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10 Ways Barter Can Play An Important Role In The Building Of Your Assets

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. fax machines, computers, phone systems, 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 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 and 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.



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