Getting the best exchange rate on your overseas payments can affect margins on your income by
several percentage points
.
According to the CSO, in 2012 Ireland exported over €15bn to the UK and imported over €16bn. And US exports totalled just over €18bn. Whilst exports to the EU exceeded both, the single currency has removed the worry of currency market movements affecting trade to much of the continent. This means that by far the most important exchange rate pairings to watch are EUR/USD and EUR/GBP.
Last year the euro fluctuated between highs of £0.88 and lows of £0.82 against the pound, and between $1.28 and $1.38 against the dollar. Depending on the timing of your international payments, these shifts in exchange rates could have left you better or worse off to a margin of 7.3% on the value of your imports/exports to the UK or 7.8% to the US. This could be a difference of hundreds, or thousands that your business can lose or gain on the currency markets.
To help businesses better handle market movements, The Irish Times has partnered with exchange experts Moneycorp to create The Irish Times International Money Transfer Service. With exchange rates that are up to 2% better than those offered by a high street bank and a team of expert dealers ready to help clients make the most of exchange rate fluctuations, your business could make big savings.
Moneycorp has been helping businesses navigate the currency markets for over 30 years and has a proven track record of saving money for companies of any size. Every client is assigned their own personal, professional currency dealer who will get to understand their business's foreign exchange requirements and suggest the best way to maximise the value of their international payments.
Your dealer might suggest you fix your exchange rate for a future transfer, which you can do with a "forward contract". This locks your transfer at a favourable rate for as long as two years, regardless of rate movements on the market. This makes it easy to plan as your costs and income will be consistent and unaffected by foreign exchange market fluctuations.
Or, they could recommend a "market order", where you can target a rate you hope to achieve, and your transfer will be automatically made when the market reaches your desired rate. This can help you make the most out of favourable movements on the currency market.
Whether your business is importing or exporting, The Irish Times International Money Transfer Service, provided by Moneycorp, can help. The expertise on offer and dedicated customer service makes foreign exchange simple. You can also enjoy convenient 24/7 access to managing your international money transfers online, with Moneycorp's easy to use online accounts.
If you think your international payments could benefit from some expert help get in touch with Moneycorp today.