Has anyone heard of barter card?

[rkan]

I'm in the process of opening a small printing company, I've been approaced by barter card, they've explained to me the logistics, however I dont know whether joning them is a good idea, please help.The idea of a fake currency scares me alittle.

you can find them at bartercard.co.uk

[epiphany]

Sounds interesting, although, while reading the benefits to having a card section I was just thinking, I can do all that without one of their cards.

[Strategist]

Bartercard was started in Australia and has expanded rapidly around the world but is relatively new to the UK. There are/have been similar schemes over the years. The scheme (as it suggests) involves 'bartering', i.e. exchanging goods or services for goods or services and uses its own currency to make up any deficiencies or surpluses on any individual trade. It can be a way to get more business through other members. It is best suited to companies that are in the middle of a supply chain, i.e. buying from and selling to other businesses. It is even better, if you are in a supply chain but can also sell direct to the public, e.g. a garment manufacturer or distributor with its own shop(s). However, there are some precautions to consider before making a decision. First, how man of the same type of business as yourself are already in the system? What levels of potential customers are in the system (especially if you intend to focus on a particular type of customer. Finally, if you are VAT registered, or buy from a VAT registered member, VAT has to be added (and accounted for) on all relevant transactions. HMCR only accept money!
AT the end of the day, the decision is yours, I hoep this helps you towards a decision.
All the best.

[Fab1]

Hi there

I was a member of bartercard once. I use to own a restaurant and signed up back in 1999. It is quite a good system but there are a couple of things you must know about it.

First you have to be sure that you can "spend" the "points" you accumulate when you sell your product. At the time I joined a few members were unhappy with the fact that none of the other members were usefull to them.
You must be wise when buying yourself. No matter what they say, some members will put prices up when selling in "barter points".

I had a good experience of Barter card overall and the fact that you get to claim VAT (in cash) on "points" purchases was a little help at a time when cash flow was a little tight.

Regards

[fastfences]

Hi. I too had been a member of Bartercard in Australia until 2003. It does help a business with a lot of 'downtime' and could be seen as useful in getting a 'headstart' in a new business. However, in my business (fencing) I had the problem where I couldn't spend my trade $ (as they were) on new supplies, because there was no timber supplier in the system. Don't forget that if you do 20 hours work on 'trade £'s', there's no money in the til. You must be able to expend it quickly, and not just on simple things like stationery - which you can often get cheap at Staples and the like- or other abundances of office equipment.

But - the BIG BUT - the fees extracted from your account, in my experience (note the disclaimer!) are high. You pay a % of the purchase and sale (5.5% cash & 1% trade) plus a monthly account maintenance fee of £12.50.

You have to weigh up whether you can 'carry' a certain amount of 'credit'. set yourself a limit of 'trade' deals. I know the joining fee is about £1,000 with some specials offered at around £700 + VAT. It will take a long while to re-coup that money, money I'd suggest best not spent while you're establishing yourself. Trade for a few months and re-evaluate - you may never need it.

I did look at the system here and decided it was too dear for me, for the return I could expect. But I too, will look at it again in the future and may be enticed if the fees were lower.
Kind regards,
Nigel

[My Business Mate]

If anyone wants to know anything about Bartercard I am willing to help. My name is Ian Jones , I was the MD of Bartercard New Zealand, President of Bartercard USA and MD of Bartercard UK. I resigned to form my own business in Feb 2006. It is a great system in the right hands with the right knowledge, but there are traps.
I can be contacted by phone on 07909 975 491 or email ianjones at mybusinessmates.com

regards Ian

[adam]

Vendesent is a BC member. Like any system it has advantages and disadvantages.

The fees are high but if you do the right trade it can work. The trick with your "Trade Pounds" is to think about spending them first, then accept the sale on trade later. If everyone spends then it works.

Generally my account is overdrawn which is good then I can take the work in at a good margin when I have the spare time and it works well.

If you want to sign up and are in Herts. Beds and Bucks I will have a chat with you.

[hightide]

I looked into it but was put off by some of the (hard) sales tactics, and the fact that they couldn't tell me if the things I need to buy are available in the system until i joined. we don't buy a lot of things, so I needed to know that the few things we do buy are there (in our case I as interested if I could buy new IT systems)

I did some digging and spoke to some existing customers.
One thing I learned is that the joining fee (which they also don't want to discuss) is a notional concept and that they need you more than you need them. The consensus seemed to be that you could get in for free, or pay the joining fee in barter pounds.

the general message was - it works, but don't part with cash to join no matter how hard they push!

[SillyJokes]

My brother in law did Barter Card and warned me off. He did a lot of sales business but in the end he just couldn't spend what he had accumulated and ended up buying a massive TV he didn't need just to get rid of his points and come out of it with something.

This hit him particularly hard as he is a struggling small family business with three young kids and cannot afford to take this hit.

[Investified.com]

sounds like these points/fake currency is a bad idea

[hightide]

I think it could work for some people - as someone said if your in the middle of a supply chain or something. cash is always nicer!!!

[salmo776]

MM Barter Card, Yes I have heard of it I used it in a previous company I was employed by. If you go down that route make sure you can spend it.

I know that the previous company has 10k tied up with barter and nothing that will benefit the business to purchase.

Also it is common practice to inflate the price of the service offered or recieved.

Me thinks your cash is better in the bank earning you interest or spendable on whatever you desire.

Have you ever played monopoly? about as worthwhile to most as those notes from the boardgame. Cash or Cheque please for me any day :smile:

Regards Mark

[PeteA]

One thing that may put you at ease is they are listed on the London Stock Exchange.

Mind you, it is not the best recommendation


http://www.bizseller4u.com
Buying a business? (http://www.bizseller4u.com)
Selling a business? (http://www.bizseller4u.com)

[adam]

Always ask yourself if it works for YOU.

If I sold all my stuff on it, it would not work but think of it this way...

I need to buy a printer/printing/telemarketing services, provided the price is fair (and from most people it is) I spend the money using my credit line BEFORE I earned it.

Then it is in their best interest to get someone who wants a vending machine from me. I sell the machine for say £200 having just spent £200 on what I needed.

I have therefore swapped my vending machine that I hadn't had a buyer for at the time for my printing or whatever.

That £200 machine did not cost me £200!

I see my monthly charge as a networking cost. I speak to a lot of members just for a chat and to showcase services for knowing there is no pressure and we all try and help each other out without charging.

[Firegate]

Bartercard is great. Use sales from other Bartercard members to fund your business and personal expediture. Use it this way and it can only improve cashflow and profits.

[garyk]

I thought the sales tactics were high pressure, the joining fee of £1000 was steep and the 11% on buy and sell as a commission was too high. It also suffers from a 'no quality guarantee' so you will buy your services from someone because they are in the scheme but that doesnt mean they are particularly good.

Gary

[Firegate]

There's no obligation to buy from Bartercard members just because they're a member. You are still in control of what you buy and sell, its your business. You also still have all the same rights and obligations on quality of the product/service you buy or sell.

Bartercard is just a great way to make your money go alot further and increase profits.

With regards to high pressure sales tactics, you dont make decisions for your business becasue someone else suggests its a good idea do you? If Bartercard would be benificial to you, get involved on your terms.

[hightide]

With regards to high pressure sales tactics, you dont make decisions for your business becasue someone else suggests its a good idea do you?

No I don't :)

If Bartercard would be benificial to you, get involved on your terms.

I think it would be but here's the problem:

On paper it seemed good, but as soon as I spoke to them to get answers to the few reasonable questions and queries I had, instead of engaging with my concerns, they sledge hammered me with their pitch until they have talked their way out of the sale.

[Firegate]

why dont you give me a call? I can tell you how it works for me and introduce you to ethical people within Bartercard who will talk to you seriously and answer ALL your questions.

I am sure then you can make the best decision for you and your business - either way.

01604 492812

[garyk]

There's no obligation to buy from Bartercard members just because they're a member. You are still in control of what you buy and sell, its your business. You also still have all the same rights and obligations on quality of the product/service you buy or sell.

No but if youve got 10,000 barter points or whatever hair-brain name it is you arent going to spend money on marketing/printing etc. with non-members using your own cash as people have said the key is to 'use up' your points.

[hightide]

Firegate - are you a bartercard rep?
your entire posting history is bartercard related... and started today

wondered why a dead thread from May had resurected itself :)

[Firegate]

No, just started using this forum and typicaly lots of negative stuff. Ive used it for two years and is the best thing I did.

[hightide]

fair enough - just seemed odd that the first thing you did was search for bartercard posts! :)

most people start by introducing themselves in the intros forum and telling people what they do.

i'm sure no one would mind if you were a bartercard rep....

[gj2802]

My advice ..steer well clear..

G

[good sense]

my advice is be aware of anyone who asks you to part with a £1000.00 upfront with no offer of guaranteed results just promises.

There is a guarantee of a refund if Bartercard fails to send you new business equal to your joining fee, what you are not told is that the refund is in their trade pound currency not sterling.

Also make sure you read the terms and conditions before you pay your joining fee, they do exist and they are in the back of the directory you are given after you have paid your money not before.

There is also no formal cooling off period, make sure you get in writing from the local franchise owner a confirmed cooling off period that begins after your account manager has been to see you to complete your new members pack as you can not start buying and selling until this has been completed.

Be aware that certain high value products are not readily available despite in spite of what the rep tells you, new IT kit, cars, flights, and luxury electrical goods when available tend to be sold on the Bartercard auction site, when I was involved with Bartercard 32" LCD tvs worth 399.00 in shops regularly sold for 2-3000.00 and laptops upto 7 times the shop price.

Also ask for written confirmation of all cash charges before you part wih your cash, if DNET is not mentioned you do not have the full story, this is a cash charge for members who have used their interest free line of credit and are debt to Bartercard over 1000.00 trade pounds and have not made any sales in a month.

Joining fee - there are different levels to join at these start at less than 400.00 not 1000.00

When buying always make sure you get a VAT receipt or if asked to pay up front a proper invoice, do not let Bartercard account managers urge you to sign vouchers for payment nder premis the client will send you receipt or invoice later, if you buy something for a thousand pounds be it cash or trade pounds you try to explain to tax man where that money has gone with out a receipt.

In the of a dispute or complaint with another member Bartercard will not get involved as they are only the third party record keeper, the favorite saying is would you complain to Barclaycard if some one did not give you a receipt.... maybe not but you can ask them to refund your barclay card if you buy something with it and it is not delivered! please note Barclaycard is not associated with Bartercard.


The cost of trade pound will be worked out by your account manager, it is roughly based on the difference between your selling price and your cash cost plus the fees for the transaction what is not included in your cost of trade pound is your monthly cash admin costs which.

Also bear in mind that bartercard does not guarantee that members will trade and do not guarantee your ability to spend your trade pounds. If you want something and it is not readily available you will be asked for referals or for details of companies that you have contacted that will supply the goods in cash, the idea being a member of the sales team will call and try and bring them in to the system generating more cash for bartercard and a possibility of getting something that you want.

If you want to close your account and you are in debt to Bartercard in trade pounds you have 30 days to sell goods and services to other members to clear the debt, after this they can ask payment in cash to settle debt, there is no just walking away with the debt dissapearing if you are told this ask for it in writing.

If you want to close your account and you are in trade credit you must prepay the cash fees due on your entire credit up front and you then get a certain amount of time to spend your trade pounds, after this period of time any credit left unpsent will either be moved to a slush fund called unclaimed credit or you may be given gift vouchers depending on amount.

Although you may end up settling your trade debt in sterling, if you are in credit there is no exchanging the trade for cash.

If you are a member of Bartercard you are not allowed to join any other trade / bartering organisations, if you do they can cancel your membership and you would have lost your joining fee.

That aside, if you can keep your head and are prepared to work hard at it Bartercard card can be a useful business tool, dont be misled by promises at point of sale, the sales team are commision only and hence under great pressure to make sales so you will find Bartercard reps on these forums defending the system, they are normally distinquished by polished pro Bartercard statments and quotes from prominent business people singing the virtues of Bartering. your account manager will assist you to trade but ultimate responsibility is your own.


Hope this helps

[Stephn Wiltshire]

Hello Ian

I haven't been able to contact you on your mobile number, how can I conatct you?

Regards

Stephen Wiltshire

[Christina Maxi]

unfortunately I have just joined simply to warn people about Bartacard and find I can not post the url link until i have posted 15 posts of more,

So please put the company name in your search engine and you will get a " thinking of joining Barta card, it gives you all the tried and tested details.


Please do not get conned by this company.

They have just approached me, so I did a search and found this, it is almost like a legal scam.

[Nigel40]

Hi there.

I have joined UK Forums having read various comments about Bartercard. I feel I should offer a warning, based on my company's ongoing experience with Bartercard and at the same time see if anyone has managed to settle a dispute with this company. Initially we were prolific users of Bartercard and highly recommended their services. However, after our Bartercard brokerage got into financial difficulties, we felt their service standards fell dramatically and let them know we wanted to leave. From that moment on, Bartercard became decidedly unhelpful.

We had a trade overdraft of £2500 for goods we had bought from other Bartercard members but had asked for various credit notes to be applied to our account to give us an accurate total We then wanted to clear our overdraft through trade. Despite our suppliers being happy to offer these credit notes, Bartercard initially didn't respond and then refused to apply them to our account demanding instead we repay the entire trade overdraft with cash. This has now been reduced to a mixture of cash and trade but now at £2800 rather than the £1000 we believe we are actually overdrawn by.

They have dragged their feet over going to court to resolve our dispute and have also ruined our credit rating by registering defaults against us which we seem to be powerless to stop. I would avoid this company at all costs.

[Cartoon Logos]

I'm in the process of opening a small printing company, I've been approaced by barter card, they've explained to me the logistics, however I dont know whether joning them is a good idea, please help.The idea of a fake currency scares me alittle.

you can find them at bartercard.co.uk

It's crap - in my opinion

I once had £1000 worth of barter points and trying to find something to spend them on was ridiculous. In the end I spent £500 on a photo shoot of the family and 8 pictures and the rest on some random toys. Sellers tend to only offer things they don't want as a barter trade unless like the photographer they offer a service and you happen to want/need that service. I didn't want or need it but there was simply nothing else suitable.

[roydmoorian]

Bartercard would be great if you could satisfy their threats of court action for their monthly fees and the VAT with barter pounds - until then I will stick to Sterling or even the Euro :(