Guest Post by Lesley Mcdowell, co-founder of Fortuna FX.
Lesley specialises in all products and services within the International Payments sector. With her client-led approach she ensures all clients achieve the most competitive rates across the market from International Probate to paying staff in different international offices, as well as receiving Third Party funds, offering Treasury Functions and FX Products to allow law firms to grow their companies globally and help Finance Directors and their teams work efficiently and securely with exceptional locked-in rates.
THE HISTORY OF INTERNATIONAL PAYMENTS
Historically, sending or receiving funds around the world would be very time consuming, convoluted, and expensive.
With all the recent developments with Law Firms having either international offices and having to both send or receive clients’ funds globally, let's have a look at where it all began, and go on a whistle stop tour through the history of international payments.
When did International Payments Start?
The New York & Mississippi Valley Printing Telegraph Company was founded in 1851, which was the method of electronic funds transferring from one person or entity to another.
This changed forever the way money moved with and across the border.
Late 19th Century
With a boom in globalised industrialisation, wire and money transfers became increasingly popular in the late 19thCentury.
As more people began working with innovators overseas, banking became increasingly globalised.
Arrival of SWIFT
A major development took place in the 20thCentury, primarily due to the arrival of SWIFT, which was founded in 1973.
The Society for Worldwide Interbank Financial Telecommunications (SWIFT).
This network transmits messages between banks to allow the banks to make transfers globally, and it is thought that almost half of all high-value, cross-border payments worldwide use the SWIFT network.
Emergence of Specialist Payment Providers and Modern Solutions
It wasn’t so long ago that to make an international payment, one would need to go into their local branch to arrange it, but we all know that time is a precious commodity for Legal Cashiers and Financial Directors when moving clients’ funds, it soon became clear that this system couldn't last forever.
The past 30 years have seen significant improvements to the international payment process with the rise of specialist payment providers to send or receive funds to and from overseas Bank Accounts, which is the perfect solution to save time and money.
The future for your International Payment Needs
With global uncertainty remaining real and present, law firms and their finance teams need to use cashflow effectively and reduce costs whilst streamline processes. Being on board with fast-paced, digital requirements, having streamlined processes embedded into a practice enables them to crucially save time and money.
Using specialist payments providers over the Tier 1 Banking systems can transform legal practices and the way their finance teams manage payments, expenses, budgets, payroll and much more.
Having these systems in place puts time back on the clock and money back on the budget sheets, ensuring law firms to have more time to focus on accelerating the growth of their business internationally, from immigration right through to international probate.
Thanks for reading, Lesley.
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