Get Your Business Funded: Creative Methods for Getting the Money You Need

The Barter Trail

If you would like to use barter to increase your business, here are the steps to take:

1. Decide what sort of barter system works best for you. Direct or barter exchange? If you already have someone lined up to engage in direct barter with, great. If not, you will need to put out feelers. Once you do find a direct barter partner, it is vital that the two of you agree on an appropriate value for one another's services so that things even out. You want to avoid bartering your products or services for things of lesser value.

2. If you choose an exchange, do your research. Use the terms “Barter and Trade Exchanges” in your online search. Different exchanges offer different benefits. Then check out the exchanges you like with the Better Business Bureau and Yelp, and even consider pulling a Dun & Bradstreet credit report on them. Also, you may want them to be members of the International Reciprocal Trade Association (IRTA.) If you can communicate with current members, that would be very helpful too.

3. Understand the fees. In the pre-Internet days, a barter exchange might charge a membership fee of several hundred dollars, a monthly fee of around $20, and a commission on each transaction, split between the buyer and seller, of about 10 percent. Today, most online barter groups charge much less. Joining may be free and transaction fees may be as little as 2 percent. However, also know that fees should not be the sole determining factor. A more expensive group may have ...