New Busines Question Regarding Buying Products From Outside The UK

Bellus_Of_Prestbury

Hi Everyone

I am not sure which part of the forum to place this question, so I apologise in advance

I am buying products from different countries and wanted to know should I demand that I pay in Pounds or should I pay in the local currency. Or should I decide based on exchange rate.

I appreciate your help in advance

Regards

Mike Williams

InsideInsurance

Obviously this post is just spam but I'll answer anyway

Up to you and what you can agree with the supplier. Obviously a stirling based price is good because you have certainty but if their currency crashes for whatever reason your then paying over the odds compared to others who pay in local currency. On the flip side if your paying in local currency and the pound crashes your costs go through the roof.

That said and done, it is unusual for a supplier to sell in anything but their own currency or occasionally hard currencies like the us$

Bellus_Of_Prestbury

Thanks for the response but next time have some manners and don't start your reply with this "Obviously this post is just spam but I'll answer anyway"

My question is genuine and if you thinks its SPAM then don't reply otherwise be civil and give people the benefit of your wisdom or lack of it

Regards

Mike

texranger

you are not allowed to self advertise on these forums (have links to your own business or promote your own business)so a user has the right to call it spam and report it as such

Bellus_Of_Prestbury

Ok fair enough but there is a less antagonising way of saying it to a new user, who has not had time to read all the rules.

Thanks for your response and can you please notice I have removed any links to my business and can you remove your stupid looking Spam man

Regards

Mike

texranger

Bellus_Of_Prestbury wrote: »

Ok fair enough but there is a less antagonising way of saying it to a new user, who has not had time to read all the rules.

Thanks for your response and can you please notice I have removed any links to my business and can you remove your stupid looking Spam man

Regards

Mike

the spam man removed.

their is a lot join these forums just to spam, so the spam man is a useful image

you should of read the forum rules before posting

back to your question. most non uk suppliers will trade in USD, Euro and some in GBP. i trade with some in china and use USD, which is more commonly used for non UK trading

Bellus_Of_Prestbury

texranger wrote: »

the spam man removed.

their is a lot join these forums just to spam, so the spam man is a useful image

you should of read the forum rules before posting

Noted and in the process of doing. Any advice on my actual question would be more beneficial though.

texranger

Bellus_Of_Prestbury wrote: »

Noted and in the process of doing. Any advice on my actual question would be more beneficial though.

most non uk suppliers will trade in USD, Euro and some in GBP. i trade with some in china and use USD, which is more commonly used for non UK trading, also a point to bear in mind that your bank may charge a fee to currency exchange (mostly private bank accounts).

martindow

To answer your question you will probably not have a choice as suppliers will invoice in whatever currency they prefer. With Chinese companies I deal with some invoice in EUR others in USD.

What is perhaps more pertinent is being sure of all the charges your imports will attract on arrival here.

If they charge a carrier fee it will probably be VAT on the total cost (goods + carriage), possibly some duty and a customs clearance fee. Typically this will be around 25%. If it is sent as freight to a UK post or airport the costs are considerably more, up to 50%.

Bellus_Of_Prestbury

Thanks everyone for the useful tips

Is it better to buy the currency you are dealing in rather than use a bank.

I will be using Paypal at first, but I was wondering if it is better to buy say dollars for the full amount rather than pay for conversion?

I hope that makes sense, I have read it back and I think it does

Mike

paddyrg

It will vary case by case, but...

Once you *really trust* a supplier, you may find someone like caxtonfx helpful in reducing your costs - but be aware you'll need to be spending thousands of pounds before it becomes significant. You cannot buy renminbi and deal in those - China wants USD/GBP/EUR (which is why they nearly own America!), so that's what all your deals will be in.

But as mentioned above, the exchange rate will be insignificant compared with your taxes and duties (depending on the product) and port fees, etc., so look at the big picture.