The import-export industry is sometimes very tricky, even for experienced importers and exporters and losing money is never off the cards. One of the major risks associated with trading internationally is losing money because of the volatile exchange rate. If one buys a product to export from one country to another, there is always the risk that one of the currencies’ value might change drastically. Of course, this can be a good thing for the exporter but, if the change in currency isn’t in his or her favour, this can result in losing money – ultimately, a massive profit loss.
Importers and exporters need to guard themselves against this kind of loss but, luckily, these days there are a number of ways that they can do this. Possibly the most important tip that we, here at ForexPeople, can give you is to work with an institution that specialises in Forex. If you’re an owner of a small or medium business, you will definitely need help in this regard because it will be incredibly difficult to deal with all things Forex-related by yourself. We certainly recommend getting advice from an online Forex specialist like ForexPeople.
When dealing with the global market, it is so important to pay attention to the ever-changing exchange rates. If you transfer Forex at the wrong time, it can truly result in damaging losses for your SME. Unfortunely, no one can tell you when it’s the right time to buy/sell Forex. Which is why it helps to talk to a specialist to help reduce your currency exposure through innovative hedging strategies. We understand that running and owning a business is a lot to handle without the added pressure of watching the exchange rate but, luckily for you, we can do this for you while you focus on managing your businesss.
Another important tip that we can give you is to try to work with lump sum amounts when dealing with international clients. This is because the smaller your amount is on an invoice, the more money you will lose on transfer fees and exchange rates. Each time you transfer a small amount, you will have to pay a transfer fee—it’s better to pay a transfer fee once on a bigger amount than each time you transfer a small amount. It’s also very important to always charge your international clients in their own currency and not Rand—it’s unprofessional to leave the Forex negotiations up to your clients because it is a hassle for them, and the inconvenience will definitely put them off buying your products.
Remember, banks are not specialists in Forex transfers so usually their advice and their help is limited. It’s best to seek advice from people who know the industry and who have actually specialised in Forex because they have years of experience and remarkable insight into the industry. ForexPeople offers exceptional expert advice on all things ‘Forex’, and we keep an eye on the exchange rate so that you don’t have to. We make sure that you only receive the best exchange rates on offer so that you don’t lose any money during your Forex transfers. We are committed to providing our clients with a unique Forex service that saves them time and money and which allows them to take advantage of our expert knowledge of the Forex industry. ForexPeople prides itself on transparency so why not contact us today? For more information please visit our site here.