RSS Feed
Knowledgebase : Exchange Best Practices
Q: How can members buy if they haven't made any sales? A: You give new members a credit line, much like a credit card company provides cardholders with a credit line. Typically from $500 to $1500, $2500 for long established businesses, and on a case...
Most exchanges charge monthly fees rather than annual fees. The reason for it being better cash flow, but even more important attrition. When it comes to a member having to pay their annual fee, which is about 10 times more than the monthly fee, the...
Q: How do members start trading in a new exchange if no one has trade dollars? A: To get trade velocity started in a new exchange, you provide members with credit lines, much like a bank issues credit cards to businesses with credit lines. Members...
A good practice for a new account set-up fee, if you will meet with the members or speak with them by phone, and provide them with business consulting services so that their benefit in being a member of a barter exchange will be maximized, you should c...
The following details an excellent suggested fee structure for a new exchange.... Charge $15 cash and $15 trade per month so that you have residual income even if some members don't trade for several months. And, the trade fees will cover trade busi...
There are several "out of the box" ways to get and track referrals.... Many years ago, when I owned a barter exchange in NYC, we used Purchase Orders to not only get referrals from members, but also to show the referred companies that we had immediate new...
Q: Is there a regulatory body that oversees Barter exchanges in the US and Dubai? A: There aren't any regulatory bodies for barter. There are associations, such as IRTA and NATE, but neither they, nor the governments in the US or Canada set any regulat...
As recommended by Harold Rice a CPA knowledgeable about barter exchange operations and proper recordkeeping for the IRS, an exchange should maintain five operating accounts: General Operating Account - for all trade dollar income and for all trade...
Send 1099b in Manage > Exchange emails a 1099b to members. The 1099b barter sales also appear on member's January & February statements. In reports, you have the ability to view (HTML) or export (Excel) IRS filing data. In February, you can upload 10...