Currency Exchange Tips for SME Owners & Directors

The list of opportunities and threats related to transacting in foreign currencies is vast, but I’ll keep this article brief and focus on the most salient points and actions that you can take this month to markedly improve your currency operations.

These checks and steps could well make a huge difference to your business, and they’re easy to follow and simple to implement so, let’s get into it…

Make your life easier

You should have a secure online payments, trading, and cash management platform
Your currency accounts should connect to Xero to save admin and cut errors
Stop paying transfer fees and having to reconcile an additional line in your accounts

Keep your money safe

You should have currency accounts in your company’s name, not your broker’s
These accounts should be segregated and safeguarded – get clarity on this
Delegate tasks to your staff, but control their permissions and access

Steer clear of cowboys

Ask for fully transparent FX pricing, get it benchmarked, and have it reviewed periodically
Don’t feel pressured to trade – is your broker on your side, or do they just want a trade?
Check the credentials, professional experience, and expertise of your broker – get references

Control your costs

Check your exchange rates to make sure you’re not being ripped off
My Currency Cost compares historical spot transactions for free
FX mark-ups of 1% or more are considered poor – you should get a better deal
If you pay transfer fees, account fees, or receiving fees, look for a better deal

Master the market

Stop trying to predict future rates or listening to brokers on the direction of rates
Have a currency plan – something simple, that you can stick to. Aim for 10-15 mins a month
Utilise FX orders to target favourable exchange rates – a specialist can guide you on this

Where to turn for help?

It’s not that difficult to quickly put in steps to solve your currency problems. Get this ticked off your list, know you’ve made a sensible decision, and get on with the rest of your business activities.

As a Gravitate client, you’re more than welcome to write to me or pick up the phone for an impartial and expert review of your current arrangements. Of course, we would provide you with a solution to all of the above points so, use us – that’s why we’re here and that’s why Gravitate trusts us.

You can arrange a call with me, or a member of our team, to take the first step in understanding your currency situation and the impact of any improvements we can suggest.

‍

Write to: info@okumarkets.com

Call us on: 0203 838 0250

Read more: https://okumarkets.com

‍