Online News - Business News - Date: October 2009
Exchange rate volatility
luctuations in currency is the top concern for SMEs trading internationally, according to a report by American Express (AMEX).
Their study found that around 36% of firms are concerned over currency changes, followed by red tape and legislation (11%), payment problems (11%) pricing (9%) and language (7%).
However, although around two fifths of UK firms now conduct international business many don't protect themselves against fluctuating exchange rates.
AMEX suggests that SMEs could potentially be putting themselves at risk of losing up to £41,000 a year. Collectively the UK economy could be set back by an estimated £24bn a year in missed savings.
Around 30% of respondents said that they hadn't considered protection, while one in five said that thought that administration hassles outweighed any benefits. A further 13% were unclear on the benefits.
If this is an area of concern in your business then please contact us to discuss risk mitigation strategies.
For further information, please contact us on 03332 401 333 or email enquiries@kirknewsholme.co.uk
Top
Back