What is Barter?

A simple explanation of barter refers to the exchange of goods and services without the use of cash.

How will a business or individual profit from Barter?

Barter produces new business, allowing you to expand your market and maintain your cash-paying customers.  Barter conserves cash.  You can sell your spare time, production capacity or slow moving stock and reduce your cash costs.  You get repeat business because everyone is buying from one another using barter euros.  Other members of the group become loyal to you.  You will get new business because members will buy from one another because they are part of the network.  You receive an immediate interest free overdraft in barter euros.

How does Barter work with Cashless Trading?

We eliminate the restrictions of one-on-one trading where each business must want what the other has to offer.  We work with you to bring your company new sales, increased market share and to minimise cash outlay for everyday business expenses.  Our clients use barter euros instead of cash to handle their transactions.  We act as a third party record keeper providing monthly statements to clients which reflects all trade purchases, sales and a current barter euro balance.

Are there any tax advantages to Bartering?

Barter income is treated the same as cash income.  There are no tax advantages or disadvantages to bartering your goods and services.  Barter transactions should be treated in the same manner as cash transactions as far as tax is concerned and it is solely your responsibility.  Barter is used as a financial tool, not a tax tool.

We will provide you with a regular statement of accounts which records all of the sales and purchases transacted by you.  Cash purchases that are normally tax deductible as business expenses are also tax deductible when purchased on barter.

In accordance with general accepted accounting principles, members must record all transactions at the market value.  You create an additional bank account in your General Ledger to record all barter euro transactions.  Similar to a cash sale, when a sale occurs, the revenue account is credited and the barter euro bank account debited.  When purchases occur, the asset, or expense account is debited and the barter euro bank account is credited.  The barter euro bank account will equal the balance of your Cashless Trading statement at the end of the month.

IVA (VAT) and Barter

If IVA registered, you charge IVA on the full value of the goods or services you supply.  Charging and reclaiming IVA is your responsibility.

Introduce a Member

Earn yourself Barter Euros by introducing new Members.  For any businesses introduced you will receive €20 (barter euros) and for individuals €10 (barter euros) credited immediately to your account.

What if I get too little / too much business?

If you do not receive additional customers as quickly as you would like to, Cashless Trading will give your business free promotion through email or special mention in Newsletters etc to all other members in support of your sales.  If you receive too much additional business and can’t keep up, Cashless Trading will work to find additional businesses with the same product or service, so that the demand is spread out.  We work to make sure that our members are satisfied with the level of business you receive through barter.

What if I need to make a purchase before I have earned barter euros in the system?

We will extend an overdraft facility to all new members so that you can start purchasing immediately.

What percentage of bartering would you recommend?

All companies are different, so what suits one will not suit another.  As a general rule most companies using barter as a means of trading would look at up to 20% barter trade.

How should I price my products and services?

Prices quoted to barter clients are the same prices quoted to cash paying customers.  Barter is simply a mode of payment – just like a credit card or cash.  If the items are over priced, you will find that customers will not make that purchase.

Why the difference in Membership Levels?

In terms of expenditure, businesses have more outgoings than individuals , therefore business members have greater potential to benefit from the exchange scheme.

What do the fees cover?

Account setup and maintenance

Member’s Directory

Immediately begin pro-actively promoting you to other members

Identify immediate buying/selling opportunities within the membership

Record-keeping services

Telephone access

Free online marketing and advertising to other members

Send you regular newletters

How to join Cashless Trading?

To register, please contact us on:

Telephone:   957 036 060

Mobile:         652 997 556

Email:           info@cashless-trading.com

Skype us:     cashless-trading