How to write a business travel policy

A travel policy is the company's rules for work trips: what people can book, who approves it, and how the cost is recorded. Without one, every trip is a new conversation, and finance only sees the cost once it's booked.

A good policy is short enough that people read it, and specific enough that a booking can be checked against it. "Book sensibly" can't be checked. "Economy on flights under six hours" can.

• Cabin class, by flight length: for example, economy on short flights, and a higher cabin above a set number of hours.
• A hotel limit, by city. One nightly limit for every city is too tight in expensive cities and too loose in cheap ones.
• A fare limit, by route, for the routes you fly often.
• Allowed airlines, if the company prefers some carriers or avoids others.
• How many days ahead to book. A minimum gives travellers a clear deadline and gives approvers time to reply.

These are the five rules Explura checks every trip against, before anyone books.

Most companies don't want the same rules for an intern and a director. Decide which rules change by level, often the cabin and the hotel limit, and keep the rest the same for everyone, so the policy stays easy to read.

Write the levels down by name (intern, staff, manager, director) rather than by salary band, so anyone can tell which rules apply to them.

• In a small company, one approver is enough: usually a founder or the finance lead.
• As the company grows, give each department its own approver, so requests go to someone who knows why the trip matters.
• Name who covers while an approver is away, so trips aren't held up by a holiday.
• Decide what happens to a trip outside the rules: either it can't be booked, or it needs a reason and an approval before booking.

The important word is before. An approval after the booking is a record, not a decision.

Every trip should carry its reason, the cost centre it's charged to, a PO number if your finance team uses them, and who approved it. Collect these when the trip is booked, not at month end, and finance can see where travel spend went by department, destination and person.

• Who travellers call in an emergency, at any hour, and the number to call.
• How the company knows who is travelling, where, and how to reach them.
• Who handles changes and cancellations, and who pays any change fees.

Replace everything in square brackets. Delete any line that doesn't apply to you.

• Scope: this policy covers everyone travelling for [Company] at the company's expense.
• Booking: book all flights and hotels through [tool or person], at least [number] days before departure.
• Flights: economy on flights under [number] hours. [Cabin] on flights of [number] hours or more, for [levels].
• Fare limits: [route]: up to [amount]. [Route]: up to [amount].
• Airlines: book [allowed airlines] where they fly the route.
• Hotels: up to [amount] a night in [city], and up to [amount] a night elsewhere.
• Approval: [approver] approves every trip before it's booked. While they're away, [cover] approves.
• Outside policy: a trip outside these rules needs a reason, and [approver]'s approval before booking.
• Records: every trip records its reason, cost centre, [PO number] and approver.
• Emergencies: call [number], 24 hours a day.
• Changes: [who] handles changes and cancellations. Change fees are paid by [the company / the traveller's department].

A policy works when it's checked before the booking, not after. With Explura, you set the five rules once and every trip is checked against them before anyone books; the right person approves; and every trip carries its reason, cost centre, PO number and approver. A contact centre answers emergencies 24/7.