Helping an importer manage currency risk
A founder-led business importing goods from overseas suppliers needed a more structured way to manage exchange rate exposure on regular payments.
Forward Contract, Phased Transfer
The situation
The company makes quarterly payments to international suppliers in foreign currency. Because exchange rates were moving frequently, the cost of each shipment could vary significantly depending on market conditions at the time of payment.
This made it difficult for the business to forecast costs accurately and protect their margins. The founder wanted a more predictable approach that would allow them to plan ahead rather than making reactive decisions whenever a payment was due.
The approach
We worked with the client to develop a straightforward hedging structure aligned with their expected payment schedule. Forward contracts were arranged for upcoming supplier payments, allowing the business to secure exchange rates in advance and reduce exposure to sudden market changes.
We also provided regular market updates and guidance so the client could stay informed about relevant currency movements and adjust their strategy when needed.
The outcome
The business now has greater visibility over future currency costs and can plan supplier payments with more confidence. By securing exchange rates ahead of time, they have reduced the impact of market volatility and created a more stable foundation for managing international payments.
"I wouldn’t have moved without your guidance."
Explore more case studies
