Cork furniture business putting in the time to ensure it is Brexit-ready

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O’Donnell’s Furniture made deal with bank and is working closely with suppliers

and the UK is an issue, said general manager Katherine O’Sullivan, who oversees a workforce of 45 at the Skibbereen company. “Sterling was weakening which affected our income levels, because the sterling value of our projects decreased when converted into euro, and this meant profits were affected,” she said.

“We cannot raise our prices without affecting our competitiveness, so in that context our relationship with our bank is very important and we have maintained a strong relationship with our bank.” O’Donnell’s has, she said, “hedged” a certain percentage of the company’s expected sterling income into the future.“This means I make a deal with the bank on an exchange rate for our future sterling income and that cannot change regardless of circumstances. This provides us with stability and security as regards to our sterling income.”and Ireland to ensure continuity post-Brexit.

“We are also now classifying the materials we import from the UK in order to establish what potential duty might be incurred in the event of a hard border.” Finally, she said, the company is remaining in close contact with clients, reassuring them that plans are in place to deal with any fallout from a hard Brexit.

 

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