International Payroll Solutions
International payroll solutions for your business
Businesses that have a variety of payment requirements, including international payroll, should implement a comprehensive currency strategy that takes all eventualities into account. Those that overlook this vital process, won’t have the flexibility to capitalise on favourable market movements while at the same time hedging against potential financial losses to create the perfect international payroll solutions for their business.
What a comprehensive currency strategy looks like for international payments and payroll
Currency markets are unpredictable at the best of times, meaning they could move for or against a business. Our corporate international payment specialists can help our clients to incorporate a range of relevant FX tools into their currency strategy, allowing them to make the most of the potential scenarios by saving time and money.
HOW WE HELPED A UK MANUFACTURER TO PLAN FOR ALL EVENTUALITIES WHEN EXECUTING THEIR INTERNATIONAL PAYROLL
A UK clothing manufacturer has several international payment requirements each month: paying European suppliers and paying their staff based in their Amsterdam office. The client is conscious that its current currency strategy is reactive, so wants to obtain the most favourable exchange rate but is also concerned about losses.
Having taken the time to understand the client’s commercial context and risk appetite, we established a proactive approach for their currency risk exposure using a combination of Forward Contracts and market orders: a portion of their supplier invoice was placed on a forward contract, a portion on a Stop-Loss and the remaining amount was placed on the open market using a limit order. A forward contract was also used to guarantee the cost of paying their international payroll commitments each month, by securing a favourable rate.
If the market moves in the client’s favour, they can still benefit from the improved rates. That’s because only a portion of their payment’s booked on a fixed rate via a forward contract, and with the rate heading in the right direction, the stop loss won’t be activated. This leaves a significant portion of their funds to transfer at the improved rate.
If the market takes a turn for the worse, a portion of the client’s funds has already been hedged by the forward contract and stop-loss order. This means they won’t be booking all their international payment using a spot contract.
get started or find out more
RationalFX have helped over 5,000 businesses to manage their international payments and mitigate their currency risk exposure. We ensure your funds arrive where they need to be on time whilst maximising profitability.
Interested in working with us? Speak to one of our corporate currency specialists on +44 (0) 20 7220 8182, open an account or request a quote and one of our team will be in contact with you shortly.
International Payroll Solutions
Download our Payroll Solutions guide and discover ways to save time and money when making multiple payments.
Please fill in the form below to receive your free guide.
Daily currency market updates straight to your inbox.Never miss out on the latest foreign exchange news again with our daily currency updates.You might not be able to predict the outcome of the events that impact the value of currencies or exactly how much it will shift in value, but you can keep abreast of its daily performance.
We can provide your business with a convenient daily currency update that goes straight to your inbox each morning. These updates help provide an insight into the key events that have shaped the currency market.
By receiving these emails you will not only save your business valuable time, you can easily keep track of the currency market.
Sign up for our daily updates: