B2B Cross-Border Payment Solutions Guide: Methods, Challenges, & More

Paying overseas suppliers. Getting paid by international clients. Managing contractors across time zones. For growing businesses, these are normal parts of doing business.

And they’re only becoming more common. According to data from FCXIntelligence, the global B2B cross-border payments market reached $31.6 trillion in 2024, and it’s projected to grow nearly 60% by 2032, reaching $50 trillion as more companies expand internationally.¹

But when payments cross borders, things get more complicated. Between exchange rates, transfer fees and settlement delays, small financial inefficiencies can create bigger issues for your business.

This guide explains how B2B cross-border payment solutions work, the challenges they address and how to find a better way to manage your international payments. We'll also discuss the Wise Business account. The global account that can help your company with all things cross-border.

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What Are B2B Cross-Border Payments?

B2B cross-border payments are transactions between businesses located in different countries. What makes these payments more complex than traditional B2B payments is that these payments usually involve exchanging currencies and working through foreign banking systems.

If your business in the U.S. pays a marketing agency in Germany, that’s an example of a cross-border transaction. The payment needs to leave your local bank, convert to euros and arrive in the recipient’s account. However, it needs to do all of this while staying compliant with financial regulations in both the United States and Germany.

Unlike local payments, there are more steps, variables and room for error. That’s why a dedicated payment solution matters.

How Cross-Border Payments Work

At first glance, an international payment might seem just like any other transaction you make. However, the closer you look, you’ll understand why cross-border payments require more careful handling.

This is how the process typically unfolds:

1. You enter payment instructions with your bank or payment provider
2. The money moves through a network — often swift — with intermediary banks
3. Currency is converted, sometimes more than once
4. The payment settles in the recipient’s account

Each step adds time and potential cost. For example, traditional banks may charge fees at multiple points. The recipient may not receive the full amount. And delays can stretch from hours to days, depending on the currencies and countries involved.

Challenges Businesses Face with Cross-Border Payments

So, we know that international payments are slower than domestic payments, but their challenges don’t end with speed. They also come with a mix of financial and operational challenges that can hinder even the most well-run teams.

Let’s take a closer look at the problems that show up most often before we move on to solving them with modern B2B cross-border payment solutions.

Currency Conversion

Banks aren’t known for offering favorable exchange rates. They may add a hidden markup of 3% or more on top of the mid-market rate, meaning you lose money on every transfer.

For businesses that send frequent payments in multiple currencies, this recurring cost eats into profits over time.

Unpredictable Timelines

It might only take a day or two for domestic transfers to settle, but cross-border payments can take five or more.

Delays often stem from compliance checks, banking holidays in different regions or time zone mismatches. Unfortunately, that unpredictability can make it harder to plan payments, manage inventory or track expenses.

Limited Tracking

Cross-border payment tracking, or a lack thereof, can also pose a challenge. Often, once you send a traditional international wire transfer, you won’t hear anything until the recipient confirms they received it.

Without real-time tracking, finance teams are left guessing. Reconciling international payments also becomes a manual task, adding more work to your team’s plate.

Compliance Requirements

Banks and payment providers have to follow strict regulations for anti-money laundering (AML), know-your-customer (KYC) and tax reporting.

If any part of your transaction triggers a compliance flag, it can be held or rejected. That slows down your operations and introduces more complexity.

Some providers handle these checks behind the scenes, while others may require manual documentation that delays the process.

5 Common Payment Methods for Cross-Border Transactions

There’s no single best way to make international payments. When you compare all of your options, you’ll notice that each method offers different trade-offs between cost, speed and flexibility.

Here are the most common options businesses use:

Bank Wire Transfers

These are still widely used for large international payments, but they’re not ideal in terms of speed or cost.

Wires are processed through intermediary banks, which may each deduct a fee. This means the full amount sent often isn’t the amount received.

Credit Cards

Credit cards tend to be convenient and fast. That is, if your vendor accepts them.

They’re typically used for smaller payments and carry foreign transaction fees of around 2% to 3%, so they’re not well-suited for repeated B2B use.

Online Payment Platforms

Digital platforms like Wise allow businesses to send and receive international payments using local bank details.

This method offers a lot of advantages, including that it bypasses the swift network, reduces fees, and accelerates processing. Many platforms now include multi-currency wallets, too!

ACH or SEPA Transfers

These are local payment systems in the U.S. and the EU, respectively. They’re fast and inexpensive, but only work when both sender and recipient have bank accounts in the same system.

Cryptocurrency

Crypto can offer instant global settlement, but comes with volatility, accounting complexity and limited adoption. For businesses without in-house crypto expertise, managing wallets, conversions and reporting can quickly become overwhelming.

Until regulations, infrastructure and adoption improve, most companies continue to rely on more stable and familiar payment methods.

6 Benefits of Modern B2B Cross-Border Payment Solutions

Newer cross-border payment solutions were built to fix, or at least ease, the pain points mentioned above.

Let’s look at what they do differently and why more businesses are switching.

Benefits of B2B Cross-Border Payment Solutions
Lower Costs	Digital payment providers often offer mid-market exchange rates with low, transparent fees. Instead of losing money on marked-up rates or hidden wire fees, you know exactly what you’re paying and what your recipient gets.
Faster Settlement	Modern platforms can often deliver payments in one to two business days, sometimes within hours. That speed helps you stay on top of urgent payments and avoid delays that disrupt operations.
Real-Time Tracking	Know where your money is at each step. Payment dashboards and email alerts keep you informed from initiation to delivery. No more guesswork when vendors ask if the payment went through.
Currency Control	Multi-currency accounts let you hold, receive and pay in different currencies. You can convert funds when rates are most favorable. This way, you’re not stuck automatically converting every time a payment is made.
Built-In Compliance	Trusted providers handle AML, KYC and tax documentation in the background. That reduces the risk of held or rejected transactions. You stay compliant without having to build those processes yourself. Win-win!
Software Integrations	Many payment platforms integrate with accounting tools and ERPs, such as QuickBooks, Xero or NetSuite. This saves time and improves accuracy by automating the reconciliation and invoice matching process.

Save Time and Money On Overseas Payments With Wise Business

Wise Business can help you save big time on international payments.

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account is designed with international business in mind, and makes it easy to send, hold, and manage business funds in currencies.

Signing up to Wise Business allows access to BatchTransfer which you can use to pay up to 1000 invoices in one go. This is perfect for small businesses that are managing a global team, saving a ton of time and hassle when making payments.

Some key features of Wise Business include:

• Mid-market rate: Get the mid-market exchange rate with no hidden fees on international transfers

• Global Account: Send money to countries and hold multiple currencies, all in one place. You can also get major currency account details for a one-off fee to receive overseas payments like a local

• Access to BatchTransfer: Pay up to 1000 invoices in one click. Save time, money, and stress when you make 1000 payments in one click with BatchTransfer payments. Access to BatchTransfer is free with a Wise Business account

• Auto-conversions: Don't like the current currency exchange rate? Set your desired rate, and Wise sends the transfer the moment the rate is met

• Free invoicing tool: Generate and send professional invoices

• No minimum balance requirements or monthly fees: US-based businesses can open an account for free. Learn more about fees here

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What to Look for in a Payment Provider

As we’ve seen, modern solutions offer distinct benefits. That said, not every provider is the right fit for every business. Get to know what different payment providers offer before landing on one.

Here’s how to evaluate your options:

1. Transparent Pricing

Make sure fees and exchange rates are clearly shown before you confirm a payment. Hidden costs can add up quickly, especially if you’re sending payments frequently or in high volumes. A provider that displays the exact fee, exchange rate, and final amount the recipient will receive helps you stay in control and avoid surprises.

Transparent pricing also makes it easier to compare providers and budget accurately across international transactions.

2. Currency Support

Does the platform support the countries and currencies you need to work with? Some providers support over dozens of global currencies.

3. Delivery Speed

Check average processing times, especially for the countries and currencies you use most. Some providers may advertise fast delivery but still rely on intermediary banks that introduce delays.

If your business depends on paying vendors quickly to release shipments or meeting tight payroll deadlines, slower transfers can create costly bottlenecks. In those cases, choosing a provider that consistently supports same-day or next-day transfers isn’t just helpful but also operationally important.

4. Multi-Currency Accounts

If you’re working with international clients, the ability to invoice and receive money in their currency helps avoid extra steps and costs. It also makes your business easier to work with — clients are more likely to pay promptly when they can use their local currency without worrying about conversion fees.

Not to mention, holding funds in multiple currencies gives you the flexibility to convert when rates are favorable, instead of being forced to accept whatever rate applies at the moment of payment. This added control can improve cash flow and customer satisfaction.

5. Compliance and Security

Platforms should be licensed and regulated in the countries where they operate. This is a good sign that they meet financial compliance standards and consumer protection requirements.

Two other must-haves are using two-factor authentication and strong encryption to prevent unauthorized access to your business accounts.

Regular fraud monitoring and security audits are two other indicators that the provider takes your financial safety seriously.

6. Support and Tracking

When something goes wrong, you need real support rather than automated replies. Look for providers with responsive help teams and payment tracking tools.

Simpler Global Payments Start Here

Cross-border payments were once difficult by default. Fortunately, there’s now a much smarter method to manage international business transactions.

Modern payment solutions help you move faster, spend less and simplify your global payments.

With more transparency, better exchange rates and fewer surprises, B2B cross-border payment solutions from Wise put you in control.

Get started with Wise Business today to grow your business globally without getting stuck in the details.

FAQs: B2B Cross-Border Payments

What are B2B cross-border payments used for?

Businesses use them to pay international suppliers for goods, compensate overseas contractors or remote employees and receive payments from clients based in other countries. These payments are integral to companies with global operations, distributed teams or international customer bases.

As more business relationships stretch across borders, managing these transactions efficiently becomes a core part of daily operations.

Are online payment platforms safe?

Yes, when you choose a reputable provider. Look for platforms that are licensed in the countries where they operate, follow regulatory standards, and invest in strong security measures like encryption and multi-factor authentication.

The best providers also conduct regular audits and offer fraud detection tools, giving your business added protection without creating more work for your team.

How fast are cross-border payments?

It depends on how you send the payment and where it’s going. Bank wires can take anywhere from three to seven business days, often slowed down by intermediary banks or compliance checks.

In contrast, modern digital platforms use local payment rails and can often deliver funds within one to two business days, or even on the same day for certain currencies and regions.

Can I reduce currency conversion costs?

Yes, and your first step is choosing the right provider. Banks often add a hidden markup to their exchange rates, but some platforms offer the mid-market rate with low, transparent fees.

If your provider also lets you hold balances in different currencies, you can choose the best time to convert based on favorable exchange rates, instead of being forced to convert every time you send or receive a payment.

Is a multi-currency account necessary?

This depends on how often you transact in different currencies. If your business sends or receives international payments regularly, a multi-currency account gives you more flexibility and control. You can pay vendors in their local currency, avoid repeated conversions, and improve transparency across your accounts.

Even if it’s not a must-have today, it can become a time-saver and cost-saver as your business grows.

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Sources:

1. FXintelligence