Zenefits’ compensation structure created big rewards for sales reps on the enterprise team, who handled the largest customers, despite the reality that, as Zenefits later acknowledged, its software and processes worked better for smaller companies. And as more bodies filled the San Francisco headquarters and a satellite office in Scottsdale, Arizona — with the sales organization growing to around 500 or more, according to estimates by several former employees — reps increasingly failed to hit their monthly quotas.
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