4 reasons your business should participate in trade
As an entrepreneur, whether you’re starting a business or growing an existing one, trade can help you preserve cash and get your venture launched or expanded. In today’s economy, trade is a must-have if you want your business to survive and thrive.
Trade, also known as barter, is the exchange of goods or services for other goods or services – a cashless transaction. It’s estimated that trade exchanges handle close to $9 billion in transactions annually, according to the International Reciprocal Trade Association.
We’ve pulled together the top five reasons your business can benefit from trade:
- Preservation of capital – At certain times during a business lifecycle, it will experience times of slow or low cash flow and limited capital for expenditures. Start-ups are especially vulnerable.
- Free up excess inventory – If you have a large inventory then trade could be a great way to move those goods and improve operations and cash flow. Trade has been a boost to companies during recession as a way to move excess inventory and goods. If your company has outdated assets or aging inventory, trade could make sense for your company.
- Seasonal cycles – Any business that struggles with the ebb and flow of having a seasonal cash flow can use trade to keep the business going during slow periods.
- Buying advertising – Trade could be one of the reasons your competitors are thriving while you are struggling. They can be using their excess inventory and trading it for print, television or other forms of media to maximize your exposure to the public and build your business.
If you haven’t looked into participating in a trade exchange program, there is no time like the present to help your business’s bottom line.
