Jack Moberger

The #1 pricing mistake MSPs make in BDR: They double vendor cost and call it profit. They’re quietly bleeding margin — and they don’t even know it. They think, “My backup vendor charges $500. If I bill the client $1,000, that’s 100% markup. I’m making money.” Wrong. You’re not making money. You’re funding your client’s business. Here’s the truth from Doug Lowenthal, who built a $5M MSP with 70% profit on backups alone. The 30/40/30 Rule Every healthy service business should be designed around this model: 30% → Cost of Goods Sold (COGS) — includes your tools and your labor. 40% → SG&A — sales, marketing, admin, rent, taxes, insurance, payroll, etc. 30% → Profit — real profit, after paying yourself a fair salary. So if your backup solution costs you $500, and your team spends 5 hours a month managing it at $50/hour, your real cost is $750. To hit healthy margins, you should be billing around $2,500/month, not $1,000. When you just “double the vendor cost,” you: 1). Ignore the time your engineers spend maintaining, testing, and fixing backups. 2). Underfund your marketing, growth, and future hires. 3). Burn out your team trying to deliver enterprise-level service at budget pricing. You’re not underpricing the product — you’re underpricing your business. If you truly understand your costs — and design services around real margins — you can confidently price for value. Because profitability isn’t greed. It’s what funds growth, protects your staff, and ensures your clients actually stay protected. If you’re having trouble with pricing, reach out to Doug and he’ll get you on the right path. ————————————— Hi I’m Damien, Click my name + follow for proven strategies that help MSPs build BDRs clients trust — and pay for.

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Top performers in sales aren't just naturally gifted - they're methodical masters of their craft. • They manage 164% more pipeline • Excel at discovery, with 55% better performance • Experience 217% fewer late-stage slips • Win rates are 43% higher than average Why? Because they've turned key processes into disciplines: - Discovery isn't a phase, it's an ongoing practice - Qualification is a science, not a gut feeling - Stakeholder mapping is their secret weapon - Objection handling is rehearsed, not improvised Want to elevate your team's performance? DM me so you can share some details, and then I’ll share a specific plan to engineer success, not just hope for it. #SalesExcellence #PerformanceOptimization #RevenueGrowth

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5 sales metrics that lie to you: #1 - "Deals closed" Means nothing if the Stripe charge failed, the card declined, or the payment plan fell apart two weeks later #2 - Close rate calculated by calls made A rep who dials 80 times and closes 2 looks identical to a rep who takes 10 qualified calls and closes 2, and those are very different closers #3 - Call volume The easiest metric to game and the least correlated with revenue on any team I've ever managed #4 - Show rate from EOD reports Reps round up, forget no-shows, and miscount cancellations, so the number you're looking at is fiction #5 - "Leads by source" Knowing that Facebook generated 200 leads tells you absolutely nothing about whether Facebook generated any actual revenue

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If a rep earns $1M in commission, is it too much? This is probably among the top reasons for conflict between CROs and CFOs. Sure, $1M commissions are rare. But the real question is: should commissions be uncapped? And if so, how far can accelerators go before they break the model? Most compensation plans include accelerators: ➤ 100% target achievement → 100% on-target commission, ➤ 150% target achievement → 200% on-target commission, ➤ …but at 300% attainment… should it be 500%? CFO: “200 OTE means 600k in comp? No way!” CRO: “s/he closed $2.4M in revenue, s/he deserves it! (and so do I)” Let’s make the breakdown and show the CFO it’s worth it. 𝐒𝐜𝐞𝐧𝐚𝐫𝐢𝐨 𝐀: 𝐁𝐚𝐬𝐞𝐥𝐢𝐧𝐞 𝐏𝐥𝐚𝐧 ➤ $10M fixed S&M costs (base salaries, marketing, etc.) ➤ $5M variable S&M costs (commissions when on-target) ➤ $15M company Revenue Quota ➤ CAC Payback = (10 + 5) / 15 = 1.0 → 12 months 𝐒𝐜𝐞𝐧𝐚𝐫𝐢𝐨 𝐁: (𝐨𝐧𝐞 𝐫𝐞𝐩 𝐡𝐢𝐭𝐬 𝟐.𝟒𝐌, 𝐢𝐬 𝐩𝐚𝐢𝐝 𝟓𝟎𝟎𝐤 𝐯𝐚𝐫𝐢𝐚𝐛𝐥𝐞) ➤ $10M fixed S&M costs (unchanged) ➤ $5.4M S&M variable costs (adds 400k vs on-target) ➤ $16.6M revenue attainment (2.4M vs 800k at target) ➤ CAC Payback = ( 10 + 5.4 ) / 16.6 = 0.93 → 11.1 months 🎉 It means that Scenario B is MORE profitable to the company. If you don’t reward outsized performance, someone else will. World-class reps should earn world-class compensation, as long as it aligns with profitable acquisition. Strong accelerators aren't a risk. They’re a strategy. Use them to build a culture where performance wins and everyone knows it.

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