Robust currency strategy a ‘must have’ for businesses wanting to protect their international trade

The Chancellor of the Exchequer, George Osborne has set a target of one trillion – or one thousand billion – for the value of UK exports by 2020. Some might say this is an overly ambitious target, especially as recent figures showed that UK exports actually fell for June amid ongoing global uncertainty.

However, while the Chancellor’s target may well have been set with headline writers in mind, I also happen to think that putting exports at the heart of economic strategy and raising the profile of exporting generally sends out exactly the right signal to UK companies right now. In an era of globalisation, countries that have buoyant exports sectors are better placed to improve living standards as a whole – just ask Germany, the world's third largest exporter with $1.408 trillion exported in 2011.

In many industries in the UK, where local markets are becoming increasingly saturated and demand is – in many cases - contracting, having an international arm is now a necessity.

The only note of caution I would sound with regards to exporting is the issue of foreign exchange. As currencies around the world continue to fluctuate significantly, a robust currency strategy is becoming a ‘must have’ for those of you engaged in international trade. The likes of the Indian rupee, the US dollar, the euro and UK sterling are all seeing ongoing volatility as authorities around the world continue to scratch their heads about the issue of debt. Implementing a currency strategy can negate the currency fluctuation risks for companies engaged in international trade.

At Smart Currency we adopt a range of techniques such as forward contracts and spot contracts to provide stability to UK exporters and importers. We also help exporters to maximise margins by offering significantly better-than-bank currency exchange rates.

Until worrying debt issues in the likes of Greece, Spain and Italy are resolved, we can expect to see more currency swings in the coming months. Whether you import or export, now is the time to hedge your bets by adopting a sensible currency strategy to protect yourself from further market volatility.

For more information on Smart Currency Business call: 0845 638 0571 (or +44 (0)207 898 0541 from outside the UK) or visit our website at: SmartCurrencyBusiness.com

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.