Hi

I have just agreed terms with a guy in the states to resell a product for me.
He will be making regular monthly payments of up to ?000 (but mostly it will be a lot less)

I have 2 questions

1. Should I ask him to pay in £s or $s. I agreed initially a unit price of $166 but I may be able to get him to pay in £s because it might be easier for my banking - any ideas appreciated

2. What's the cheapest option for him to pay me. I know that paypal costs and a bank transfer is expensive are there any other options or shall I just get him to send me a monthly cheque

Thanks for taking the time to read this!
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I would suggest GBP so as not to expose yourself to dollar rate variations. Then just get him to pay it into your bank account - saves loads of hassle.
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Thanks a lot Elaine,
I originally thought that, but doesn't it cost a lot of money to do that? I though the banks made charges on that kind of thing.
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Should I ask him to pay in £s or $s. I agreed initially a unit price of $166 but I may be able to get him to pay in £s because it might be easier for my banking - any ideas appreciated
It's very difficult to second-guess currency swings, so don't make a decision based on that. The two standard currencies for international business right now are the US dollar and the euro. You could request pounds too since you're a British company, but don't overlook the euro as an option.

What's the cheapest option for him to pay me. I know that paypal costs and a bank transfer is expensive are there any other options or shall I just get him to send me a monthly cheque
Banks do charge a substantial fee for transfers, so cheques would be cheaper. On the other hand, there's the cost of sending a cheque by UPS and you'll still face currency conversion fees at one end or the other. Given the small unit price, think carefully about this because fees could eat 20-30% of your money. What about PayPal? It doesn't sound as professional, but it's comparatively cheap. Alternatively, ask for a quarterly cheque instead of three monthly ones. It might be worth offering a 5% discount for this; getting the money in advance and saving bank charges would make this option viable.
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I would suggest GBP so as not to expose yourself to dollar rate variations. Then just get him to pay it into your bank account - saves loads of hassle.

i agree, also i think the long term value is with the pound, we are in slower times as we have experienced a slight decrease in the currency exchange rate but the fed have their interest rates set at 2% and the bank of england at 5%.

this interest rate differential between borrowing and lending has over the past few years contributed to the appreciation of the pound Vs the dollar.

you will get more for your money if every you need to trade for dollars, just my opinion but markets always change.
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