When managing a business, efficient commission management plays a critical role. However, how you manage it is where the fundamental importance lies.
Excel or Google Sheets have stood the test of time regarding basic commission tracking; however, accurately tracking and managing more complex compensation plans and high transaction volumes often need commission management software to match.
But what is the best way to navigate the change management process from basic manual commission processes to a modern, comprehensive solution that simplifies sales commission tracking, calculation, and reporting? Here’s everything you need to know about commission management software and how it elevates your finances and allows you to manage multiple revenue streams effortlessly.
Keeping track of your commissions
When managing commissions, it’s often not a question of too few tools available but rather the hassle of navigating multiple tools across various platforms. Independent financial advisers struggle to consolidate all their objectives into one centralized platform. Generally, independent financial advisers rely on multiple platforms, third-party tools, and manual processes to help them track and manage revenue streams and commissions, such as CRM systems, commission statements, and spreadsheets.
However, solely relying on the above can be a resource-intensive and time-consuming process, often prone to errors. Moreso, it limits financial advisers from generating detailed reports and effectively analyzing their commission data to gain better insight into their financial posture. So, what’s the solve?
Cue commission management software.
What is commission management software?
Commission management software enables independent financial advisers to manage revenue streams and commissions in one centralised solution. The comprehensive system generally includes various features designed to help track, manage, and calculate commissions earned by advisers. Although each system has unique selling points, some standard stand-out features of good commission management software include the following.
What should your commission management software include?
- Tracking and analytics:
The right software should give users insights into valuable performance tracking and data analysis features. It’s not only essential to manage commissions, but financial advisers must be able to tap into data and analytics features, including generated reports and metrics, to track their progress toward goals and better identify trends and areas for improvement or exceptions in their revenue data.
- Automatic data ingestion
The administrative side of commission management shouldn’t drain your resources or keep your attention from additional business objectives. When browsing commission management software, the ideal pick should have systems to allow commission data to integrate automatically with the system, whether from your client inbox, direct provider fees, or any additional platforms or tools.
- Flexible allocation
As your business grows, your commission management software should change and adapt accordingly. That’s why the ideal commission management software should take a flexible, rules-based approach to allocate/split commission. Examples may include providing multiple remuneration models (fixed percentage, fixed fee, sliding scale-based, goal-based) or enabling users to allocate to various parties such as advisers, employees, or external referrers.
Manage your commission and fees beautifully with Commspace
Ultimately, when it comes to saving time and money, repetitive manual tasks are the key culprit in generating administrative load. Instead, replace the entire manual process with a fully automated system that includes managed onboarding by a team of focused business analysts ensures a smooth start.
Our commission management platform is intentionally created to integrate with all the mission-critical platforms that you use to run your business so you can rest assured that you have everything you need to manage your commission from anywhere without the heavy lifting.
