SurveyMonkey Inc. 2017 Sales Incentive Plan

EX-10.7 12 d494258dex107.htm EX-10.7 EX-10.7

Exhibit 10.7

CONFIDENTIAL

SURVEYMONKEY

FY17 SALES INCENTIVE PLAN

(Effective September 1, 2017 and subject to the FY17 Sales Incentive Plan Policies, Terms and Conditions)

Sales Executive

Plan Contents:

 

    This Plan Design & Acknowledgement Sheet (the “Details Sheet”)

 

    The Plan Policies, Terms, and Conditions (the “Plan Rules”)

Plan Overview

SurveyMonkey’s Leadership is excited to have you on board and is pleased to present you with your FY17 Sales Incentive Plan, which is comprised of this document and the Plan Rules (the “Plan”). This is an exciting time to be at SurveyMonkey as we accelerate growth through building relationships with new and existing partners.

Our FY17 plan goals include the following:

 

a) align to company sales strategy and compensation philosophy

 

b) reflect company revenue and profitability goals

 

c) compensate individuals for their contribution to the business

 

d) be market competitive and pay for performance to attract and retain high caliber sales talent

This document must be read together with the Plan Rules. If there is any inconsistency between this document and the Plan Rules, this document will prevail to the extent of any inconsistency.

Plan Components

Your On Target Earnings (“OTE”) is comprised of:

 

    Base Salary

 

    Commission-based Target Incentive (“TI”)

Table 1: Plan Components

 

Performance Measure

  

Mechanic

  

Performance

Period

  

Payout

Frequency

Corporate Sales New Bookings (80%)

  

Commission Formula

  

Annual

  

Monthly

SurveyMonkey New Bookings (20%)

  

Commission Formula

  

Annual

  

Monthly

 

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CONFIDENTIAL

Plan Measure Details

A Transaction is “Booked” when it fulfills all of the following criteria:

 

  1) the Terms & Conditions of the transaction have been approved by the Company’s legal department

 

  2) the Company’s Finance department has approved the transaction; and

 

  3) the Company has received a copy of the fully executed sales agreement.

Please see the Plan Rules for the terms governing definitions, crediting, splits, un-earnable commissions (de-bookings), reassignments, and new-hire practices.

Your commission payout is calculated by multiplying three things: 1) Percentage Attainment, 2) Accelerator Rate at that Percentage Attainment, and 3) Target Incentive (TI). The rate depends on level of total attainment. For attainment from 0-100% of Quota, the accelerator rate is 1.0x. For all attainment above 100%, the accelerator rate is 1.5x. Please see below for an example payout.

Table 2 below provides the commission rates for each tier.

Table 2: Measure Commission Rate Table

 

Quota

Attainment

  

Target Incentive

  

Accelerator Rate

0%    100%    1x
>100%       1.5x

Monthly Payout Calculation Example

Example: $25M Annual Quota with $100K Annual Target Incentive and 80% measure weighting. Booked $2.5M in September

Calculation Example:

Step 1. Calculate your weighted incentive.

$100,000 Annual Incentive x 80% Measure Weighting = $80,000

Step 2. Calculate your commission payout in each tier of attainment based on your accelerator rates, then sum for total commission payout.

 

Bookings

          %QA            Rate             Target
Incentive
            Commission
Earned in
September
 

2.5M

     =        10     x        1x        x      $ 80,000        =      $ 8,000.00  

2.5M

        10                  $ 8,000.00  

 

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CONFIDENTIAL

Sales Executive

Employee Information and Total Pay Details

 

Employee Name

   John Schoenstein    Period      Annual  

Role Title

  

Sales Executive

  

Base Salary

   $ 300,000  

Business Title

  

CSO

  

Target Incentive

   $ 300,000  

Office

  

San Mateo

  

On Target Earnings

   $ 600,000  

Effective Date

  

September 1, 2017

  

Target Pay Mix

     50/50  

Ramp Period (if any)

  

4 Months

     

Payments under the Plan may be subject to limitations, deductions, and withholding taxes.

Guarantee

During a guarantee period, you will be paid the greater of 1) guarantee amount or 2) Commissions earned.

 

Guarantee Schedule

September

  

October

  

November

  

December

100%    100%    100%    100%
$25,000    $25,000    $25,000    $25,000

Quota Details

 

Measure

   Quarter    Quota  
   Q1    $ 6,644,421  
   Q2    $ 7,273,198  

Corporate Sales New Bookings

   Q3    $ 9,235,634  
   Q4    $ 10,969,146  
   TOTAL    $ 34,122,401  
   Q1    $ 49,494,863  
   Q2    $ 51,080,478  

SurveyMonkey New Bookings

   Q3    $ 53,262,012  
   Q4    $ 55,337,006  
   TOTAL    $ 209,174,359  

Commission Rate Details

 

Quota Attainment

  

Target Incentive

  

Accelerator Rate

0%    100%    1x
>100%       1.5x

 

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CONFIDENTIAL

Approval / Acceptance

The Plan is effective on September 1, 2017 and, subject to the Plan Rules, will replace, cancel and supersede any and all prior compensation plans or arrangements in effect.

Your participation in the Plan does not give you any right to continued employment with SurveyMonkey.

The Plan, including target incentive amounts and quotas, may be varied, amended, withdrawn or cancelled at any time in the absolute discretion of SurveyMonkey upon written notice to you from SurveyMonkey. However, no Plan Amendments to this Plan will have a retroactive effect on any Closed Transactions and such Transactions shall be subject to the terms and conditions in effect at the time the Booked Transaction converted to a Closed Transaction.

By signing below, you acknowledge and agree that:

 

    you have read and understood the Plan, and accept and agree to be bound by its terms;

 

    any future commissions advanced under the Plan will be reduced by the pre-paid amount of any prior un-earnable commissions. If your employment with the Company is terminated for any reason before the un-earnable amount has been fully repaid to the Company, then you will be responsible for the repayment of any outstanding amount; and

 

    you have had the opportunity to confer with an independent legal advisor in advance of signing below, and have either obtained such advice or declined to do so.

Acknowledged & Agreed:

 

   Name    Signature    Date (m/d/y)
CEO    Zander Lurie   

/s/ Zander Lurie

   September 12, 2017
   Name    Signature    Date (m/d/y)
CSO    John Schoenstein   

/s/ John Schoenstein

   September 13, 2017
   Name    Signature    Date (m/d/y)
Controller    Dharti Patel   

/s/ Dharti Patel

   September 14, 2017

 

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