Managing international freelancers can seem overwhelming and complicated. Between the need to execute different payment methods to orchestrating complex logistics, sometimes it may seem like a waste of time and energy to work with remote suppliers.
The truth is that working with foreign freelancers has tremendous advantages and an international workforce can help a company by providing a cheaper workforce alternative and infusing diverse culture and skill set into a company. That is why growing companies should always focus on finding the best supplier regardless of their physical location.
One of the main deterrents to working with international freelancers is the added cost of making overseas payments. Because the question of how to pay freelancers internationally plagues companies, they need to understand the different payment methods, challenges and fee structures in advance in order to gain a complete overview of the cost of working with freelancers and make the correct choice for their business accordingly.
DIFFICULTIES OF GLOBAL PAYMENT MANAGEMENT
The most difficult aspect of managing freelancer payments is the inability to compare the different payment methods.
This is because many times transfer fees are published in a way that requires complex calculation just to understand the final costs, and that is before taking into consideration exchange rates, mid-market rates, one-time fees and so on.
To make sure they get the best possible payment rate, businesses would have to compare each freelancer’s total invoiced amount across every single payment method to determine the real cost of making the transfer to find the best one for that particular payment. While ideal in theory, this would take countless hours of labor and would truly make working with freelancers ineffective.
ONE SOLUTION THAT FITS ALL FREELANCERS
Instead of wasting time calculating each transfer, companies that want to work with international freelancers need to find a single solution that lets them seamlessly transfer funds to suppliers worldwide, regardless of their location, currency, payment method desired or other consideration.
The optimal solution in this case is a payment service provider that pays freelancers in their local currency through their local banking system. When seeking a payment solution to pay international freelancers, it is therefore imperative that companies find one that offers the most expansive global reach and simplified payment structure.
Companies that chose a single solution to pay all freelancers enjoy higher volumes, further reducing transfer and conversion rates.
Business owners often find themselves wasting time and energy making payments to freelancers and suppliers. This is because the process often includes making wire transfers through multiple bank systems or using different payment solutions, resulting in a complex payment process that is ineffective.
Beyond wasting time and being prone to errors, this method rarely generates significant volume through a single payment solution, making companies pay transfer fees and conversion fees for each transaction.
A single payment solution would help business owners by providing a unified location to make all transfers, regardless of the freelancers preferred method of payment (IE credit card, wire transfer etc).
Using a global payment service would enable companies to make in-country payments instead of incurring international transfer fees, and reduce the time it takes for freelancers to receive their money in their local bank and currency. Not only would this save time, but it would help reduce transfer fees both on the company and on the freelancers side, making it an ideal solution.