As you try to take euros out of a cash machine in Bilbao or Bremen, the screen may present you with a dilemma: do you want your transaction to be calculated from euros to pounds or vice versa?

If you are on holiday you are unlikely to be following the relative fortunes of the two currencies, and in any case the sums involved will probably be small.

But this is essentially the same dilemma facing those small and medium-sized businesses that sometimes have to buy foreign currency or make international transactions when buying goods and services from their suppliers or selling them to their customers.

As much larger amounts are involved, an error of judgment can make a real difference to the bottom line.

A small percentage rise in the strength of the euro against sterling could mean a loss of hundreds of pounds to an antiques dealer who is buying 50,000 euros to fund a forthcoming buying trip to Paris, for example.

In 1999, realising that few SMEs had the know-how to keep up-to-date with the international money markets, and that their needs were not being met either by money-wiring services or the bigger banks, four finance professionals set up a specialist corporate foreign exchange service in Washington DC.

They called it Tempus, a name inspired by the Latin word that means both the right opportunity and the right timing.

Greg Kimball, one of the founders, is now setting up the company’s first venture outside the States — Tempus UK — in offices in Summertown, Oxford.

It has five staff but this number is expected to grow to 10-12 over the next year. Mr Kimball explained "The UK is such a dynamic marketplace, so it’s a natural gateway for moving further east."

It also made sense because the UK is still using a different currency from most of continental Europe, resulting in a large demand for foreign exchange services.

They decided to locate in Oxford rather than London because they thought the city would offer a better quality of life for staff, whilst allowing good access to the capital.

"The happier an employee is, the more productive they’re going to be. We expect people to work hard but to play hard too: we don’t work nights or weekends," said Mr Kimball.

They were also thinking of recruitment: "The talent pool we are able to draw from in Oxford should be the same as that in DC."

The Tempus team is actively seeking new customers all over the UK, mainly through sales calls.

Though pleased with their success to date, Mr Kimball has noted a difference in corporate culture between Britain and the United States, which means UK businesses show slightly more reluctance to use financial services from providers other than the traditional big banks.

The bottom line in the foreign exchange and international payments industry is price – whether one company is offering a more competitively-priced rate than another. Mr Kimball believes Tempus is not only competitive in this sense but that it offers a far higher level of customer service than bigger institutions, partly because it specialises in foreign exchange rather than offering a whole range of financial services, and partly because it believes SMEs are important customers whose particular needs merit personal attention.

So Tempus’ clients each have a relationship with an account manager who will pro-actively offer them tailored advice based on their knowledge of international currency markets and also of the client’s industry sector.

For example, travel and tourism companies may need to buy large amounts of currency at certain times of year.

These times will be different for a company that specialises in skiing trips from those of one whose main business is summer holidays.

Their advisor will help them work out a strategic approach to their foreign exchange dealings that will minimise the risks associated with currency fluctuations. As ever, good timing is of the essence.

The company’s website offers detailed information about currency movements, including a blog which analyses all factors affecting the markets.

Mr Kimble predicts UK customers will have a similar profile to existing clientele in the US, making transactions that are generally in the range £10-40,000, though sometimes much larger or smaller.

Freight forwarders, art and antiques dealers, wine importers, and specialist manufacturing firms are the kind of companies expected to become clients.

Of course the inevitable question for such a company — is it difficult working in the current economic climate?

"There are always opportunities created by volatility in the market place and, if presented in the right way, clients can take advantage of them. Volatility is not necessarily a bad thing, it just needs to be managed" said Mr Kimball.

Fact File Name: Tempus Consulting/Tempus UK Established: In the United States in 1999; in the UK in 2008.

Owners: Greg Kimball, UK Managing Director, and three other founder partners Number of staff: 53 in total – five based in the UK and 48 in the USA Annual turnover: Confidential Contact telephone: 01865 512 672 Web: www.tempusconsulting.com