How fast, low-cost cross-border payments can boost your business
If you are a business owner who operates in the global market, you know how important it is to send and receive money across borders. Cross-border payments are essential for your success, whether you need to pay your suppliers, accept customer payments, or manage your cash flow across different currencies and regions.
Did you know that cross border payments can also be a source of competitive advantage for your business? By choosing the right solutions and players for your cross-border payment needs, you can enjoy significant benefits, such as:
- You can save money on fees and FX costs that eat into your margins when you use traditional cross border payment methods.
- Businesses often get hit with sky-high transaction fees and hidden FX margins from their banks and payment processors.
- For example, according to a report by McKinsey & Company, cross border payment fees can range from 1.5% to 7.5% of the transaction value, depending on the corridor and the provider. By reducing these costs, you can increase your net income and reinvest in your growth.
- In addition, businesses can save on resource and operational cost through improved visibility — simpler to manage accounting and significantly less time wasted tracking and reconciling payments.
- You can pass on the savings from lower cross border payment costs to your customers and offer them more attractive prices. This can help you gain a competitive edge in the global market and attract more demand for your products or services.
- According to a study by Shopify, when a product has a high price, a retailer may see fewer sales and “price out” more budget-conscious customers, losing market positioning. This implies that finding the optimal price point is crucial for maximising online sales and profits.
Stronger supplier relations
- You can pay your suppliers faster and this can help you improve your trust and loyalty with your partners and negotiate better terms for your business.
- For example, according to a report by Chartered Institute of Procurement & Supply (CIPS), the research showed late payments had a knock-on effect across the supply chain. Suppliers said they had to delay delivery of products or services (34%), and increase prices or reduce discounts (33%). Almost two-thirds (65%) said late payments put them at financial risk.
- 40% of suppliers said that late payments affect their relationship with their buyers, and 33% said that they would offer discounts for early payments.
- By paying your suppliers on time or ahead of schedule, you can strengthen your supplier relationships and benefit from discounts or other incentives.
So, how can you access these benefits?
The answer is simple: by exploring the innovative solutions and players that are transforming the cross-border payments landscape.
Web 3.0 technology offers an alternative that addresses these pain points by providing:
- low-cost payments
- faster cross-border settlements
- total fee transparency
- payment visibility
- immutable records
By using DANIELGlobal, our Web 3.0-backed international B2B payments platform, businesses can benefit from improved control over their procurement payment costs while ensuring timely delivery of goods from international vendors.
Payments via DANIELGlobal can even be made to any bank account in a supported jurisdiction which means the recipient — your supplier — does not need to have their own DANIELGlobal account to receive the funds, just like a normal bank transfer.
Our business payments are fast, low-cost, and efficient with complete fee transparency and real-time tracking saving you time and money.
Discover what DANIELGlobal can do for your business.