Smart Currency Business has a long standing working relationship with manufacturers in a wide range of industries, from fashion, to aviation, to industrial materials, to home furnishings.
Significant currency exposure for manufacturers
We know that many manufacturing companies have significant currency exposure, whether through the need to import their materials, export their products, or both. Fluctuating currency rates can therefore have a disproportionate impact on manufacturing companies’ margins. To mitigate this risk, we help create a bespoke solution for each company, planning a strategy that is optimal for their individual needs.
“Manufacturing is a strong focus for our business. As we import materials from abroad, it’s crucial that we save on currency costs. Smart Currency Business has helped us secure our bottom line and eliminate risks on our international payments, with knowledgeable guidance on the best time to buy and sell currency. We’ve used banks in the past, but they’ve never been as quick or efficient.”
Mark Diaj, Managing Director, Able2
Be aware of hidden costs
We also understand that manufacturers can incur hidden costs in other aspects of their operations, from re-making samples to fit a buyer’s specifications, to late payments that can affect your cash flow. This is why we aim to make your currency exchanges as simple, efficient and transparent as possible, helping you to avoid unnecessary losses through bespoke strategies for minimising the risk of currency market fluctuations. We provide manufacturers with tailored currency services and currency hedging strategies with no commission.
The risk of external shocks on exports
A considerable proportion of manufactured goods are exported, amassing to 23.5% of UK exports, making the manufacturing industry particularly vulnerable to contagion from external shocks – both positive and negative. We saw factory output rise sharply in October 2015 (with a CIPS/ Markit reading of 55.5, the best score since June 2014), due to increased demand from the Middle East, East Asia and the US. With our clients being exposed to these potential risks, we aim to minimise their economic and market risk elsewhere, by safeguarding them against currency fluctuations.