Many UK businesses think currency risk only matters to large multinational corporations. It doesn’t.

The FX market moves fast and often unpredictably, and even small firms buying stock, paying overseas staff, or running international projects face the same swings, just with less room for error. A sudden shift in exchange rates can wipe out profit, inflate costs, and make pricing unstable. 

Without a clear FX strategy, you’re gambling with your margins. With Reciprocal we can help you protect profits, steady cash flow, and compete on equal terms.

Your business needs to pay US suppliers approximately $250,000 over the next three months, but you’re unsure exactly when each payment will be made.

Say the current exchange rate is 1.2700 (GBP/USD), so £1 buys $1.27.
You book an open forward contract, which locks in that rate but gives you flexibility to draw down funds at any time during the three months.

That means whether you pay $50,000 next week or the full $250,000 at the end, every dollar is converted at 1.2700.

If the pound weakens to 1.2200, other businesses that haven't locked in the rate would have to pay £204,918 for $250,000.
You still pay £196,850, saving around £8,000.

An open forward gives you protection against currency swings and flexibility to use the funds when needed, making it ideal for ongoing payments or uncertain timelines.

Market orders

Market orders help you take advantage of market movements without watching rates all day. You can set your target exchange rates in advance, and when the market hits them, the trade executes automatically. It’s a smart way to remove the guesswork and emotion from your currency decisions.