How to effectively recruit your first head of sales?

How to effectively recruit your first head of sales?

Recruiting your first Head of Sales is one of the most critical decisions for a tech SME. This role will shape your sales strategy, build your team, and drive revenue growth. Here's a comprehensive guide to making the right hire:

1. Define the role clearly:

- Action step: Write a detailed job description that outlines the responsibilities, required experience, and expectations for the role. Clarify whether the focus is on strategy, team-building, or direct sales.

- Example: If you're a SaaS company in the early stages, your Head of Sales might need to be a "player-coach" who can both sell and lead. The job description should highlight this dual role.

2. Look for proven experience:

- Action step: Prioritize candidates with a track record of success in similar industries or with similar-sized companies. Look for someone who has experience scaling sales teams and driving revenue growth.

- Example: A tech SME selling to enterprise clients might seek a candidate who previously grew a startup's sales from $1 million to $10 million by building a team of high-performing account executives.

3. Assess cultural fit:

- Action step: Evaluate how well the candidate aligns with

your company culture and values. The Head of Sales will be a key leader, so their ability to integrate with your team is crucial.

- Example: If your company values transparency and collaboration, assess whether the candidate has a history of working well with other departments like marketing, product development, and customer success. Conduct interviews that focus on scenarios where they had to work cross-functionally to achieve goals.

4. Evaluate leadership and vision:

- Action step: During the interview process, ask candidates to outline their vision for your sales organization. Look for someone who can articulate a clear strategy for growth and has a plan to build a sales team that aligns with your company's goals.

- Example: Ask candidates to present a 30-60-90 day plan. Their plan should include how they intend to assess the current sales process, identify quick wins, and set the foundation for scaling your sales efforts.

5. Check references thoroughly:

- Action step: Go beyond the standard reference checks by asking specific questions about the candidate's leadership style, ability to hit targets, and how they handled challenges in previous roles.

- Example: If a candidate mentions that they scaled a sales team rapidly, ask their references how they did it. Were there growing pains? How did they manage them?

6. Offer competitive compensation:

- Action step: Design a compensation package that includes a base salary, performance bonuses, and possibly equity. The package should be attractive enough to bring in top talent but also aligned with your company's financial capabilities.

- Example: For a high-potential candidate, offer a performance-based bonus structure where hitting revenue targets triggers additional bonuses or stock options. This aligns their success directly with the company's growth.

Practical example: Let's say your tech SME is a SaaS company with an ARR of $2 million and you're aiming to double that within 18 months. You need a Head of Sales who has experience in scaling SaaS sales. You find a candidate who grew ARR from $1.5 million to $5 million at their previous company in two years. They fit culturally, have a strong network, and present a solid growth plan. You make a compelling offer that includes a salary, commission, and equity.

By following these steps, you'll be more likely to recruit a Head of Sales who can not only drive immediate results but also build a sustainable, long-term sales strategy for your tech SME.