# What Is a VP of Sales? Role, Responsibilities, and When to Hire One

Canonical: https://www.b2blead.io/blog/what-is-a-vp-of-sales
Description: A VP of Sales owns the entire sales function -- strategy, hiring, forecasting, and hitting revenue targets. Learn what VPs of Sales do, how the role differs from CRO and Sales Director, and when to make the hire.
Date: 2026-06-27
ReadTime: 7 min
Tags: Sales Leadership, B2B Sales, Go-to-Market

A VP of Sales (Vice President of Sales) is the senior executive responsible for owning and leading the entire sales organisation -- from strategy and hiring to forecasting, quota-setting, and hitting the company's annual revenue target. In B2B, the VP of Sales is typically the first professional sales leader a company hires as it moves beyond founder-led selling.

## What does a VP of Sales do?

- Own the annual revenue target (ARR or bookings quota)
- Build and lead the sales team: hire, train, and develop managers and individual contributors
- Design the sales process and methodology
- Set individual quotas, territories, and compensation plans
- Drive weekly and monthly pipeline and forecast reviews
- Partner with marketing on pipeline generation and lead quality
- Represent the sales function to the board and investors
- Reduce sales cycle length and improve win rates over time

## VP of Sales vs CRO vs Sales Director

The VP of Sales owns the sales function. The CRO (Chief Revenue Officer) owns all revenue-generating functions: sales, marketing, and customer success. The Sales Director typically reports to the VP of Sales and manages a region or segment. In startups and early-stage companies, the VP of Sales and CRO are often the same person. In mature organisations, the CRO is the VP of Sales's boss.

## VP of Sales vs Head of Sales

These titles are often used interchangeably at early-stage companies, but at later stages they can differ. "Head of Sales" is sometimes used for player-coach roles where the person is both managing a team and carrying their own quota. "VP of Sales" typically signals a pure leadership role without a personal quota. In India, "Head of Sales" is common at Series A/B companies; "VP of Sales" typically appears from Series B onward.

## Key metrics a VP of Sales owns

- ARR or bookings growth vs plan
- Pipeline coverage (target 3-4x quota)
- Win rate by segment, by rep, and against named competitors
- Average sales cycle length
- Sales headcount and rep ramp time
- Quota attainment: percentage of reps at or above 100% of target
- CAC (in partnership with marketing)

## When should a startup hire a VP of Sales?

Most B2B SaaS companies hire their VP of Sales between $1M and $5M ARR, once there is clear product-market fit and a repeatable sales motion that needs to be scaled. Hiring too early (before PMF) is a common and expensive mistake -- a VP of Sales cannot invent demand that does not exist. Signs it is time: the founder is spending 70%+ of their time on sales, and there are more inbound leads than can be handled, or the outbound motion has been proven by at least 2-3 reps.

## VP of Sales compensation in India

At Series A to Series B B2B SaaS companies in India, a VP of Sales typically earns INR 30-60 LPA base with significant equity (0.25-1.5% vesting over 4 years) and an OTE of 1.5-2x base. At larger companies or in revenue roles at global SaaS subsidiaries in India, total compensation can exceed INR 1 crore. Benchmarks vary significantly by stage, company origin (Indian vs US-headquartered), and whether the role is India-only or a global remit.

## Frequently asked questions

**Q: What is a VP of Sales?**
A: A VP of Sales (Vice President of Sales) is the senior executive who owns the sales organisation -- the team, the strategy, the forecast, and the annual revenue target. They are typically the first dedicated sales leader a B2B company hires to professionalise selling beyond founder-led deals.

**Q: What is the difference between a VP of Sales and a CRO?**
A: A VP of Sales owns the sales function. A CRO (Chief Revenue Officer) owns all revenue-generating functions: sales, marketing, and customer success. The CRO is usually the VP of Sales's boss at companies large enough to have both roles. At early-stage companies, the roles are often combined.

**Q: When should a startup hire a VP of Sales?**
A: Most B2B SaaS companies should hire their VP of Sales between $1M and $5M ARR, once there is clear product-market fit and a repeatable (if manual) sales motion to scale. Hiring before PMF is expensive -- a VP of Sales cannot create product-market fit. A common test: can the founder write down the repeatable steps of a deal that closes?

**Q: What does a VP of Sales earn in India?**
A: At Series A-B B2B SaaS companies in India, VP of Sales base salaries range from INR 30-60 LPA with OTE of 1.5-2x base and equity. At US-headquartered company subsidiaries or later-stage companies, total compensation can exceed INR 1 crore. Exact figures depend heavily on stage, ARR, and whether the role has a global or India-only remit.
