SMEs are losing billions annually to hidden foreign exchange fees an overlooked cost that’s quietly draining up to 2% of annual revenue. As cross-border payments grow more crucial than ever, FinTech challenger, Volopa, is expanding into the European Economic Area to offer SMEs a smarter, cheaper way to send and manage international payments.
Cross-border payments are forecast to hit US$250 trillion by 2027, according to Payments Cards and Mobile. Yet many business owners remain unaware of how much foreign exchange (FX) fees quietly erode their bottom line. For small and medium-sized enterprises (SMEs), FX costs can drain 1–2% of annual revenue a hidden expense often overlooked because it’s buried within so-called ‘standard’ bank rates.
This presents a significant issue in the UK, where there are approximately 5.45 million SME businesses. With an average turnover of £3,549,627 per business, a 2% loss due to foreign exchange (FX) fees equates to nearly £71,000 annually.
Amid this landscape, Volopa’s expansion into the European Economic Area (EEA) marks more than just market entry, it reflects an industry-wide evolution.
Volopa’s platform enables growing businesses to manage everything from supplier payments to employee expenses in one place tailored for today’s multi-currency, multi-market economy.
“At Volopa, we believe in the transformative power of innovation. Our expansion into the EEA underscores our commitment to empowering businesses to thrive in an increasingly interconnected world. With Volopa as their trusted partner, businesses can unlock new horizons, seize untapped opportunities and embark on a transformative journey towards growth and success,” said Graham Smith, Managing Director at Volopa.
