The digital economy is fueled by payments. How to best manage your cross-border payments is an exciting topic that interests a lot of payments professionals. These days, your partners, freelancers, suppliers, ridesharing drivers, property hosts, affiliates, publishers or sellers are not only in a few countries – they are everywhere. And yet, even as the digital economy brings the world closer, sending cross-border payments remains complex, detailed work that can be immensely time-consuming and filled with potential pitfalls. The details involved in successfully getting funds to an individual while also complying with the various regulations of each country’s central bank, navigating a number of currencies and more, can make sending funds feel like a juggling act with flaming swords.
As a result, payments professionals are increasingly seeking ways to make their payments more efficient while streamlining processes that take up valuable time. After all, time is a non-renewable resource and spending less time on a complex yet routine task frees you up to devote time to more strategic activities that drive business growth and make an impact.
For payments professionals in businesses such as freelance marketplaces, e-commerce marketplaces, ad networks, affiliate networks and more, contracting with a quality payments provider can be a financially wise strategy. A quality payments provider can disburse money to their global payment partners in a fast and secure manner. They not only reduce your costs for sending payments but also help you avoid non-compliance penalties and reduce payment errors and fees. They will understand the latest trends in payments and best practices when it comes to vitally important functions including compliance, risk, forex and transparency and pricing. If you manage two or three well-thought-out payout options for your recipients to receive payments and find a payments provider to execute on them proficiently, you can free up your own bandwidth for strategic projects while ensuring best practices in security, compliance, foreign exchange and pricing and transparency.
Here are our three best tips for ensuring you team up with the right provider:
- Evaluate your customer base from an accounts payable position. Determine your average transaction size and assess what sort of “pain,” in terms of expense or time, you’re putting on your partners when you send a payout.
- Evaluate payment providers who can solve those particular pain points while giving you cost and time efficiencies.
- Go in depth with each provider by asking detailed questions about the countries they serve and the depth of their network in your key markets.
Are you ready to partner with a cross-border payments specialist? Contact us today.