Brexit – Risks and Opportunities says Coface
The referendum result has caused uncertainty and volatility in the markets. But also, with the lower value of Sterling, opportunities to export. However all this comes with the risk of not being paid. Coface, as one of the world’s leading credit insurers, helps companies protect their business from customer insolvency and increase their sales at home and overseas. With the right protection and information, UK businesses can manage the uncertainty and compete and export successfully in the global marketplace without exposing themselves to unnecessary risk.
The company is already protecting thousands of businesses from trading risks such as bad debt and geopolitical upheavals, while helping them make informed trading decisions through its country and sector credit risk assessments. Although UK businesses will undoubtedly be nervous about the consequences of the Brexit decision, Coface UK’s Managing Director, Frédéric Bourgeois, believes there could also be rewards for those who are inspired to access new markets.
He said: “We are all in unchartered territory following the referendum but what we do know is that it will take at least two years for the UK to actually leave the EU. This means that exporters and domestic businesses will have to negotiate a prolonged period of uncertainty and volatility before we know the precise terms and date of exit.
“It might be easy to see this as a reason to look inwards, delay investment decisions and take an extremely conservative approach to trading. But the fall in the value of Sterling for example means exporters can take advantage of the new opportunities. However information and protection is crucial”.