Why Inexpensive Supplier Payments Are Important?
If you’ve ever been wondering what is the best way to make overseas supplier payments, then please keep reading on.
The digital economy is connecting businesses around the globe thus the need to make cross-border payments when paying overseas suppliers is increasing.
Paying overseas suppliers in foreign currencies can be expensive and confusing at the same time. Thus choosing a good payments provider is crucial and can make difference in avoiding expensive transactions of bad FX rates.
Automate Supplier Payments And Improve Business Cash Flow
A good supplier payments provider can also help to improve business cash flows. This is achieved using a certain automation tools that payment provider have.
For example, automating supplier payments and doing them in bulk. In other words, it is called mass-payments.
It is possible to not only make supplier payments in bulk but also to set the payments platform to make those payments on a certain days of the month or in the future.
Everyone knows that delaying supplier payments can improve business cash flow but why bother doing it manually? Besides the mass pay out solution, the integration with the supplier payment provider via API can completely automate this process.
How To Pay Overseas Suppliers Inexpensively?
As technology and open banking is pushing payment costs down and opening new payment routes on a global scale, moving from a traditional bank to a digital bank or payments specialist is becoming the best option for SME’s.
But finding a good digital bank or payments specialist isn’t easy. We talked about how to choose the best provider and explained what is important to look at. That guide should ultimately help readers to make a good selection.
But finding a good provider and inexpensive one is a true fortune. IFX Payments should be your choice for your overseas supplier payments and foreign exchange matters.
IFX Payments is a payments specialist that is helping businesses with supplier payments since 2004. Company is equipped with a wide correspondent banking network, fast execution, good pricing and also funds safeguarding at Barclays Bank.
The full IFX Payments offering is as follows:
- Single IBAN for all payments and foreign exchange
- Ability to receive payments in 39 different currencies
- Ability to send payments in 100+ currencies to 120+ countries
- Ability to make mass-payments by integrating via API or uploading an excel spreadsheet
- Access to effective currency hedges
- Process automation via API integration
- Payment control and audit trails
- Streamlined beneficiary management and compliance processes
- Relationship manager ready to help finding best solution and answer questions
Foreign Exchange And Supplier Payments
Easiest and most straight forward way is to hedge all FX exposures. With a right strategy in place SMEs can avoid losses arising from the fluctuations in foreign exchange market.
There are plenty of hedging strategies out there, we have already written about some of them here.
Nevertheless, it is recommended to speak with a foreign exchange specialist that is able to understand and advise on each different situation.
Such specialist will be able to select a cost-effective solution which will keep business profit margins safe. FX specialist will also help to establish clear risk management goals and guidelines.
You can also speak with IFX Payments FX specialists to prepare a tailored foreign exchange risk management strategy for your business.
All in all, the global digital economy is connecting businesses cross-border. Paying overseas suppliers is becoming a new norm and it is important to get prepared and save money on costs. We hope that this guide will help you to navigate the supplier payments and make improvements.