Business trips, international contracts, import and export of goods or transactions executed in a variety of currencies are just some of the everyday issues faced by companies operating globally.
In order to increase their competitiveness, international companies have to look for cost-effective ways to save. Here are some tips.
Start from proper research
When purchasing goods from abroad, make sure you do the right amount of research. You should check where you can get the goods you are interested in at the best price, and therefore, import only those that are most profitable.
Enterprises should also consider placing a bulk order. This helps with the negotiation of more attractive prices with the seller and savings on transport costs. Seeking other contractors, who are interested in the same goods and placing a collective order could reduce your costs even more.
Before concluding a transaction, it is also worth reading the rules of importing a given product. It can turn out that it is covered by special regulations, the fulfilment of which entails additional costs.
Take advantage of outsourcing
Operating in several countries often involves hiring new employees on the spot. If possible, it is worth outsourcing and hiring freelancers with whom a fixed-term contract is signed, which enables the provision of a specific task.
Outsourcing also provides the opportunity for companies to make savings on in-house employees. If work can be done remotely, a person may be found abroad, e.g. in countries with lower labour costs. As a result, the cost of performing the same task is lower than in the case of having the team member in the office.
Limit business trips
Establishing relations with companies from other countries is very often associated with business meetings and, as a result, trips abroad. Air tickets, accommodation and a daily employee allowance can generate considerable costs.
In most cases, discussing a contract or defining the cooperation conditions is best done face to face, but it is not always necessary. Some business talks can be successfully conducted by means of video conferencing tools. This will significantly reduce the company’s expenses, and employees remaining in the office can, in the meantime, carry out duties that they would not be able to take care of on a business trip.
Use a cost-effective payment method
International business often involves dealing with transactions in different currencies. Sending a traditional transfer to an international counterparty, especially if it is carried out in a foreign currency can be costly. The use of an online financial services provider may be a more efficient way to send and collect funds. Conotoxia.com’s financial platform (https://conotoxia.com/money-transfer) is a valuable option.
The platform provides a Conotoxia Collect service for business clients aimed at easing the management of multi-currency transactions. This solution not only enables companies to conveniently receive payments from their international contractors in many currencies, but also allows them to send funds at a low cost. Extra savings can be made on the attractive exchange rates offered by the service.