ASTA has launched the full version of its Financial Assessment Tool to aide its members in keeping their agencies’ books in order and make the most out of their resources. The tool is split into three smaller sections – a balance sheet, the operating expenses benchmarking tool…
ASTA has launched the full version of its Financial Assessment Tool to aide its members in keeping their agencies’ books in order and make the most out of their resources. The tool is split into three smaller sections – a balance sheet, the operating expenses benchmarking tool and the agent productivity/expectation agent profitability tool – to better target the needs of all agencies.
“The new financial benchmarking tools are an invaluable resource for any size travel agency. The goal is to help agents benchmark themselves against the industry and guide them in how to run their business more efficiently,” said ASTA’s executive vice president and COO, William Maloney, CTC. “Any firm with annual sales greater than $200,000 should be running a balance sheet at least quarterly and this is the right resource for staying on top of the numbers.”
This tool is set up as a spread sheet, requiring agents to fill in sales mix, revenue mix, operating expenses, agent productivity and construct a profit and loss statement. Everything from air commissions, overrides, cruise sales and even GDS incentives on hotels or tour packages is included. Once the numbers are inserted, the tool gives agents an idea of where they stand financially, allowing them to better guide their business and plan for the future.
The balance sheet tool is used to analyze an agency’s current financial health and pinpoint areas where action may be needed. Also available is the operating expenses benchmarking tool, a condensed version of the full financial tool that just covers the benchmarking of operating expenses against another agency’s expenses. Another condensed tool is the agent productivity/expectation agent profitability tool that allows an agency to measure productivity and expected profitability of their agents based on the agency’s revenue and expense.
The mission of the American Society of Travel Agents (ASTA) is to facilitate the business of selling travel through effective representation, shared knowledge and the enhancement of professionalism. ASTA seeks a retail travel marketplace that is profitable and growing and a rewarding field in which to work, invest and do business.
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