The dollar, and this rekindles a debate that goes far beyond the numbers: the exchange rate is a factor that directly impacts cash, profit margin and the growth strategy of small and medium -sized businesses (SMEs). In Brazil, where more than 90% of companies are PMES, understanding how to take advantage of this window of opportunity can be decisive for success.
But calm: the exchange rate is a two -edged knife. The drop in the dollar may mean cheaper inputs and open doors to new markets, but it also brings risks that cannot be ignored.
1. Reduction of import costs: immediate relief
If your company depends on imported inputs-whether technology, machines or raw materials-the drop in the dollar is a breath in the budget. Imagine a medium -sized textile industry that takes advantage of this moment to anticipate the purchase of machinery or strategic inputs. In addition to ensuring better prices, this brings predictability for production planning.
But beware: Don’t be fooled thinking that the dollar will be low forever. A rapid reversal can erode your margins and turn the opportunity into a headache.
2. Competitiveness for exporters: the chance of expanding markets
For those who export, the scenario is different. The lowest dollar reduces revenue in reais, but makes its products more competitive in the international market. A small producer of organic foods that sells to Europe, for example, can use this moment to negotiate new contracts and gain space against competitors.
The Challenge: Control the internal costs, which are in real, not to see their margins tighten too much.
3. Investments and financial protection: the hedge as an ally
Many SMEs still see the currency hedge as something complex or exclusive to large corporations. The truth is that today there are simple and affordable options, offered by banks and financial advisors, which help protect cash from oscillations.
A technology company that pays dollar services such as cloud software and servers can hire a partial hedge to ensure predictable costs and avoid unpleasant surprises.
4. Price and transfer strategy: the domestic market game
The exchange rate also influences the price policy in Brazil. Companies that import can pass part of the cost reduction to the consumer, gaining market share. Already those that competed with imported products should take advantage of the moment to reinforce their differentials and build customer loyalty before the dollar rises again.
5. Strategic Financial Management: the differential of the PMES that prosper
The biggest mistake I see is to treat the exchange rate as “market noise”, something far from the reality of everyday life. In fact, the exchange rate must be at the center of financial decisions: impacts costs, margins, investments and cash flow.
Having a qualified financial advice may be the difference between taking advantage of opportunities and exposing yourself to unnecessary risks.
Looking at the future: Get ready for the unexpected
The drop in the dollar reflects conjunctural factors – flow of foreign capital, interest scenario in Brazil and the US, perception of fiscal risk. This means that just as the dollar has fallen, it can rise fast.
The exchange rate is both risk and opportunity. For Brazilian SMEs, understanding this dynamic can be the decisive step in turning sustainable growth volatility.
For the small and medium entrepreneur, the lesson is clear: there is no room for amateurism. It’s time to act with strategy, invest with intelligence and shield the business against the oscillations that will certainly come.
