In this guide, we’ll outline everything you need to know about global payouts, how they work, and how you can use them efficiently to stabilise cash flow when dealing with regularly occurring cross-border payments.
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The world is becoming more and more globalised, and despite the protectionist fervor of the present moment, global transactions are becoming more and more common throughout all corners of the world. The UK has naturally been a hub for global business, and with more and more businesses buying from overseas suppliers, international payments are becoming extremely important. And how do businesses move money across borders in different currencies in a decent amount of time? Through the global payouts system, which provides part of the lubricant that makes international transactions function.
Global payouts are systems or platforms that businesses use for outbound payments to recipients located in different countries who have different currencies and different banking systems. Wise, Payoneer, and Stripe are all examples of global payout systems that most people will have heard of. Global payouts matter because they provide the infrastructure that supports cross-border payments. Cross-border payments are a core part of the global economy, and the Bank of England estimates suggest total values could exceed $250 trillion by 2027 and approach $290 trillion by 2030, increasing the need for reliable payout tools as more SMEs operate internationally.
For UK SMEs, global payouts may include paying contractors in Europe, settling marketplace sales, or paying suppliers in Asia. Rather than connecting to each local banking system, businesses typically rely on platforms that handle routing, compliance, and currency conversion.
The chart below shows projected growth in cross-border payment values from 2023 to 2030 based on Bank of England estimates.
Domestic payments will stay within one country, one currency, and one banking system, meaning the process is extremely straightforward. Global payouts cross borders, so they involve currency exchange, different clearing systems, and local rules on both sides. Cross-border settlements can be complicated. Take China, for instance; China does not freely float the RMB, and they have currency restrictions on what can leave and enter the country. When doing business with countries like China, sometimes using global payout systems can be much simpler than attempting to go through traditional banking channels.
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Global payout platforms are an intermediary, a third-party that sits between the business and the multiple payment rails. A business funds an account or settlement balance, sends payout instructions via a dashboard or API, and the platform handles the rest. This includes everything from compliance to FX; a whole suite of services tailored to make an international transaction or settlement go as smoothly as possible.
Most payout platforms follow the same basic flow, whether it is a single supplier payment or a large batch run. The business funds an account, then submits payout details either manually or through an API connected to a marketplace or finance system. Behind the scenes, the provider runs checks, picks the right payment route, and handles any currency exchange before sending the money on.
Global payouts are usually faster than traditional cross-border transfers, but speed still varies. Factors include:
Data from initiatives such as SWIFT gpi and G20 monitoring show that a growing share of cross-border payments now reach beneficiaries within an hour, although performance still varies significantly by corridor.
The cost of a global payout typically reflects three elements:
A global payouts API is a technical interface that lets a business send payment instructions directly from its own systems to a payout provider. Instead of uploading files or entering payments by hand, payouts are triggered automatically from a platform, marketplace, or finance system and tracked in real time. These APIs are commonly used by marketplaces, SaaS companies, and SMEs that run regular cross-border payouts and want consistency, speed, and clean reconciliation as volumes grow.
Different business models need different payout tools. A retailer sending occasional supplier payments faces different requirements from a marketplace paying thousands of sellers every week. Different types of global payment payouts are delineated below.
Marketplace payouts are how platforms collect money from buyers and then pay sellers across different countries on a set schedule. The marketplace sits in the middle as the merchant of record, handling currency, timing, and deductions like fees or refunds. For example, a UK-based B2B marketplace selling to EU customers might collect euros, convert them, and pay a Polish supplier in złoty without the seller ever touching FX or foreign banks. Most platforms rely on specialist providers, such as Stripe, to keep these payout flows predictable and clean.
Global mass payouts are used when a business needs to pay many people at once, such as contractors or creators spread across countries. Instead of sending dozens or hundreds of transfers by hand, payments are run in batches or triggered automatically through an API. A simple example is a UK software company paying 200 overseas freelancers at month-end in one payout run. Using a specialist provider cuts admin time and reduces mistakes that come with manual payments.
Global payouts can reach recipients through bank transfers, cards, or digital wallets, depending on what works best. A bank transfer might suit a long-term supplier, while a gig worker may prefer a fast card payout, and a wallet can help someone without easy access to a bank. For example, a UK marketplace could pay a German supplier by bank transfer and a Nigerian contractor through a mobile wallet in the same payout run. Most platforms support multiple routes, so payments fit the situation rather than forcing one method.
Global payout systems make life easier for SMEs as it simplifies their payment process, but underneath the hood, it can be incredibly complex. Recent research highlights how cost transparency, fraud concerns, and increased international activity shape SME attitudes toward cross-border payments. The figures below from Mastercard’s Borderless Payments Report show the issues most frequently reported by SMEs.
Every cross-border transaction must meet the rules in both the sending and receiving countries. This can be complex and increasingly burdensome, including checks on the business itself and screening the route from payment to recipient. For example, a UK firm paying a contractor in a Middle Eastern country like Turkey may trigger extra sanctions or fraud reviews compared to a domestic transfer. They will take special care to ensure to make sure that there are absolutely no Iranians involved at any point in the transaction. Most SMEs rely on banks or regulated payout providers to handle this, but finance teams still need to supply clean data and know where their responsibility begins and ends.
Global payouts expose businesses to currency swings that can quietly change the real cost of paying overseas partners. If you remember the Brexit vote, the value of the pound before and after the vote were wildely different, and this swings like these can cause issues. FX spreads and add-on fees can also be hard to spot, which makes forecasting harder. Some platforms offer fixed rates or multi-currency balances to smooth this out, but these will of course come with tradeoffs that need to be analysed.
Without a structured global payouts process, finance teams can end up managing payments via spreadsheets, email and manual bank uploads.
That creates risks around:
Global payout platforms can reduce this overhead by offering APIs, batch uploads, and integration with accounting or ERP tools. However, integrating and testing a new provider still takes time. SMEs need to align technical and finance teams to ensure data flows and approval workflows are designed correctly.
Choosing a global payouts platform is essentially a risk and operations decision. The right provider lets you scale international payments without creating a disproportionate compliance burden or cash flow risk. The wrong fit can lead to delays and strained relationships with suppliers or contractors.
When reviewing providers, SMEs can start with a small set of concrete questions and assessments:
Beyond the feature list, good questions help test how the provider operates in practice, such as the following:
Global payout platforms help UK SMEs send money efficiently to partners and suppliers around the world. They do not, however, remove the working capital impact of longer payment terms, seasonal demand, or currency risk. Outflows still need to be matched against inflows in a way that keeps cash flow stable.
This is where tools like iwocaPay’s trade credit (B2B “buy now, pay later”) can complement global payouts. By giving UK business customers the option to spread the cost of invoices over instalments, iwocaPay helps suppliers get paid upfront while buyers pay over time. This frees up always-needed cash for other endeavours to help improve the business in a significant way.
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