(2008-11-14) Small Biz Barter

SmallCo-s are using Barter as one approach to dealing with Credit Crisis 2008. "During recent history, we have seen these businesses adding jobs while larger-size businesses shed them," said Joel Prakken, chairman of Macroeconomic Advisers, which prepares the report. This is the first decline in small-business employment reported by ADP since November 2002... What makes barter so appealing during an economic crisis? Barter specialists point to three attributes. First, a member business can find new customers and use excess capacity. Second, a satisfied barter partner often refers cash-paying customers to the small business. And third, the participants can conserve hard-to-come-by cash... The Linebergers use Itex dollars they accumulate in sales to pay for pest control, electrical work, accounting and legal services. "It's nice to move those over to Itex," he said, because it frees cash. They also use it for vacations and other personal transactions.