Smart take pole position for Classic Grand Touring

It may sound like a dream come true – hosting classic car rallies through beautiful landscapes in Europe surrounded by just the thrum of powerful engines and the chatter of fellow car enthusiasts – however without the capacity to make international currency transfers with ease, it could become a logistical nightmare.

This was the conundrum faced by Classic Grand Touring before they discovered Smart Currency Exchange. With over 25 years’ experience in the field between them, father and son team Nick and Thomas Brimblecombe formed Classic Grand Touring to offer bespoke and pre-arranged driving tours to the world’s finest motoring events. Thomas explained what they do: “We specialise in car tours and rallies to historic events– all of which are based in Europe, mostly in France but we go out to Spain, Italy and Portugal as well. The most recent tour we went on was Le Mans Classic. I put together the itinerary to the event, all the routes, the hotels, tickets and hospitality -we take care of everything”.

Prior to being recommended the services of Smart, Classic Grand Touring had enlisted the help of a private bank to make their international currency transfers: “When I look back and compare the service that we received there with how easy things are after signing up with Smart Currency Exchange, things don’t even come close. The rates we were offered before were terrible and an extortionate fee was added on to every single transaction”.

After becoming increasingly exasperated with their bank Thomas decided to act upon a recommendation he had received from a business contact. Thomas contacted Smart and after speaking to Currency Consultant, Bryan O’Connell about the services they could provide, Classic Grand Touring were quick to sign up.

“We’ve been using Smart’s services since around April this year. We signed up just in time, with such a busy schedule and sometimes up to 90 people on our tours it is absolutely essential that we can transfer sterling into euros or Swiss francs and make payments to our suppliers quickly and easily. I’m pleased to say that they service that we have received from day one has been nothing short of exemplary”.

Thomas continued; “It’s the ease of use that really appeals to us. After the initial sign-up we were assigned Siobhain Barry as our personal trader. She is fully aware of how Classic Grand Touring operates and what is important to our business. After a quick call with her, she will let me know the rates and then the transfer is made. It’s the ease of use that is the main appeal to us – the fact that I can be anywhere in the world and the process is still seamless. This is what has led us to recommend Smart to friends, clients and contacts”.

Managing your foreign currency exposure effectively is a vital requirement of any business that deals internationally. For more information, get in touch with the team at SmartCurrency Exchange on 0207 898 0503.

What does sterling’s recent rise spell out for exporters?

As I write, sterling stands at 1.27 against the euro and 1.55 against the USD. Our forecasts for GBP/EUR are 1.27 (3-months) and, again, 1.27 (12 months) while for GBP/USD they are 1.55 (3 months) and 1.54 (12 months). Sterling’s rise against the euro has come on the back unrest and uncertainty in the eurozone. 12 months ago the rate for GBP/EUR was 1.12, and that increase in its value has directly hit margins for exports.

The euro has weakened against sterling and other currencies on the back of grave uncertainty around the economies of some of its key member states. Spain, Ireland, Italy, France and, of course, Greece face significant debt issues.

And yet, while the eurozone has its problems, the UK does too. The UK economy slipped back into recession during 2012. The Bank of England’s monetary policy of quantitative easing and rock bottom interest rates are designed to help kick-start the economy but they also serve the duel purpose of weakening sterling, which helps export markets.

Looking at the bigger picture, one could sum up the exchange rate situation by saying that, while the euro hardly represents a safe haven for investors, neither does sterling. The aforementioned exchange rate predictions are based on current knowledge and that all other things will remain equal.

However - and this is the critical point – if recent months have taught us anything it is to expect the unexpected. There are a number of eminently possible events – one or more countries leaving the eurozone or the markets perhaps setting their sights on the UK’s own debt issues – which would impact dramatically on exchange rates. As many exporters will be aware, sudden shifts in exchange rates can quickly erode the profits on a deal.

Moving forward, I firmly believe an export strategy represents the best bet for businesses in an uncertain world. However, I would urge businesses trading globally to consider using hedging techniques such as forward buying as part of an overall currency strategy. Exchange rate movements will always impact on international trade generally but by planning ahead and giving some thought to currency issues, exporters can ensure that their hard work in securing and executing a foreign contract is not undone by unexpected exchange rate movements.

For further information and your free report visit www.SmartCurrencyBusiness.com or call 0207 898 0500.