BN was talking with David Wallach recently and our
conversation veered to the term reciprocal trade. Wallach
says our industry has never properly identified itself, and
he offers the following content to better describe our
Wallach Offers Definition Of Barter
By David Wallach
Ancient barter was man’s first form of commerce
and consisted of the one-to-one direct exchange of goods and
services. Advances in technology have greatly expanded and enhanced
the scope of barter far beyond this limited one-to-one model.
In 2007, International Reciprocal Trade
Association (IRTA) member companies using the “Modern Trade and
Barter” process, made it possible for over 400,000 companies
worldwide to utilize their excess business capacities and
underperforming assets, to earn an estimated $10 billion dollars in
previously lost and wasted revenues.
In terms of income, excess business capacity
represents the difference between actual cash revenues received, and
the cash revenues and profits that would be realized, if a business
operated at 100% of its capacity.
Most businesses are operating at less than 100%
of their potential business capacity.
IRTA member companies can help your business
realize lost revenues and make additional profits by making use of
your excess business capacity. Consult the worldwide membership
directory listing on this web site or an IRTA member company located
in your geographical area.
Businesses that choose to participate in modern
trade and barter will become a client of an IRTA member company. As
clients when they sell their goods and services to other clients in
the system they earn trade credits which are deposited into their
accounts. They then have the ability to purchase goods and services
from other member clients utilizing trade credit in their accounts.
IRTA member companies play a vital role as they
provide organization, system management, record keeping, maintenance
of transaction record and broker services to each member client.
All IRTA members companies adhere to a strict
IRTA Code of Ethics. Businesses that utilize modern trade and
barter can be assured that their trade credits are earned and spent
within a network that is committed to a high standard of business by
meeting requirements that prove the strength and sustainability of
their exchange networks.
It is important to note that there are other
forms of modern trade and barter. Some of these include
complementary (or local) currency organizations, LETS (Local
Exchange Trading Systems) and many other forms of alternative
monetary systems to help local and regional economies.