The company Trippeo has produced an app that allows companies to book business flights and subsequently charge them to your company. Their app has historically allowed you to track your expenses and easily record them in the right places. Recently, business flights have been added as a feature.
It demonstrates the importance of proper recording methods and taking advantage of all the potential tax breaks available in the form of business expenses.
Why is this Necessary?
Despite the continuing march of the online world, Skype will never replace the feel of a human being sitting in front of a potential prospect discussing business. Trippeo understands the need for businesses to transport their employees directly to boardrooms, rather than simply beaming people in via Skype or cell phone.
The experts say that a 5% improvement in customer retention rates can increase profits by up to 100%. Loyal customers tend to buy absolutely everything a company produces, so even a slight increase in retention rates can have a huge effect.
Trippeo's app will enable you to get your employees where they need to be with minimal hassle. This reporting app is linked, so what one manager adds to this expenses platform can be seen by another manager. Everyone works on the same company account.
Losing the Money
One of the reasons why you need to take care with large expenses is money can easily go missing. This isn't necessarily done maliciously, but in a company setting where money is flowing in and out each day it's easy to lose track of things.
Companies that regularly book business flights will run into situations where the cost of the flight is recorded incorrectly or simply not reported at all.
Losing the money may not seem like a big deal, but when it adds up to thousands of dollars it can slant your financial position. More to the point, it can lead to legal troubles. Incorrectly reported income, in the eyes of the IRS, may be a predecessor to corporate fraud. Furthermore, this is where the trouble of an audit comes in.
It may seem like a risk to allow the booking of business flights from an app which many employees can access. Nevertheless, there are always controls to ensure that users can only act within the parameters set for them. Everyone must have an online user account.
Managers can set controls relating to cost, location, and time, so nobody will be booking a suspicious trip to Tahiti anytime soon.
Why Booking Business Flights Can Be a Pain
It's important to make your company as efficient as possible. Matters like face-to-face meetings abroad are unnecessary time sinks. This should be something you can organize in a matter of minutes. Instead, you are trying to work out what the best fights are and how to make it as cost-effective as you can.
Here are some of the reasons why you need a better way of streamlining the process:
Trippeo has made it easier with this brand new app. You can address all these main points, and with so many controls you can even allow the employees to book the flights themselves without messing something up.
Bringing Foreign Travel Back into the Fold
Foreign travel by businesses no longer has to be the sanctuary of the rich corporations. This app will seek out the best deals and ensure that foreign travel is a reality once again. But it requires you to setup the app and control the platform from the beginning.
As long as you set strict guidelines on what can and can't be booked, there's no reason why you can't make foreign travel a big part of your business.
The Financial Side
The only thing you have to remember is how to report business flight expenses at the end of the financial year. Make sure you empty the app and record everything you've spent on foreign travel. You'll be pleasantly surprised at how easy this is and how much you can reduce your tax bill by.
Will your business be indulging in foreign travel this year?