Many Canadian businesses are looking further afield and sourcing products from overseas suppliers. How can they reduce costs when making international payments?
The global marketplace is rapidly expanding, and innovative Canadian businesses are carving out a piece of the pie for themselves. If your business already has suppliers based overseas, it’s high time you considered the cost of doing business internationally and what you can do to save more money.
When you begin sending money transfers to your overseas suppliers, banks might seem like the most convenient option. Yet, there are better opportunities to tap into more flexible and cost-effective business money exchange services. So, if you’re looking to pay overseas suppliers on the regular, here’s what you need to know.
Sending money overseas to suppliers can be convenient and fast with minimal impact on the value of your international transfer — but only if you choose the right provider. Thus, the question is, “Should you use your bank to pay your across-the-border suppliers?” Here’s a checklist that shows why banks are not the ideal candidate.
It may be necessary to consider various currency pairs when your suppliers are scattered across the globe. For example, let’s say you have an upcoming payment due to a European supplier. You need to carefully consider the Canadian dollar to euro exchange rate before you transfer money to a foreign bank account. With a US supplier, the USD/CAD comes into play.
To avoid this, you need to ask the right questions, including the following:
Being smart about exchange rates and using the right foreign exchange tools can potentially save you thousands of dollars and boost your bottom line by more than a blip.
Data credits tradingeconomics
Canadian businesses have a whole host of options to choose from when sourcing products from overseas suppliers. Canada’s top imports include:
These imports all run into the billions of dollars. Canada’s trading partners by imports for 2021 include the following from top to bottom:
There are several benefits to Canadian businesses of sourcing products from international brands. The list includes improved innovation, a sharper competitive edge, and a better cost-quality balance.
Prioritizing competitive exchange rates and low fees when paying suppliers can enhance these benefits.
Make sure you have the following information on hand when sending money to pay for overseas suppliers:
Yes. The first step is registering an MTFX business account in under a few minutes. With your account, you can easily automate your payment and send transfers in 50+ different currencies to 200+ different countries. MTFX’s 24/7 online platform offers industry-leading automation technologies that eliminate manual errors while improving the efficiency and security of your transfers.
MTFX offers several benefits for your business:
These are all the reasons you need to register your MTFX business account today. Start saving money with your first transfer, today.
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