SaaStr · 2022-03-08
· 1548d
Should Your VP Sales Start as a Player-Coach? Strategic Considerations for Early-Stage SaaS
Jason Lemkin discusses whether early-stage SaaS founders should require their first VP of Sales to maintain an individual quota alongside team management responsibilities. The article argues that while initially appealing for cost optimization, a player-coach model may be counterproductive for a strong VP Sales hire, whose focus should be on scaling the entire revenue organization rather than individual deal closure.
Metrics in this report
First Revenue Team Build-Out Cost
$3,000,000$
all-in
Early-stage SaaS company first sales and marketing team
VP Sales Failure Rate
50%+%
greater than
VP Sales hires that don't achieve expected results
VP Sales On-Target Earnings (OTE)
$200,000-$300,000+$
range
First VP Sales hire at early-stage SaaS
VP Sales Performance Timeline
2 quartersquarters
required timeframe
Expected time for strong VP Sales to demonstrate ROI