Bartering in BusinessHow to use Bartercard for Better Business Results
GAIN MORE CUSTOMERS
For you to gain more customers, you would typically hire additional sales people, advertise, reduce prices or offer incentives. By accepting an alternative method of payment i.e. Bartercard trade rands, you open up your business to a whole new market of customers and in turn gain a competitive advantage. The new customers you’ll receive from Bartercard will be motivated to buy from you. This directly results in increasing your sales opportunities.
REDUCE YOUR CASH EXPENSES
Bartercard assists you to increase your sales, and in turn, you are able to spend the Bartercard trade rands you earn, as well as your interest free line of credit, to purchasing products and services. Effectively, you will be able to offset some of your cash expenses by paying with Bartercard trade rands, therefore saving your cash.
BUILD BUSINESS NETWORKS
As Bartercard is a membership based network there are many local and national networking events that are designed to provide introductions. Through new contacts barter business is constantly being conducted, and additional new cash referral business is reciprocated as a result of new relationships.
SELL EXCESS STOCK
In the cash economy, in order to sell excess stock, a business will typically discount stock, run dealer promotions or write off excess stock. Through Bartercard, business owners are able to sell excess inventory at the normal selling price negating the need to reduce precious profit margins.
FUND CAPITAL GROWTH
When you become a Bartercard member, you are automatically given an interest free line of credit. All members are able to apply to increase their line of credit from R100,000 to R250,000 or more, depending on their level of trading within Bartercard, their equity and security. With their increase in credit, Bartercard members are able to fund the capital growth necessary to grow their business. Some business owners have applied for substantial large lines of credit which they’ve used purchase new factories and office premises, complete renovations or develop extensive marketing campaigns to grow their business.
COLLECT OUTSTANDING DEBT
When a Bartercard business owner is continuously having trouble collecting cash from one of their customers (debtors), they may offer to accept part or the entire amount outstanding from the debtor in products or services. Providing the debtor agrees, a Bartercard member is able to collect their outstanding debt by taking physical possession of the debtors products or by accepting a credit note which they, in turn, are able to on sell through the Bartercard network. As the Bartercard member sells their debtors products or services through the Bartercard network, the debtor reduces the balance of their outstanding debt.
INCORPORATE BARTERCARD INTO YOUR PAYROLL
Bartercard can help you attract the right people for the job and keep them happy with rewards paid for with Bartercard rather than cash. Choose from incentives such as holidays, gift certificates or restaurant vouchers to make your team feel rewarded and appreciated.
TAKE CONTROL OF YOUR MARKETING
By being a member of Bartercard, you’ll gain free local, national and international exposure through Bartercard’s online Directory, eCommerce platform plus the e-newsletters and networking functions. In addition, you’ll have the opportunity to use your Bartercard trade rands to promote your business to the cash economy by spending on advertising and promotional items, sponsorship and public relations.
WIN CASH CONTRACTS
Trying to win a business contract these days can be difficult with competitors undercutting prices to win deals. With Bartercard, members are able to offer their potential cash customers (non Bartercard members) the option to pay for part of the total contract amount with their product or service. In turn, the Bartercard member can then on-sell this product or service through the network, realising the full contract amount. For example, when a cleaner quotes on a hotel cleaning contract, the cleaner may choose to accept some hotel rooms as part payment for their service. The cleaner is then able to trade (sell) these hotel rooms through the Bartercard network.
PAY YOUR CREDITORS
During tough economic times, some Bartercard business owners may not have a substantial cash flow to support paying some of their creditors. By being a Bartercard member, they have the option to use their Bartercard trade rands or products or services that they have purchased on Bartercard, as a means to pay all or part of their cash debt quicker.
As a business owner you may need to lease or buy an asset such as a forklift, kitchen equipment, factory equipment, photocopier, computer, or phone system but you may not have the working capital to afford the large cash outlay. If you were able to purchase all, or part of these goods with trade rands from another member, they could arrange cash finance (through a finance lender) for part or maybe all of the asset, then hold those funds to use as a valuable cash injection back into the business.
GAIN CASH REFERALS
We find that every time a Bartercard member provides a service or product of great quality to another member, the satisfied customer is likely to recommend the business to other people they know in the cash economy. Therefore, by simply providing great service and products to Bartercard members, you’ll be in a position to gain referrals to new cash customers.