Short on Cash? Barter Your Way to Savings Online
The Internet makes it easier than ever for companies to barter products and services, and many small to large businesses are using online barter companies to find new customers and save money when buying things they need.
A giant business swap meet
You may have no idea that such a huge barter economy exists within our regular economy to help support businesses worldwide. Sure, you may know a local dentist might trade some teeth cleanings in exchange for getting their business cards printed.
But there is only so far that kind of direct barter can take you. A roofer with a toothache can't wait for the dentist to need a new roof to get his cavity filled. Enter barter networks, where users can sell products or services for an exchange currency, often called "trade dollars," and then use the trade currency to buy needed products or services. So a roofer might repair a leak for a flower shop in exchange for trade dollars, and then spend those on a dental visit.
Some 464,000 businesses took part in barter exchanges in 1998, trading more than $10 billion in goods and services. At that volume, it is hardly surprising that many bright entrepreneurs are now using the Web to make it easier to connect buyers and sellers across geographic areas. Companies have burgeoning online trading marketplaces to make bartering easier for businesses.
Some of the things that local trade members have bartered for recently. Signs for their new restaurant, business cards, web design, logo design, advertising, trips to California, New York, Restaurants, Limo Service, Catering, Photography, Pest Control, Lawn Maintenance, Ski Trip, Trip to Jamaica for Spring Break.... Etc.......
Most Accountants who understand these principles will recommend to new start up companies the use of a barter network to eliminate many of their startup costs. Several local business owners recently used a barter network to eliminate the need for cash to get business cards, a web site, logo design, accounting, business coaching, marketing workshops, signs for their trade booth, signs for their vehicle, incorporation work, legal advise, graphics, printing of letterhead, business trips including hotels and meals. They then paid for these services with trade dollars they earned once they opened their business with future sales within the network all without cash!
Article Submitted By:
Kathleen R. Smart President, SmarterIdeas.com.