Brexit remains one of the top stress-inducing issues for UK businesses, and according to the government, it will hurt the country’s economy no matter what. Therefore, it’s not a surprise that many companies are trying to protect themselves using every available opportunity. However, not everyone knows about corporate FX solutions, which present such an opportunity for every business that deals internationally. Finding the right kind of FX service for you can help your company live through these trying times and prosper despite the economic volatility.
British Businesses Facing Serious Risks
While there are some positive things to be said about Brexit, it’s a fact that separating from the EU will leave a huge negative impact on the UK’s economy. In fact, the impact has already happened with the employment rates dropping, businesses failing, and investors leaving British businesses in droves (VOX).
The main problem with it isn’t Brexit being ‘good’ or ‘bad’. It has both positive and negative sides to it, like every major political and economic change does. However, as it stands today, Brexit breeds uncertainty. As its course has yet to be clearly mapped out, this change doesn’t allow for creating sound predictions. Those are essential for businesses and investors as they rely on this data in order to grow (or choose where to put your money).
Therefore, without a clear Brexit plan, which will explain exact changes that will follow this shift in powers, the business situation in the UK is sure to deteriorate further. Eliminating the uncertainty is what’s needed in order to show the world that the UK is a safe business environment.
However, a regular business owner can do very little (most likely, nothing at all) to influence the resolution of this uncertainty on the state level. Therefore, they are seeking other ways to protect their companies. In particular, one of the largest fears for businesses is the risk related to Sterling. These risks can ruin multiple small businesses extremely fast. Those that deal on the international level are in most danger.
Can Corporate FX Services Keep Your Business Safe Today?
Corporate FX solutions can be a great help to many UK businesses in the volatile situation of today. They exist in order to make international payments cheap and efficient, and they achieved this goal. However, leading FX services does not only help cut your costs in international money transfers. They also help you by providing guidance on most effective ways to prepare and protect your business from currency exchange rates’ turbulence.
Aside from this, corporate FX solutions also help you:
- Reduce the costs of making and receiving payments from abroad.
- Reducing the risk of foreign currency exposure.
- Forecasting FX exposure.
- Providing a wide range of hedging tools.
Hedging tools are the most important thing for businesses that want to protect themselves during the times of economic instability. Be those limited orders, forward contracts, or other tools, they give you a chance to somewhat stabilize your position and secure a good FX rate.
Bear in mind that corporate FX solutions today are varied. Therefore, you should research every option in detail when looking for the right fit for you. Turn to the FX services list by MoneyTransferComparison, which will provide you with independent reviews and comparisons of top payment solutions your business can use. Remember to look not only at a professional review but also opinions from users posted on popular consumer forums, like Yelp!
Private testimonials aren’t 100% reliable, so take them with a grain of salt. If you have some important questions about the solution, better contact the customer support service and get all answers right away.
What’s the Best Corporate FX Solution for Your Business?
There is no ultimate ‘the best’ corporate FX solution as each option has its unique advantages and disadvantages. Therefore, you should look at them closely and consider what will be the most beneficial option to you considering which country you plan on doing business with. For example, World First supports 121 currencies and has offices in multiple countries. Therefore, it’s a good choice for those who seek to go global faster.
On the other hand, torFX supports 59 currencies and only has two offices. However, it has a great online platform and a very high approval rating from consumer forums. Therefore, this solution is good for companies that only have to receive or send payments to several developed countries. It’s also a good choice when you value convenience of using the service and its hedging tools.
When choosing a corporate FX solution, you should consider its integration with your current payment-management software. You also should research the reputation of the FX broker you consider using. Remember that you will be relying on internet communications for these payments. Therefore, you should be sure that the solution is as secure as it’s possible to make it.
Bank transfers are definitely secure, but they are also expensive. Therefore, corporate FX tools are the best substitute for traditional bank operations. Their online platforms also allow you to watch the currency exchange rates shifts and other pertinent data which you can use to build a most effective strategy for your business.
Conclusion: Should You Start Using Corporate FX Solutions?
You definitely should use one of the many FX services, so long as it meets your business’s needs. Not only will this help you to get some much-needed stability in the volatile situation triggered by Brexit. You will also get a chance to expand your own business and take it beyond the UK. The current situation works in both ways, meaning it both destabilizes the UK economy and opens doors for you to start doing business outside of the UK. In fact, according to reports, hundreds of British investors seem to think the same as they are currently pouring billions into a variety of businesses that all have one thing in common. They are not in Britain.
To benefit fully from a corporate FX solution, you should compare them carefully. Choose the tool developed specifically for businesses as it will be easier to use. You might even be able to integrate it into your other business solutions.