Expanding into international markets is a sign of success for any thriving business, but with global growth comes the risk of foreign exchange fluctuations and hefty cross-border commissions. In this guide we will run through the best 5 specialist FX partners offering great deals on international business transfers.
The term FX partner, or forex partner, is used to describe a company’s affiliation with a third-party trader that specialises in foreign exchange.
An international business transfer is the process of moving money from one account to another account in a different country. Rather than registering as a personal client, companies arranging business transfers would sign up as a corporate client, therefore entering into an FX partnership agreement.
While it is possible to use most business bank accounts to arrange an international money transfer, what quickly becomes clear is that banks tend to apply the largest exchange rate spreads to foreign currency transfers. These hidden bank fees can amount to 4 or 5% above the mid-market rate.Further to this, traditional banks often charge a commission, or transfer fee, which can add anything from 5 – 7% of the total transfer amount. The culmination of these charges are determined by destination country, payment method, currency and transfer amount, but customers arranging international bank transfers are often stung by excessive fees compared to the low-cost services of some money transfer companies.
Protecting your money and ensuring its safe arrival with your recipient tops the list of priorities for any international transfer, but when it comes to business transactions, the stakes may be slightly higher. While we encourage all users to do their research ahead of locking in any kind of payment, albeit personal or business, the following factors should always be considered before making an international business transfer.
In order to properly protect your funds, make sure the money transfer provider you are using is fully regulated with the relevant financial authorities and implements some sort of secure data encryption methods. Additionally, it is worth reviewing the security protocols in place for both sender and receiver; whether that is two-factor authentication, PIN codes, Touch or Face ID or digital ID-verification. Customer reviews can provide useful insight into the security practices of any company and can verify whether high standards are upheld.
As mentioned above, the cost of international transfers are typically determined by the service provider based on the destination country, payment method, currency and total amount. Although free money transfers do exist, they are not always designed for recurring or standing order payments, and therefore not the most reliable option for international business transactions. In terms of total cost, the most important thing to note is that almost every provider will charge fees or mark-ups in exchange for their services, but guaranteeing total transparency of those fees upfront is what counts. Each FX partner included in our Top 5 list presents their fees in a transparent manner.
Due to the instant gratification of most online services, it is understandable for customers to expect international money transfers to be instantly processed. However, that is not always the case, and checking the estimated arrival of your cross-border corporate transactions is crucial: especially if you are making a time-sensitive business payment. Just like the cost of your transfer, the destination country, currency, payment method and total amount are all factors that could impact the transfer speed; details such as time and date of sending, company operating hours and public holidays should also be considered.
Customers who are still considering using their bank to send money overseas, might want to read our guide: How to avoid bank charges for international transfers.
When weighing up the pros and cons of a potential FX partner, it is crucial to establish a mutual understanding of business requirements. Some FX partners offer a more personalised, bespoke service to small businesses; while others are better equipped and more experienced in handling the international payments of large conglomerates and vast global networks. The core characteristics of an FX partners’ services will likely be reflected in the cost, security and speed implemented by the company, so understanding the requirements of your international business transfer before agreeing to work with a third-party is vital.
We have picked 5 of the best options, for our users to review:
TorFX is well-equipped to handle international business transfers due to the following available services:
Businesses benefit from partnering with XE for the following reasons:
Currencies Direct has tailored its product offerings to specifically suit the needs of corporate clients, with customised solutions such as:
This popular money transfer company has an excellent reputation and offers the following international business services:
Azimo offers corporate clients access to their vast global money transfer network, giving businesses the freedom to send to 200+ countries around the world. Other valued services include:
It is important for us to only recommend established companies with strong and reliable reputations in the money transfer industry. For this reason, we have carefully hand-picked the top rated service providers we believe would excel in their role as an FX partners for global businesses. From diverse services to cost-effective remittances, we strive to find the best FX partner for our customers’ business needs. In order to guarantee the best deal for your unique transfer needs, we recommend taking a few minutes to use our free company comparison tool, found at the top of this page, to weigh up all your options and secure the ultimate cross-border transfer.
April is a trained journalist and the Content Editor for MoneyTransfers.com. She has 10 years experience writing about a diverse range of subjects, from financial services to arts and entertainment. When she’s not writing about global remittances she can be found daydreaming about her next holiday abroad.