Bartercard facilitates and monitors the purchases (debits) and sales (credits) undertaken by members. These transactions are recorded electronically and its members receive a monthly statement that summarizes their transactions. Members can transact using the following: an eftpos enabled card, phone application with transactional capabilities, and online transactional options. In addition, Bartercard promotes member business and maintains and updates a member business directory.
Bartercard is a privately owned Australian controlled company that has been in operation since 1991 and has experienced directors and management with well over 150 years of combined experience.
Bartercard USA was formed in September 2012 with the vision of 500,000 cardholders in 20 regions of the United States by 2020, trading in excess of 10 billion yearly. Click here to view Bartercard USA Board of Directors. Bartercard currently operates in 10 countries.
Barter is simply defined as the exchange of goods and services. (It is not haggling for prices)
When you barter your goods/services for goods/services you need, you are creating a sale and effectively buying at your own cost of goods. To put it simply, if a business owner had a choice to pay for an expense for $1,000 he is much better off providing a gift voucher from his business than paying cash for a $1,000, because a profit margin is built into the gift voucher.
Bartercard can work for any business that has the capacity to take on additional business. There are many case studies and trading tips available for members to study to see how Bartercard can work for them.
Bartercard has a strong membership base of 35,000 businesses worldwide.
There are over 700 categories of businesses from a – accommodation to z – zoo.
Bartercard welcomes all industries and all businesses*. Check out our member category listing to understand what businesses are in Bartercard.
* Bartercard USA does not welcome any business that is selling products or services that are illegal or illicit.
You can sell almost anything through Bartercard. Besides your own products and services there is nothing stopping you from selling something from home or even buying from a manufacturer or wholesaler and then on sell with a margin through Bartercard. Your trading is only limited to the efforts you are willing to put in to be successful.
There are many different ways to use Bartercard to build your business and improve your lifestyle. Upon joining you will have access to many video tutorials and case studies on unique and creative ways to solve common business challenges. A dedicated Account Manager (Trade Broker) will also be available for you to discuss the many options that best suits your business and lifestyle needs. You can get a sense of how some of members use Bartercard by clicking on ‘What our members say’.
A Bartercard transaction is similar to a credit/debit card transaction.
Members earn Trade Dollars for goods and services they sell and this value is recorded electronically in the members account. Members use their Bartercard transactional card to spend their credit balance (or draw on their interest-free line of credit) on goods and/or services from any other Bartercard member. The flexibility of the Bartercard system is you don’t have to purchase from the same business that purchases from you; you can spend locally, nationally and internationally; you can sell now and buy later; you can use the interest free Trade Dollar credit lines provided and buy first before even making a sale.
Yes, your business pays for your personal expenses so if you can save cash on expenses then it just makes sense to use Bartercard.
You can draw Bartercard Trade Dollars as a director’s dividends, drawings or loan. As a tip there is no FBT applicable if you deposit cash into your business and draw out the equivalent amount of Trade Dollars in exchange. There is further explanation of this on how to incorporate Trade Dollars into your payroll system in our creative business tips available for members. However, we always suggest members speak to their accountants regarding how best to implement these strategies into their business.
Yes, you can limit the amount of trading you do. Bartercard members may trade up to 10% to 15% of their total business turnover. We understand there are times when you may be operating at full capacity for a period or seasonally at your peak. Working with your Account Manager (Trade Broker) you work out a plan for the amount of trading that best suits you and your business. You can start slowly and as you work with us to bring on more suppliers of your choice you can increase the amount of trade you do.
When you join, a comprehensive business analysis is conducted with the view to identify potential suppliers already available in the 35,000 business network. If there are insufficient suppliers available to suit your needs then Bartercard will work in cooperation with you to bring in additional new recommended suppliers. Many of Bartercard’s top trading members have successfully improved their business profitability by being proactive in the recommendation and referral of new suppliers.
By purchasing products or services with your Trade Dollars on business or lifestyle items you have already saved cash. You can also buy items with your Bartercard Trade Dollars and then sell them for cash, therefore converting Trade Dollars to cash. For example, a restaurant purchases wine on Bartercard and then sells within the restaurant for cash.
Bartercard is a 100% trading system exchange. Upon joining every member agrees to trade at 100% full barter. There are practical exceptions to this rule. Bartercard rules allow for Real Estate transactions to be conducted with a minimum of 25% barter component; transactions in excess of $100,000 can be negotiated; and continuous cash/barter supply agreements can be negotiated only with prior written approval of Bartercard authorized representative.
Yes, Bartercard has offices in Australia, New Zealand, United Kingdom, Thailand, Cyprus and U.A.E. In addition, Bartercard has reciprocal arrangements with many other Trade Exchanges worldwide and is a member of the IRTA, and can trade with any other IRTA members through IRTA’s Universal Currency (UC) worldwide. There are many members who have now established new selling and buying markets internationally. Travel remains the favorite for members taking international holidays. They are paying for their holidays with new business and with their own goods and services.
Yes, Bartercard hosts several local and state-wide networking functions a year. Each member is encouraged to participate in these functions in order to acquaint themselves with other members and promote their own business. It is a great way to build up your contact base. Bartercard will be holding more regional and state events in 2013 so stay tuned.
A Trade Dollar is the trading currency Bartercard members use to transact with. One Trade Dollar (T$1) is equivalent to one United States dollar (US$1) for all accountancy and tax purposes. For more information visit the IRS website.
Barter transactions are assessable and deductible for income tax purposes to the same extent as other cash or credit transactions.
When an entity that is a member of a trade exchange makes a taxable supply to another member there is a tax liability.
The consideration paid for supplies between members of a trade exchange is the debiting of the recipient’s account and the consideration received is the crediting of the supplier’s account.
For tax purposes the IRS considers one Trade Dollar (T$1) equal to one United States dollar (US$1).
Bartercard is required by the IRS to issue a1099B at the end of each tax year to members participating in the program.
Yes, a tax invoice is required for a barter transaction as it is for any other business transaction. Where a member makes a taxable supply and the consideration is expressed in Trade Dollar credits, the tax invoice must comply with all of the usual requirements for a tax invoice.
Simply call 1855 UTRADE2 (1855.887.2332), or click here to fill out your contact details.
We welcome a consultation with you first to determine your needs and identify the level of membership that best suits your business.