In this article, we’ll talk about barter dollars and how you, as a business owner, can benefit from using Bartercard’s barter trading exchange system. But what is a barter dollar in the first place?
A barter dollar is a currency used in the cashless economy of bartering. In New Zealand, for example, a barter dollar, also known as a trade dollar, makes trade exchange systems like Bartercard possible, especially for business owners who use it to exchange goods and services. It’s such a practical alternative to traditional buy-and-sell options that Google searches like “where can I use Bartercard?” are becoming increasingly popular these days.
To understand the advantages of using trade dollars for businesses, let’s first look at what you can do with a trade dollar.
The Value of a Trade Dollar in a Barter Trading System
A trade dollar is an alternative electronic currency that has re-introduced bartering to modern business-to-business networking. In NZ, a barter dollar is a legitimate and recognised alternative currency.
Paying in this currency is as valuable as paying in cash. One trade dollar is equivalent to one NZ dollar. More importantly, the income you earn from bartering is taxable.
Now that we’ve established the value of a trade dollar and where they stand in NZ’s financial laws, let’s move on to the more exciting part: how you can use trade dollars for your business.
Using Trade Dollars in Barter Trading Exchange Systems
As highlighted earlier, barter trading exchange systems like Bartercard expands the benefits of using trade dollars as an alternative currency.
Here’s how this cashless method of exchanging goods and services is helpful to businesses, big or small.
Expand Your Market Reach
There are over 10,000 Bartercard members in New Zealand. Most of these cardholders are small to medium business enterprises from a wide range of industries. These SMBs are looking for fellow business owners interested in something they have and vice versa. This ability to reach new people is an effective way to attract more customers to your business.
Additionally, the spending power that barter dollars offer makes your business accessible to clients that exclusively use this currency when acquiring new stocks or hiring services.
Offset Costly Cash Expenses
Aside from reaching thousands of potential customers that exclusively use barter dollars for trading, the opportunities of business-to-business and cross-industry trade exchanges help you gain access to deals that will help grow your business without breaking the bank.
Suppose you’re a small restaurant franchise owner looking to expand your marketing efforts. In that case, you can look for marketing and branding professionals, graphic designers, and social media developers through a barter network. You can pay for their services using trade dollars instead of cash. This ability to offset cash expenses helps you focus your finances on other aspects of your business.
Improve Profit Margin
Accepting trade dollars in exchange for your products and services also helps you improve your profit margins. Typically, store owners may sell their products at a discount and offer promotions to deal with excess inventory. The good news is, with the wide market reach and more convenient mode of payment via barter trading platforms, you’ll be able to find the right buyer for your stocks with just a few taps of the button.
These are the top three benefits of using trade dollars instead of cash. Enjoy other advantages as soon as you take the first step and start your membership with the country’s most trusted trading system. See you there!