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 7/11/01 ""

Choosing Barter Partners Wisely

by Maureen Collins-Williams,
University of Northern Iowa SBDC, Waterloo, IA

You used to swap baseball cards with the neighborhood kids. Now your kids are trading Pokemon cards with their classmates. Bartering is nothing new, but it's causing quite a stir in the business world. As more and more bartering Web sites crop up on the Web, more and more businesses are turning to trading as a way to save money.

But with the benefits, there are drawbacks. Here are a few pointers to consider when evaluating online bartering sites.

  1. Variety of Goods and Services Offered on the Site
    When evaluating a site, consider your needs. Unless you're in need of a very specific product or service, the best sites are those that offer a very wide range of professional services—including everything from accounting to travel services—and products, such as office equipment.

  2. Numbers of Goods and Services Offered on the Site
    Just like when you used to trade baseball cards, the more people you get together to trade, the more options you have. Sites with a large number of posted items and a large number of members offer better opportunities for trading. With more people using the service, your chances of finding a great trading partner increase greatly.

  3. Site Background
    Check into the company's background. Who are their sponsors? How long have they been around? How are disputes between barter partners handled? Do they have online terms of use? How are you protected?

  4. Ease of Use
    Finally, can you use the site easily and efficiently? It may seem obvious, but if the site you're looking at isn't user-friendly, it simply may not be the site for you. And often, if a site isn't user-friendly, it's a sign that the company is not customer-oriented ... which may signal future problems.

With solid research behind your choice, you'll be prepared to choose a bartering site that will help you save money through trading.

> See also: E-Commerce




Maureen Collins-Williams is Director of the University of Northern Iowa SBDC in Waterloo, IA. Visit the Iowa Business Network at www.iabusnet.org.

For further assistance, contact a consultant at a Small Business DevelopmentCenter.

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