Navigating the global maze of importing and exporting

Shifting regulations

Think you've got your paperwork sorted? Think again. The regulatory landscape is a shifting beast, with each country dictating its own rules. Companies who succeed are able to monitor regulatory changes, get the appropriate oversight and shift their planning to accommodate. 

One area is customs duties and tariffs. These aren't just line items; they're critical cost components. Misclassifying goods or failing to leverage preferential trade agreements can significantly inflate expenses or lead to hefty fines. Understanding the nuances of HS Codes isn't just good practice—it's essential for your bottom line.

Product standards and certifications. Every market has its own benchmarks, from safety and environmental compliance to specific labeling requirements. Fall short, and your goods risk rejection, delays, or worse, full-blown recalls.

Another area is export controls and licensing. Certain goods, particularly those with dual-use potential, are under strict control. Navigating export licenses and understanding sanction regimes isn't optional; it's a non-negotiable part of secure, compliant trade.

Your innovations are also your assets. Protecting trademarks and patents across borders is crucial. Overlooking this can lead to costly infringements and brand erosion.

Verto’s solution

At Verto we have a dedicated compliance team with experts on each area we operate in. This sets us up to navigate changing laws as well as develop relationships with local financial regulations. Due to this careful oversight, we have the ability to offer local accounts to our customers. 

Discover more on local accounts

Logistics of moving goods

Beyond the legalities, the physical movement of goods presents its own set of formidable challenges.

Fuel price fluctuations, port congestion, geopolitical events—these can all send shipping costs soaring and delivery schedules into disarray. What begins as an estimated delivery can quickly become a costly waiting game.

Modern supply chains, while efficient, are also incredibly vulnerable. A disruption anywhere, be it a natural disaster, a pandemic, or even a localized labor dispute, can have a domino effect, leading to shortages and unpredictable price hikes.

Let’s not forget the number one cause of border delays - incorrect or incomplete documentation. Every commercial invoice, packing list, and bill of lading must be perfect, or your goods simply won't move.

Cargo security and insurance is anothert important area. From theft to damage, goods in transit face numerous risks. Robust insurance isn't just a safeguard; it's peace of mind against the unexpected.

Your payments infrastructure

Knowing how complex logistics challenges can be, money shouldnt have to be, however, in many areas, it is. Money sent across international borders is rarely as seamless as a domestic transfer, impacting cash flow, profitability, and trust.

Here are some of the key challenges and how to solve them:

Hidden fees and opaque pricing

Traditional banking systems often involve a web of intermediary banks, each taking a slice of the transaction. This leads to unpredictable and often high fees, including currency conversion markups and "correspondent bank" charges that are difficult to anticipate. The average global cost of a cross-border transaction can be as high as 6.6% of the value, significantly impacting your margins. The worst part is the customer can sometimes not see how the cost adds up until after the transaction has gone through. 

Verto’s platform limits the amount of inetrmediaries involved. With licenses in seven major African countries with the ability to transact with 49 currencies - Verto’s reach and advanced liquidity means that your transactions with us does not need to go through multiple banks.

Currency volatility and FX risk

Exchange rate fluctuations can significantly impact the final amount received or paid. A deal struck at one exchange rate might yield a different outcome by the time the payment settles, leading to unexpected losses. Businesses need robust strategies, like hedging or multi-currency accounts, to mitigate this foreign exchange (FX) risk.

Verto offers multicurrency accounts with the ability to hold funds in different currencies without charges. This is crucial when it comes to using hedging strategies. 

Verto also has various foreign exchange offerings including Auto Exchange where you can select your ideal rate and the trade will then be executed on your behalf.  

Slow settlement times

Unlike instant domestic payments, cross-border transfers can take days, even weeks, to clear. This is due to multiple intermediaries, differing time zones, legacy banking infrastructure (like the SWIFT MT103 system, which can be limited in data capacity), and manual compliance checks. These delays tie up capital, strain supplier relationships, and complicate cash flow forecasting.

Regulatory compliance in payments

Just as with goods, money transfers are heavily regulated. Each country has its own Anti-Money Laundering (AML), Know Your Customer (KYC), and sanctions screening requirements. Failing to meet these diverse and often conflicting standards can result in delayed payments, heavy fines, or even the blacklisting of your business. Data protection laws, like GDPR, also add layers of complexity regarding the sharing of financial and personal information across borders.

Verto has a dedicated expert team to compliance changes in our markets. No matter where you want to do business, we have got your back. 

Lack of transparency and tracking

Once a payment is initiated, it often enters a "black box" with limited visibility. Businesses struggle to track where their money is in the payment chain, leading to uncertainty, frustrated partners, and increased administrative burden as teams chase payment statuses.

Verto has all payments logged and tracked on a single platform so you can see where your money is going. 

For more information, download our guide to overcoming payment bottlenecks

The broader global landscape

Finally, the broader global landscape can drastically reshape trade realities overnight.

Unrest or conflicts in a trading nation can lead to immediate supply chain disruption, new sanctions, or even the seizure of goods – and the financial channels to pay for them.

Governments can also swiftly impose new tariffs, quotas, or non-tariff barriers, triggering retaliatory measures that directly impact your costs and market access, including how money can legally flow between nations.

This means that it is even more important than ever before to have the regulations and ease of payment sorted so your business is set up for success. 

Your next steps

The promise of global markets is compelling, but the reality is that successful importing and exporting demands more than just ambition. It requires a meticulous approach to compliance, robust logistical partnerships, astute financial risk management – especially in the realm of cross-border payments – and a constant awareness of the global geopolitical currents.

At Verto, we empower businesses to navigate this complexity with confidence, turning challenges into opportunities. 

Ready to simplify your global trade operations and streamline your cross-border payments? Discover Verto’s solutions.