Both the value and the
borrowing power of a typical business can be increased if the
business owner takes action to increase cash-flow and reinforce its
predictability. And barter can play a major role in the enhancement
of business strategies.
If you�re so busy
earning a living on a daily basis that you don�t take the time to
focus on activities which can make your business more valuable, more
predictable and more manageable, here are some suggestions.
It's important to think
about the future sales price of your business and attracting the
best buyers, now-while you have the luxury of time to increase its
market value.
Today is the best time
to begin developing and implementing the strategies needed to build
the value of your business. It is the largest single asset on a
typical entrepreneur�s personal balance sheet. Use these 10
strategies to increase your company�s market value. In almost every
case barter can play an important role in maximizing the value of
these strategies.
1. Constantly contain
costs by
acquiring needed products and services whenever possible at your
lower marginal cost of doing business through barter.
2. Diversify your
customer base
by bringing in new business through your trade exchange.
3. Improve operating
efficiencies
by trading for equipment or services that increase company
efficiency, i.e. computers, phone systems, fax machines, and other
services.
4. Make the business
more recession-resistant
by continually broadening your base of customers. This can be
achieved by sustained advertising, through the efforts and
assistance of your trade exchange ... which then builds your
company�s name and develops a stronger image in the marketplace.
5. Use working capital
more
productively by taking advantage of every trading opportunity.
Replace cash purchases with barter purchases.
6. Encourage internal
teamwork
through the use of rewards, bonuses, and perks for employees ... all
or which are available on trade.
7. Improve profit
margins by
trading at your marginal cost of doing business. Your barter or
marginal cost of doing business does not include your fixed costs,
as these are stable and covered by your on-going cash business.
8. Increase sales
by developing new products or services. More barter sales mean more
cash-flow, thus more money for research and development of new
products and services.
9. Improve market share
automatically when barter sales are obtained.
10. Emphasize
non-cyclical products
and services by balancing out the boom and bust cycles of the cash
world. Adding barter to your arsenal is a counter-cyclical business
strategy.
