We talked with one of our construction and trade members to find out the advantages the network brings to their business. Here Duncan Edwards tells us about what works for his business, Cast Iron Services Ltd.
How long have you been involved with Bartercard?
We joined Bartercard about five years ago and haven’t looked back. It’s been great to have had new opportunities open up to us to help us preserve cash.
Since being a member, what benefits have you seen that as a direct result of being part of the network?
Undoubtedly, we have secured contracts which we may have lost to the competitors in the cash economy. Other members in the Bartercard network are significantly more likely to use our services if their quote/invoice can be paid by using Trade Dollars.
If you are busy with cash contracts, how do you still manage to take on Bartercard work?
We have a reasonably sized crew at Cast Iron so we are able to accommodate most jobs within a reasonable time frame. If we are extremely busy, like with any other client, as long as we communicate honestly about projected time frames most people are happy to wait until we are available. We don’t treat Bartercard or cash jobs any differently.
How do you best utilise the network?
Bartercard has increased our client base and enables us to earn Trade Dollars, which we can then use to pay for some business expenses. These expenses are ones we would already incur regardless of being a Bartercard member or not.
Mostly, we purchase items such as stationery, printing paper, timesheet books, mechanical labour for our 20 vehicle fleet, client entertainment, staff functions, and gifts, and accommodation, all of which help us to conserve cash flow.
Barter has been around for thousands of years. In today’s’ society, Bartercard simply allows you as a member to pay for products and services between members using Trade Dollars instead of paying in cash. The Trade Dollars are then used to offset cash expenses within your business. Trade Dollars are a well-recognised and accepted method of payment in New Zealand. One Trade Dollar is equivalent to one New Zealand dollar for all accounting and taxation purposes.
In effect, each time a purchase is made between Bartercard members, they receive a discount equal to Gross Profit Margin (GPM). Each time you spend with Trade Dollars it will come back to you in the form of new customers from another Bartercard member, who are motivated to utilise your goods and services because they’re paying with their GPM, saving them cash every time they spend.
The new customers generated by Bartercard will be incremental to your existing cash business, therefore not interfering with your existing business model.
Find out how you can benefit from the Bartercard network by requesting a consultation here or contact 0800 New Customers (0800 639287). Why not download the free e-book “How to use Bartercard to grow your business“.
To discuss a future job with Cast Iron Services, contact Bartercard Taranaki on 06 769 5042 or email firstname.lastname@example.org