Bartering is as old as mankind itself. People have always traded what they have or do for what they need. It is the world's oldest buying & selling tool, is also the newest and most sophisticated way to expand business without additional cash outlay. It is normal business without cash. It is the cash-less art of trading what you have for what you want.
The problem with one-on-one trading that you are accustomed to is that each business must need exactly what the other has to offer. In New England Trade's barter exchange, everyone trades with anyone, even if you do not want what the other company has to offer. Trade dollars are credited to your trade account, which you can spend on any good or service that you want from within the barter exchange.
Clients of New England Trade use Trade Dollars, instead of cash to handle their transactions. For example, if a client sells $1,000 worth of products to another client, they will receive $1,000 in trade dollars in their trade account, which can then be used to purchase anything from the other trading clients within the New England Trade barter exchange.
Yes, New England Trade National Association of Trade Exchanges (NATE), and the Barter Association National Currency (BANC). These associations have a combined membership of over 50 barter companies representing over 20,000 businesses. New England Trade has set up reciprocal barter arrangements with these companies allowing your company to make sales and purchases on a National Level.
Just like a bank, we encourage businesses to apply for a barter line of credit. If you qualify, you can begin purchasing immediately.
At year end, New England Trade computes the proceeds from your barter sales and submits this information to IRS on Form 1099-B. Be sure to include your bartering income from Form 1099-B in your total income when filing your tax return. You are also mailed a copy of this form for your records.
Barter income should be viewed as you would your cash income. There are no inherent tax advantages or disadvantages just because you use a barter exchange. Barter is a marketing tool, not a tax tool. Generally speaking, as with cash income, barter purchases that are business-related are deductible, and conversely, barter purchases that are made for personal use are not deductible. Naturally, your barter income (sales) and business deductions (purchases) should be accounted for separately on your tax return. (Please seek professional advice)
Every member business is assigned a trade broker in our office. They do a complete spending analysis with you on your current purchasing as well as projections for your business in the future. You can spend your trade in many of the same ways you spend your cash. If your products or services are in high demand, we are happy to call you first and tell you who is looking to purchase from you and what their needs are. This way you can decide if you can handle more business and know ahead of time what the job entails. At any time you have a positive trade balance you may request to go on stand by.
There are several, with the foremost being new business. Barter provides you with new clients and allowing you to expand your market beyond your cash-paying accounts. Barter enables you to obtain products and services without a cash outlay. Instead of spending cash to purchase goods & services needed, you can barter your own goods & services to pay for those needed. Thus, more cash stays with your business, providing increased cash flow. Plus, barter puts idle resources to work. Excess time, inventory, and capacity are converted into profits.
Your business will be assigned a personal trade broker who is always available to help you with trade purchases, present new trading opportunities, and to work with your business to help you save cash. There is a complete membership directory updated on a regular basis available on our web site. In addition we offer fax back directories, e-mail and monthly "statement stuffers". At least once per year we have a Barter Expo that provides numerous opportunities to use your trade dollars.
Essentially, the market determines pricing just as it would cash. The seller is expected to trade their Goods & Services at their prevailing prices. By accepting or rejecting prices, New England Trade members are ultimately the determining authority in the pricing integrity. Business owners are educated shoppers. Barter is simply a mode of payment - just like a credit cards, checks, or cash.
A Trade Broker assists you in marketing your goods and services to the other members of the trade exchange helping generate you new business. Your trade broker also assists you in purchasing goods and services available in the Trade Exchange.
We are independently owned & operated and have been trading Goods & Services since 1980. We have the most experience of any trade exchange in the region. We understand the many ways you can use your goods and services to generate non-cash income, get what you need and want, and build more traffic and referrals. We can put you in touch with barter resources across the country, or introduce you to a new trading partner down the street. We run programs to help you network with other business and professional service providers, and offer all the tools you need to promote new business by using the resources you currently have. Our members have traded over 100 million dollars in Goods & Services.