The Right Funds at the Right Time Could Change Everything
Case Study: Lifewater Canada
About Lifewater Canada:
Lifewater Canada’s mission is to help more people around the world access clean, safe water. The organisation equips and trains people in impoverished regions; to drill wells, install catchment systems, and build community facilities to improve hygiene and reduce diseases causes by dirty water.
The challenge:
Lifewater made payments as needed on the FX-spot market, often at high exchange rates. That meant funds that could have been put to good use were spent on transferring money. Managing currency exchange rates, tracking international payments, and lack of adequate tools to mitigate risks became onerous.
The solution:
Corpay introduced forward contracts, and more efficient spot exchange rates, reducing the risks associated with an unpredictable market. This saved money, helping Lifewater Canada do what they truly needed to do: educate more people, help build more wells and facilities to provide clean water, to ensure a healthier future.
When asked,
‘What is your biggest challenge when it comes to sending and receiving international payments and currency risk management?’
‘At the moment, with the help of Corpay, none whatsoever.’
Daniel Nickol, Vice President, Lifewater Canada
External factors can hinder the process; here are a few common challenges many NGOs face
The challenges:
- High cost and slow transfers: Cross-border payments often come with heavy fees, variable or unfavourable exchange rates, and long processing times -- stretching already tight NGO budgets
- Transparency & Donor Trust: Donors will need to know exactly how their money is used. Traditional banking systems can make real-time tracking and transparent reporting difficult when foreign currencies are added to the mix
- Managing Multiple Currency Accounts: Maintaining and tracking multiple currency accounts for international transactions can become hectic. Visibility loss, reconciliation complications, and unpredictable FX rates can mean delayed or frozen funds
- Compliance & Regulations: The red tape involved in opening and maintaining local bank accounts can make for a tedious and complex process. Emerging market areas might also have limited access to modern payment methods
About Operation Eyesight:
This NGO is on a mission to eliminate avoidable blindness. They work primarily in developing countries where malnutrition, lack of clean water, and limited access to health centers may lead to blindness or loss of sight.
The challenge:
Operation Eyesight needed an organization to help them manage their high-volume payments. The funds they receive are mostly in CAD and USD, which they disburse across the globe for training, funding, local staffing, and to procure material aid. The paperwork involved with local banks was tedious and complex, and brought with it heavy ‘lifting fees’ for every transaction.
The solution:
Corpay helped them deliver many emerging market payments locally, and quickly, with reduced transaction fees. This ensured that more payments were received in full value. Corpay’s tools helped with easy beneficiary set up and validation where the payee information could be stored securely. Corpay’s emerging market experts were able to help with regulatory and compliance matters.
NGOs and Global Payments: Choosing the Right Provider
When an NGO is on a mission to select a Global Payments Provider, there are several considerations. Speed, ease of use, cost, on time fund delivery and full value payments may be at the top of the list. Our SVP, Global Payments Solutions, Roy Farah and Casey Rollins, Director of NGO business vertical for North America, came together to talk about everything related to global payments and NGOs. They cover emerging markets capabilities, staff expertise, in-country banking relationships, security protocols and much more.
Read the full version here: Considerations for NGOs and Non-Profits
Or put your headphones on and listen to what they have to say here!
Or, in the meantime, click here to read more on our emerging markets expertise!
Corpay can help NGOs:
- Manage and track payments in multiple currencies from a single dashboard
- Send, and receive payments in 25 currencies under the NGOs name
- Manage currency conversions when needed or when conditions warrant
- Use forward contracts to lock in FX rates for future needs to add certainty and protect against market fluctuations
- Track payments on their journey, increasing visibility and trust
- Streamline reconciliation and reporting
Why Corpay?
- Payments to over 200 countries with more than 145 currencies, including exotics
- Expert guidance and expertise in emerging markets
- IACH/ Direct Payments in nearly 40 currencies to over 60 countries
- Same day/Near-Real-Time-Payments (NRTP) delivery in 11 currencies to over 50 countries
- Online access to Corpay Multi-Currency Accounts—in the organisation’s name--to streamline transfers, reduce costs, and increase visibility of incoming and outgoing funds for more efficient cash flow management
- Local payment rails for ‘last-mile’ transfers to hard-to-reach areas
- Transparent and competitiveexchange rates
- User-friendly platform that supports beneficiary set up and validation