Founders can assess their Head of Sales using two core metrics: 1) Can they hire reps who consistently close over $250k in new ACV per quarter within six months? 2) How many sales calls are they personally conducting each week? These are the ultimate measuring sticks of effectiveness.

Getting to $1M ARR can be driven by a founder's personal hustle. To scale to $10M and beyond, you must have a repeatable GTM recipe. The key question is: can you hire an average account executive off the street and teach them to replicate your success? If not, you don't have a scalable business.

By fixing the upfront cash collection, the business generates enough surplus to potentially double sales commissions from $50 to $100 per deal. This elevated pay structure attracts a completely different caliber of salesperson—"an order of magnitude better"—who can close more deals per day, dramatically accelerating growth without adding financial risk.

Instead of focusing on a large quota, leaders should reverse engineer it. Calculate the number of deals needed based on win rate and average contract value, then break that down into weekly opportunity creation goals for reps.

Don't hire more reps until your current team hits its productivity target (e.g., generating 3x their OTE). Scaling headcount before proving the unit economics of your sales motion is a recipe for inefficient growth, missed forecasts, and a bloated cost structure.

Instead of treating high commission payouts as a pure expense, view them as a marketing asset. Actively ensuring it's known that top reps make a lot of money serves as the best possible recruiting tool, attracting other A-players to your company.

AE prospecting fails when given a watered-down SDR activity quota. Instead, have AEs build a strategic plan to land three deals at 2x average contract value from a target list of just 10 accounts per quarter. This focuses their limited prospecting time on high-impact activities.

To maintain discipline and profitability, Bali's founder was strict about hiring, even when it meant being "buried in admin." The team grew from 19 to 63 employees only after the business was well-established and scaling rapidly. This painful but deliberate restraint ensured high revenue per employee (~$230k) and protected cash reserves.

Google's new business reps were compensated on the first three months of a new customer's spend, despite handing them off immediately after the initial sign-up. This incentivized them to find high-potential customers who would derive significant value from the product, rather than just securing a large upfront commitment.