Barter – The Gift That Keeps On Giving (continued)

The barter company also gives you a great record keeping system so you'll always know where you stand with your barter account. There's no additional bookkeeping on your part.

When you join a barter exchange, expect to invest between $300 and $600 in the membership. You'll have about $40 in monthly promotional fees and pay 12 to 15 percent commission on your trades. In return, the exchange will provide you with constant promotion of your business, ongoing account maintenance, a monthly statement, membership directory, a personal trade broker to find what you're looking for, and most importantly, lots of new customers.

"I had a real hard time with paying fees to barter when I had been doing it on my own for 15 years", said Sheila Tandy, owner of Sheila T's Great Gifts in Lincoln, Neb. "But when I sat down and took a serious look at all the accounts I was running a tab on, and how many I never received anything from, I saved a lot of money by paying the barter company. We've even moved most of our direct trades into the barter exchange. It just makes sense".

Enhance the way you do business

"The biggest benefit I've experienced through barter is that the new business keeps me busy year-round", said Michael Daugherty, owner of The Gift Gallery in Dallas. "I don't have to rely on my big holidays, like Valentine's Day, Easter, Mother's Day, and Christmas, to get me through the year. Barter works for me, and has definitely enhanced the way I do business".

Barter proved to be one of the smartest business decisions that Jill Everly, owner of Jack 'N Jill's Gifts 'N More in Rochester, N.Y., made when she first opened her gift shop three years ago. Tired of being the new kid on the block, and watching potential customers drive past her shop to do business with a family-operated store in her neighborhood, Jill decided to re-evaluate her business plan.

Satisfied barter customers

Barter clients for Gift Basket
companies are great for referrals,
providing a source of cash leads

"I believed my gift baskets were just as good, or better, than what my competitor was offering," Jill said. "Then one day I was approached by a barter company and they had an idea to increase my business. I listened, did my homework and decided barter could really enhance my business. It was one of the best decisions I've made. I've increased my customer base through trade and have even seen a rise in the number of cash customers I have from referrals."

"The most important part of barter is getting new business", says Tom McDowell of NATE. "When someone joins an exchange they're exposed to hundreds of new potential customers locally and thousands around the country. With competition so stiff today, barter helps drive those customers past your competition and into your door."

Sid and Martha Gelman, who own Rocky Mountain Baskets in Denver, agree that working 60, 70, or even 80 hours a week isn't uncommon in order

to see their business succeed. "That's a lot of time away from our growing family", Martha said. "Being in the barter exchange has allowed us the opportunity to take our family on great vacations, indulge ourselves with some luxury items, and even pay for part of our children's education. Barter has also allowed Sid to trade for our weekly home lawn care service so that he has more time on the weekends to coach baseball for our two sons. Barter has really enhanced our lifestyle."

Always keep in mind that barter is still a business deal. That means you should use the same good sense in making barter decisions as you would if you were paying cash. Check out the company: How long have they been in business? What do their clients say about them? Do they have a showroom and a directory? Are they members of the National Association of Trade Exchanges? These are all important things you need to know before joining a barter exchange.

Lastly, remember that both parties are customers in a transaction. You should expect and extend courtesy, high standards, and a commitment to providing a great product or service.

With these guidelines in mind, gift basket owners can take an ancient practice and put it to work in the modern world MC

Computer maintenance

Barter customers
send gift items year round —
not just during busy holidays.