Sales management · Sales expenses
Decide whether to buy, lease or pay per kilometre, then fix a rate you can defend.
A sales vehicle policy decides whether reps ride company vehicles or their own, and what you pay for each kilometre. This page compares four options on annual cost per rep, shows how to build a per-km rate from running costs, and sets up a logbook to check claims.
Scope, fee, reporting and term are agreed in writing after we have read your brief and spoken to you.
In one paragraph
A sales vehicle policy decides whether reps ride company vehicles or their own, and what you pay for each kilometre. This page compares four options on annual cost per rep, shows how to build a per-km rate from running costs, and sets up a logbook to check claims.
A tile dealer in Morbi buys five two-wheelers for the field reps after hearing that own-vehicle claims are inflated. A year later three of the bikes sit in the godown with no one to service them, one has been in two accidents, and the owner is paying insurance and repairs on all five. The claims did fall. The total cost did not.
The policy asks two questions. Who owns the vehicle, and how is the rep paid for using it? Four answers are possible: you buy, you lease, you pay a rate per kilometre on the rep's own vehicle, or you pay a flat monthly allowance. The right answer depends on how far each rep rides in a year.
The owner decides, with the sales manager supplying kilometres and accounts supplying costs. Your CA should check how the reimbursement is treated, and your insurer should confirm cover for business use of a personal vehicle. Rules differ by state and change.
It follows the written expense policy and the reimbursement or allowance decision, and it feeds the field tracking charter, because the logbook and the tracking data check each other.
Where this sits
Topic 8 of 14 in sales management: sales expenses. Policies and controls for the cost of selling.
- The topic before
- Compensation
- The topic after
- Quotas and targets
If you want this done for you
Reps report to someone who is too busy selling to manage them.
The work
What this is actually like.
“Kilometres decide everything”
A rep who rides little costs less on a per-km rate, and one who rides a lot may cost less on a company bike. Without the annual kilometre figure per rep, from claims or a logbook, any comparison is a guess.
“Own-vehicle means your risk too”
If a rep is hurt on a company errand on a personal bike, you will be asked what cover existed. Ask your insurer in writing what applies, and put a line in the policy about licence, helmet and insurance being the rep's duty.
“A rate built from running cost is defensible”
Fuel price divided by the bike's mileage, plus service, tyres and a share of insurance, gives a figure per kilometre you can explain to a rep. A rate copied from another firm cannot be explained when fuel prices move.
“Reps pad kilometres, so give them a reason not to”
A fair rate removes much of the urge. Pair it with an odometer entry at the start and end of each day, and compare a sample against map distance. A rate set too low is what turns honest reps into creative ones.
What we do
What you end up with.
The documents this topic produces, what each one is for, and how you know it is finished.
The four-way cost comparison
For one typical rep, the annual cost of buying (price, resale value, insurance, service, cost of the money tied up), leasing (rental plus fuel), per-km (rate times annual kilometres) and flat allowance. Accounts fills the cost cells, the sales manager supplies kilometres.
Result: Finished when each option has one annual figure per rep and the cheapest is marked.
The rate calculation
A sheet with fuel price, mileage, service and tyre cost per kilometre, insurance and wear per kilometre, adding up to a rate for a two-wheeler and a rate for a car. The date it was last worked out sits at the top.
Result: Finished when accounts can rebuild the rate from current fuel prices in ten minutes.
The logbook
One page per rep per month. Columns: date, start reading, end reading, customer or purpose, town. The rep fills it daily and the sales manager signs it weekly.
Result: Finished when a month's logbook adds up to the kilometres claimed within a small tolerance you have agreed.
The vehicle policy page
The chosen option per role, the rate, the cover required, the rule on accidents and fines, and when the rate is reset. If branding on the vehicle is wanted, say who pays for it.
Result: Finished when a new rep can read one page and know what they will be paid per kilometre.
Why us
Why owners pick GullySales over an agency.
Marketing and sales, as one job
Most agencies stop at the enquiry. We also fix what happens after it: the reply, the follow-up, the quote and the CRM.
The person on the first call does the work
No account managers in between. You are never handed to someone you have not met.
A baseline before anything starts
Your numbers are written down on day one, so every later report compares against something honest.
The fee in writing, split three ways
Our time, your media spend and production on separate lines. You always see what goes to us.
No guarantees we cannot keep
The term is agreed in writing and never a default twelve months. We never promise a ranking or a lead count, because nobody controls those.
One office, and we say so
Nagarbhavi, Bengaluru. We work across India by call and WhatsApp and travel when a session needs to be in person.
#257, 3rd floor, Sri Nanjundeshwara Complex, Nagarbhavi 8th Block, Outer Ring Road. How we work.
Your brief
Tell us what you need, and we will read it before we call.
Eight short steps about your business, what you want and who decides. Most questions are a tap, and you can skip any you would rather answer on the call.
FAQ
Questions owners ask before they call.
Not here? More answers, or ask on WhatsApp.
Is it cheaper to buy bikes for the team?
How often should the per-km rate change?
Can we trust the odometer entries?
Do we need to tell reps if we track the vehicle?
How much does it cost?
How long is the contract?
How soon will we see results?
Who will actually do the work?
What do you need from us?
What if we are not happy with the work?
Where to go next
The work that carries this topic further.
The rest of sales expenses
Or read all of sales management.
Your next practical step
Tell us what you are trying to grow, and we will read it before we call.
Eight short steps, mostly taps. Skip anything you would rather answer on the call.