Small business owners should check international banking transactions for errors after research revealed that more than a third (36%) have experienced problems.
The study by Travelex found that despite the fact that more than half of such errors are the fault of the banks, 17% of companies have been charged extra fees to rectify the problem.
These costs and the loss of man-hours chasing up such mistakes costs the average small business £400 a year, the study claims, and mean the small business community as a whole loses £100m annually.
"The demand for international business payment services is growing by 8% year-on-year," said Tony Wilson, director of Travelex's global business payments division. "With an increasing number of the UK's small to medium-sized businesses engaging in trade with their foreign counterparts, these figures illustrate just how often payments go astray, and the subsequent cost of putting things right.
According to the study, the top five most common mistakes are banks taking deductions on fees without the clients' knowledge; incorrect account names; human error; bank delays; and unsophisticated local banking networks in certain countries.
"We would urge any business involved with international transactions to think carefully about how they go about sending money abroad and, importantly, who they use to facilitate the payments," added Wilson.
"The knock-on effects of things going wrong can be crippling for a small business and go beyond a financial impact as reputations and business relationships can also suffer."
The survey also revealed that in two-thirds of cases the error was spotted by the customer rather than the bank.
