Paying suppliers overseas? Here's why you need to use an MSB
Doing business with international suppliers can save you substantial money. Other countries have large amounts of resources native to their region so they can offer them at much lower prices than local merchants. It makes it easier to meet your supply demands more quickly.
International suppliers may have manufacturing capabilities that a domestic supplier doesn't. The same could be true for specialized design or knowledge. Your choices become greater when doing business globally.
Just as advertising worldwide increases your customer base, it makes sense to outsource to build a stronger inventory for your company. Managing a contract, supplier invoice, and spreadsheets online, as well as using translation technology helps communication and agreements between you and your international supplier run smoothly.
Paying Your International Suppliers
With the increasing amount of outsourcing and e-commerce today, better ways to pay international suppliers are developing right along with it. The usual method of using a bank to transfer money can get costly in fees, especially if there's more than one bank involved. Sometimes the exchange rates are weak, and this leads to unhappy suppliers and more hassle and tension for you.
Bank transfers can take up to five days, and it gets worse with time zones. All the effort put into gathering everyone's information and taking care of all the paperwork can make it even more lengthy.
Using Western Union or MoneyGram can make cash accessible for supplier payment quickly, but the cost involved can be higher depending on where and how you're sending the money. PayPal's fees also increase as the money you transfer does. Depending on your transactions, it can get pretty steep.
Money Service Businesses Save You Money and Time
Though using the standard methods are still popular, they're becoming less desirable as more money business services (MSBs) pop up offering quicker, less expensive transactions. Money business services provide a better way to transfer money and pay your suppliers in today's world. They remove the stress of going to banks, filling out forms, and waiting days, maybe weeks for funds to arrive.
However, not all MSBs are created equal. Services such as OFX, Xoom, or Transferwise may start with smaller fees, but they can go up depending on how much you transfer and get quite expensive. Problems of unreliable customer service, as well as transfers taking much longer than promised, have caused frustration among users.
Why REMITR Ranks High as a Top MSB Competitor
REMITR is one of the quickest, cheapest, most stress-free and reliable MSBs out there as an alternative to wire transfer. They have a super competitive low fee of $5 for all transfers overseas. REMITR puts the funds directly into your supplier's bank account in their currency. You just give them your supplier's information and the amount to send.
With a live FX rate, REMITR won't rip you off with markups. You'll also receive payments from customers for no charge. Their system is Fintrac registered, so it's secure. You have 24/7 access to make a one-click supplier payment wherever and whenever you want for one-day transfers, and that's it. No one has to wait around to get their money, which means a good business reputation for you.
REMITR is one of the best services available to Canadian businesses for payment transactions to 150+ countries worldwide. Take a look at this review by Finances Online. If you're interested in saving money on international supplier payment transfers and increasing your options with overseas partners, you can register with REMITR here.
For a professional shipping company to transport your products, check out the fulfillment program at eShipper.