sales rep but a "consultant" to the industry and that her clients are high-falutin' stores that spend big bucks. As such she demands a 30% commission. And me, in my stupidity, granted her that. In my defense, she was the first rep I ever started working with - but still - 30%!

30% would be one thing if she actually brought in business but she doesn't. This past year she's opened a grand total of one new account for me and that was only after I called her to let her know that our business relationship was done due to the fact she hadn't brought in any new stores. To top it off, the new store she brought in and insisted was a premier customer and needed Net 30 terms (they don't pay upfront but will pay 30 days after receiving the merchandise) then never paid. I hounded them for weeks and finally around the 90 day mark I got a credit card. So let's see, I just let you hold onto my money for 90 days and now, instead of getting a check, I have to pay credit card fees on top of that - and a 30% commission?

Then I got another email from said sales rep this morning asking - in all caps - when the order for a new company was going to ship. Only problem, she never sent me the new order so I have no record of it. It's gotten to the point that anytime I get an email from her or her assistant my stomach just automatically tightens. There is so much disorganization on her end that I'm always rushing to get an order for her out the door so that I don't look like the incompetant fool to the store. And again, for this honor I'm paying 30% commission.

I'm done. For a while I thought it wasn't worth it to burn a bridge but I've come to the decision that working with her is causing me more anxiety then it's literally worth. And truthfully, I'm not sure I want my brand to be connected to her in any way shape or form. She is one of those companies who, assuming there's no huge bankroll partner behind her, I just don't think is going to make it through this economy and, like a rat on a sinking ship, I want off.

I just wrote a very short but sweet "this relationship will end as of 12/31/08 letter to her. It hasn't been sent yet but it will, shortly. I dread the followup call that I'll receive from her but I know this needs to be done. In fact I've known for a long time and have been too wussy to deal with it head on but the time has come.