Travel Cost Sinkhole

You won the contract, and it looks great… until you realize travel costs are going to eat you alive. It really hurts if you’re a small business, and it’s worse when times are hard and margins are thin.

So don’t let it happen to you. Make sure you and your client agree beforehand, formally, about such details as:

  • Will travel expenses be direct billed to the client, or must you submit them on invoices for later reimbursement by your client? Direct billing to the client is great for you. It nearly eliminates your financial risk on travel costs because you have hardly any travel cost to absorb for a billing cycle. Smart clients make it work to their benefit, too. I have seen a client do it to maximize their discounts as a high volume source of travel business.
  • What counts as travel time? Will it be billed only as actual time at a client site, or portal-to-portal? “Portal-to-portal” means billing begins when the worker departs to go to a client site and ends when the worker returns.
  • Is time spent traveling billable at the regular rate or a reduced rate? Is it subject to a daily ceiling?
  • Will you drive your own car, how will the cost of using your car be reimbursed? Or must you drive a rental car? In either case, is any special insurance required, and if so who pays for it?
  • Will you make your own travel arrangements, or does the client want you to use their favorite agency and discount programs?
  • Will air travel be first class, business class or coach? Does this apply to long international flights too? Does it apply to train travel? If your client demands that you use discount tickets, who picks up extra costs for any necessary changes that cause financial penalties?
  • Will lodging and meal expenses be on a reimbursement basis, or a per diem basis? Per diem is easier in terms of paperwork, but may not be feasible in some countries.
  • Who pays and arranges for special requirements such as visas, vaccinations, traveler’s medical kit, and insurance that is valid in a foreign country? One company sent a consultant and his family abroad for a six month assignment. He assumed his client was arranging visas. The client didn’t. His entire family found itself in Immigration Hell. Remarks: Health insurance is not the only kind to consider. For example, in some regions, kidnap insurance is recommended.
  • For foreign travel, must you hold reimbursement requests until a credit card bill arrives, or is a standard formula used to estimate reimbursement based on currency conversion from receipts? If the latter, which currency exchange rate table will be applied? Remarks: For a fixed price contract, either stipulate that the price is in the currency you prefer, or make provisions to cope with a rapid fall in the exchange rate for your currency. One of my clients recently paid another vendor about 28% extra for a fixed price job because this was missing from their contract.
  • Can the client terminate your contract while you are in the middle of travel to perform it? If so, who is responsible for your travel costs to return home? While abroad on business, my login accounts for that contract suddenly terminated. I belatedly realized nothing in my contract would make the client pay my way home if my contract was severed in mid-trip. Fortunately, a manager had only forgotten to file a routine renewal form.

Spell out the details up front to save your profit margin–and as a bonus, your relationship with the client will be smoother because you have done away with a potential source of friction.

The Most Remarkable Highlights of Peru

This was where the famous Inca Empire once flourished which was established as early as the 15th century AD. This is why Peru enjoys hosting some of the most amazing monuments.

The Spanish forces took control of this region during the 16th century. After the independence of the country in 1821, it witnessed a state of disturbances until it reached the country we view today. We will be highlighting some of the most interesting destinations never to be missed by travelers who tour Peru.

The City of Lima

Lima is the capital of Peru, the largest city of the nation, and the cultural, industrial, and commercial hub. With a population of 9 million inhabitants, it is the fifth largest city in Southern America. Several travelers who spend their vacation in Peru enjoy a couple of days in Lima.

Nicknamed as the city of the kings, Lima was established in 1535. The city hosts a number of interesting monuments. This is in addition to its fine cuisine offering wonderful tasty traditional dishes. Lima is also famous for its exotic nightlife with many cultural events, exhibitions, and concerts held in the city. A visit to Lima is a must for any tourists who travel to Peru.

The Sacred Valley

Situated in the heart of the former Inca Empire, the Scared Valley is located near the city of Cuzco today. During the period of the Inca, the inhabitants of the valley dig many basins for the steaming of salt, to obtain fresh water through a rather primitive yet brilliant process. This was the main reason why travelers who tour Peru still view these large square shaped basins that were established thousands of years ago. The valley also hosts some of the ruins and antiquities left by the Inca Empire.

The City of Cusco

Cusco was once the most important centers of Peru. This was where the Inca Empire priests worshiped the sun and left many impressive monuments that amaze traveler coming from all over the world to spend a holiday in Peru.

The Spanish occupied the city in 1533 and Francisco Pizarro González, the famous Spanish army leader and conquer officially established the city in the middle of the 16th century. The Spanish was clever to found a new city on the ruins of the great buildings of the Inca Empire. Today the city welcomes hundreds of tourists who travel to Peru as it is considered among the most remarkable touristic destinations in the country.

The ancient town of Chan Chan

Built out of limestone, Chan Chan was the largest and most impressive towns of Latin America, before Columbus discovered the continent. The city is now full of tourists who enjoy their holidays in Peru for hosting a large number of quite remarkable monuments. Established in 850 AD, the Inca took control of town for more than 500 years and they added their contributions to the constructions of the city as well.

The city of Mancora

Located at the Northern shores of the country, Mancora is featured with some of the finest beaches and resorts situated over the Pacific Ocean. This is the reason why it grabs the attention of many travelers who tour Peru. The city is also famous for having a wonderful nightlife with many discos and nightclubs all over the city.

Travel to Learn

Many would love to believe that one of the purposes of living is Travel, exploring new lands, expiring different cultures, listening to different music and tasting different cuisines. Our planet has so many beautiful places which is probably God’s gift to Mankind. The incredible and magnificent natural beauty of mountain ranges, lakes, waterfalls, and forests are unbelievable. Even the man made structures built by human being throughout ancient times are remarkable. The efforts that human being is putting towards preserving these monuments as well as preserving nature are also truly remarkable.

When you see all the beauty that surrounds you when you go to visit a place it leaves a lasting impression on minds, it opens new doors and new dimensions to people. Traveling also makes it possible for us to meet different people, see different sights and do different things. The most important part is not what we see but what we learn from visiting these places. Although the whole human kind is kind of similar with the same need and desires, there are small things which are different form one community to other. While traveling we meet new people of different communities and learn form them. Traveling to new cultures and interacting with strangers teaches one as much about oneself as it does about other people. The challenge of new experiences will push one’s personal barriers back.

Coping with situations that have not been previously encountered can show you that you are capable of achieving, or succeeding at so much more than you had thought. Learning about different cultures can teach you things about your own culture – things you had erstwhile neither appreciated nor understood. Spending time with friends from another culture will challenge stereotypes that may be held by both parties. Some of the greatest joys of travel are gleaned from knowing that your preconceptions were wrong. Some travel to escape, others to explore. While traveling you may feel that you are just an onlooker or alternately when you visit a new place you learn the vagaries of their life and culture. Traveling gives you an opportunity to experience different foods, arts and language and helps bring you so much closer to people.

To make the most of you travels and to learn the most one should plan to travel to different places in the world. One shouldn’t just travel to the nearby beach or the neighboring hill resort or just one or two favorite destinations of yours. There are many countries in Europe which are rich in cultural history and have beautiful scenery and relaxing activities. Places like Greece and Rome, Berlin and Munich and the picturesque villages of Black Forest prompt travelers to come to these places again and again. Winter sports enthusiasts find snow covered mountains of Austria and France enthralling enough to show off their skiing and snowboarding skills. Asia and Africa with their vast natural sceneries and historical and cultural heritages have made their tourist sites attractive to woo international visitors. The top animal reserves of Africa are found nowhere else. So you have bag full of options to spend your vacations at some of the stunning locations of Asia, Africa and Europe.