Starting out in the beer industry, it might have been just you and your brewer, meeting distributors and accounts. However, as your brewery expands, bringing on sales reps and attending more events, implementing a well-structured sales expense policy becomes essential. This policy not only guides and informs your team but also safeguards your company’s financial health. In this BrewOptix blog post, we’ll explore the different components of an ideal sales expense policy, why they’re necessary, and how software tools like Abacus and Mile IQ can help streamline expense management.
Sections of an Ideal Sales Expense Policy:
Your sales policy should cover fuel expenses for your sales staff. This is crucial as they traverse different locations to promote your brewery’s products.
2. Meals and Entertainment:
Define guidelines for meal and entertainment expenses. Offer your employees a reasonable allowance to cover costs associated with client meetings and networking.
3. Promotional Events:
Allocate funds for promotional events like pint nights, tap takeovers, and tastings. Specify limits and approval processes for expenses exceeding a certain amount.
4. Promotional Meetings and Meals:
Outline expenses associated with meetings with distributor personnel, buying accounts, and potential clients. This could include meals, coffee meetings, or even buying rounds of beer at a potential account.
5. Taxis, Uber, and Transportation:
Clearly state your policy on transportation expenses. Encourage the use of taxis or Uber if employees are over the legal alcohol limit. Prioritize safety and responsible choices.
6. Parking and Tolls:
Include parking and toll expenses related to sales calls or events. This ensures that your employees are not burdened with such costs.
7. Airline, Hotel, and Rental Cars:
Cover expenses for business travel, including airline tickets, hotel stays, and rental cars. Set guidelines for the class of travel and types of cars allowed.
Promoting Responsible Alcohol Consumption:
At your brewery, it’s essential to create a culture of responsible alcohol consumption, both internally and externally. Encourage employees not to drive if they’re over the legal alcohol limit. Emphasize the importance of their safety and the safety of others. To support this, allocate funds for taxis, Uber, or other transportation alternatives.
Consequences of Expense Policy Violations:
Clearly communicate the consequences of violating the expense policy. Abuse of business expenses, such as falsifying reports or using expenses that don’t meet the policy requirements, can result in disciplinary action, including termination. Emphasize that responsible expense management is a shared responsibility that benefits both the brewery and its employees.
Crafting an ideal sales expense policy is crucial as your brewery grows and expands its sales operations. It not only ensures financial prudence but also fosters a culture of responsibility and accountability within your team. By adhering to these guidelines and leveraging software solutions like Abacus and Mile IQ, you can efficiently manage expenses, allowing your team to focus on promoting your brewery’s outstanding products.