Is your business process outsourcing (BPO) company bleeding cash on international payments? Many businesses unknowingly lose thousands by sending salaries to SA via traditional banks.
Here, Sable International, a specialist in cross-border financial and immigration services, looks at how smarter forex solutions can boost your margins and streamline your payroll process.
What is a BPO?
BPO companies manage a wide range of functions from customer support and tech services to finance and admin, often on behalf of global clients.
Your competitive edge lies in delivering high-quality services at scale with a cost advantage. But if you’re sending money to SA through traditional banks, there’s a strong chance you’re burning margin on every transaction.
Why SA is a leading BPO destination
SA has quietly become a global player in the BPO sector. With its cost-effective workforce, time zone alignment with Europe and a highly skilled, English-speaking population, it’s easy to see why international companies are scaling their outsourced operations here.
While the front-end benefits are clear, many BPO companies are losing money behind the scenes, specifically in how they handle cross-border payroll and salary payments.
The problem with traditional bank transfers
If you’re still using banks to send money to SA, you may be overpaying, facing unnecessary delays and dealing with rigid, outdated systems.
The good news: there’s a smarter, faster and more cost-effective way to manage your international payroll. It starts with identifying where the true costs lie — and eliminating them.
Hidden costs behind legacy payment systems
Let’s talk about the real cost of sending salaries to SA. Traditional bank transfers don’t just come with high fees, typically between $15 (R270) and $50 (R900) per transaction, but also with hidden margins on exchange rates, often 2% to 5% above the real market rate. For BPO companies processing hundreds of monthly salary payments or vendor invoices, these costs add up fast.
Banks also rely on slow, manual systems that aren’t built to support BPO companies managing distributed teams. Delays are common. Support is limited. And reconciliation can become an operational headache.
It’s more than just a cost issue — it’s a friction point that impacts your entire business.
Three moves to cut costs and take control
Here’s how smart BPO companies are transforming how they send salaries and business payments into SA.
1. Switch from banks to a forex specialist
Partnering with a dedicated forex provider for BPO companies isn’t just about saving 1%-2% per transaction, though it does that too. It’s about gaining access to better rates, faster processing, real support and platforms built specifically for international payroll management.
2. Stop sending piecemeal payments. Consolidate
Sending dozens or hundreds of small payments individually racks up unnecessary fees. Batching salary payments reduces your fee exposure and gives you stronger leverage on exchange rates.
Sable International’s payment tools make it easy to pay your entire South African workforce in one go, with precision and speed.
3. Hedge like a pro
The South African rand (ZAR) is volatile. If you’re paying staff in ZAR, currency swings can blow your monthly budget. Forward contracts from an experienced forex provider let you lock in rates, plan your payroll ahead and protect against unfavourable shifts in the market.
SA delivers. Make sure your payments do too
Cape Town and Johannesburg have become global BPO hubs supporting clients in fintech, logistics, healthcare and customer service. But the ability to pay your remote team in SA quickly and affordably is critical to maintaining that competitive edge.
Streamlining your international payroll process doesn’t just save on forex costs. It also unlocks cash flow, improves staff satisfaction and allows you to reinvest in your people, tech and growth strategy.
Choose a partner, not just a platform
When choosing a partner to handle salary transfers to SA, here’s what to look for:
- Transparency: No hidden spreads or surprise charges.
- Speed: Ensure your South African team and vendors get paid on time.
- Scalability: A solution that supports growth and multiple currencies.
Sable International delivers all of this and more. With a dedicated dealing desk, powerful forex platform, and personalised support, it doesn’t just facilitate transactions, it helps BPO companies scale globally without margin loss.
Turn payments into a competitive advantage
BPO companies that treat payments as a strategic advantage, not just an operational task, gain a real edge. If you’re serious about cutting costs, protecting your profit margins, and streamlining international salary payments into SA, it’s time to rethink your forex strategy.
Contact Sable International today to find out how to turn your South African payment process from a cost centre into a competitive advantage. Get in touch with the company’s forex team by emailing [email protected] or call +44 020 7759 7554 or +27 0657 2153.
This article was sponsored by Sable International.
