Supplier payments: a practical checklist for UK importers

Why supplier payments deserve a dedicated process

UK importers paying overseas suppliers often inherit a payment workflow that grew up around domestic transfers. International transfers behave differently: they touch foreign-exchange spreads, correspondent-banking fees, settlement cut-offs and a sanctions/AML screening layer that domestic faster-payments do not. A clear process reduces working-capital tied up in transit, fewer queries from suppliers, and a cleaner audit trail for HMRC.

A checklist before you send the next invoice

1. Confirm the supplier's preferred receiving currency. Many overseas suppliers will quote in USD or EUR but prefer to receive their local currency (CNY, TRY, PLN, INR…). Paying in their local currency typically removes a layer of conversion on their side.
2. Capture beneficiary details once, not per-invoice. Hold the IBAN/SWIFT, account name and bank address against the supplier record so you are not re-typing on every transfer.
3. Decide a cut-off policy for value dates. Currencies settle on different schedules. A simple internal rule ("EUR/USD by 14:00 UK, CNY by 11:00 UK") removes the daily scramble.
4. Reconcile against the booked rate, not the indicative rate. When you book a transfer, record the rate that was actually applied — not the screen-rate you saw earlier in the day.
5. Keep a sanctions screening log. Your provider runs screening; you should still log that you checked beneficiary details against published lists, especially for new counterparties.

Where TimeFX helps

We work with importers to map this workflow against the regulated payment infrastructure provided by our partner. The aim is to remove the manual steps that cost time without changing what your finance team is already comfortable with.

If you would like to talk through your current supplier-payment workflow, make an enquiry and our UK team will come back to you.