SMEs: 5 Benefits of having a multi-currency global account
Perfect for businesses who find opening multiple bank accounts in different countries a chore
If you sell your products and services online across international borders, employ staff members from a different country, or frequently send money to your family members abroad, a multi-currency global account can greatly benefit you. Technology has enabled us to connect with people from all corners of the world with just a tap on our smartphones.
A global account is essentially a platform to centralise the global finances of a business. Centralisation is when the planning and decision-making processes are concentrated on a specific leader or location. It creates a clear line of communication and improved supervision. In this case, global finance processes are executed using one platform—the multi-currency global account. With more visibility, increased efficiency, and better application and systems, businesses have greater control over their cash flows, cash position, and risk parameters.
Who can benefit from a multi-currency global account?
A multi-currency global account is a single account that allows you to transfer, receive, and hold money in more than one currency. What this means is that you no longer have to set up multiple bank accounts in the respective countries in which you have any business or financial activities. An example of a multi-currency global account platform is TranSwap. TranSwap allows you to hold multiple currencies in one virtual account and you also get to send and collect money conveniently, like a local.
This concept of being able to send and receive money of different currencies through one account is particularly useful for businesses that make multi-currency transactions, export and bill in foreign currencies, and import or buy goods from overseas. A global account grants them the ability to deal with international customers and partners easily. For many small businesses, a global account acts as a catalyst for their business expansion.
How does a global account benefit you and your business?
1. Low cost
Many banks, local or international, charge an account maintenance fee and foreign banks usually require a large minimum balance to process account openings. Small businesses and entrepreneurs can avoid these extra charges when they use a multi-currency global account to make international transactions as there is no minimum account balance requirement and the foreign exchange conversion rate is competitive too.
Being able to hold multiple currencies in one account, you can easily issue invoices and get paid in your local currency. That way, you will be spending less time adjusting exchange rate differences and matching invoiced amounts and paid amounts. Since everything is centralised, you can also eliminate the need to manage and juggle between multiple bank accounts to make global transfers.
International transfers via traditional methods involve a more complicated process that may consume more time. If you are an employer, you cannot afford to delay your employees’ payroll. Fortunately, a multi-currency global account allows you to quickly make and receive payments in local currency and in real-time.
4. Manage Forex
One of the best things you can do with a multi-currency global account is that you can easily convert and hold the currency when the exchange rate is in your favour. This way, you can make a transfer whenever you want without having to worry about the currency fluctuations and the exorbitant conversion fees, but instead, gaining the upper hand over managing foreign exchange volatility.
5. Digital banking experience
With a multi-currency global account, you can pay and collect from anywhere in the world and at any time. The transactions are done digitally and there will no longer be a need for you to physically visit a bank for account opening, for instance.
International transfers via traditional methods are generally more expensive than other money transfer services. In fact, the procedures can be slow and complicated, which can inconvenience many always-on-the-go business owners who are looking to globalise. If you frequently make international transfers, save yourself the time, money, and hassle, and instead, switch to a multi-currency global account. TranSwap’s multi-currency global account is free to register and it only takes a few minutes to set up. Sign up today!
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