Bartering trade show hosts cashless marketplace
Company growing by almost 100 clients per month, president says
A throwback to an old system of commerce showed new life at a nouveau bartering trade show in Ancaster.
Tradebank Canada, a company that brokers barter credits, had 130 vendors in booths set up at the Ancaster Fairgrounds last Wednesday for its trade show and cashless marketplace.
“It’s not just a trade show. People actually shop at this,” said Tradebank president John Porter.
Purchases are made with TRADEdollars, otherwise known as barter credits. No cash was seen anywhere at the marketplace.
“This here today is the largest cashless marketplace,” said Porter, who is a Hamilton native and now Vineland resident.
Although this was the first time the annual trade show was held in Ancaster, it has been around for 12 years, always taking place in November.
Porter says Tradebank is the only national bartering company, with 18 locations across Canada. Three of those — in Hamilton, Halton and Niagara — make up the company’s largest market, with about 1,200 clients, he adds.
The others belong to franchise owners. Franchises cost anywhere from $75,000 to $125,000 — real Canadian dollars.
Tradebank has been around since 1996, but Porter says it’s a fast growing company gaining momentum exponentially now that it has reached critical mass.
“We’re almost growing in spite of ourselves.”
The company’s 2016 banner year saw $30 million in trade purchases and sales, and 2017 is also shaping up to be an outstanding year, Porter says.
“We’re growing by almost 100 clients per month across Canada … It’s really been in the last seven years or so that things have really taken off.”
Tradebank is a small to mediumsized business-to-business barter exchange for companies to use to buy what they need without using money. They trade their own products or services through a barter banking platform and receive Tradebank Trade dollars to barter with anyone in the group.
“If you own a business and you’re not part of a bartering system, you’re missing the boat,” claims Porter. “Why would a business owner want to dip into cash when they can use their own currency — which is their products and services — and keep the cash in the bank instead?
“Every single business on the planet should be connected to a strong, reputable bartering company.”
Hamilton business owner Helga Zelinski, chatting at her vendor’s booth, said she was one of the first to join Tradebank in the early 1990s.
“What convinced me is that everyone has extra time and extra merchandise — and sometimes to sell that, it’s difficult,” she says.
The Quantum Healing Institute owner said she often uses Tradebank for advertising her Westdale hypnosis and natural medicine business on King Street West.
But she also used Tradebank dollars for a down payment on a brand new townhouse, and for new carpeting when she moved her clinic.
“I like it. You get to know the people in the trades businesses. It’s almost like you’re in a partnership with them,” she says. “There’s a certain amount of trust because the program (Tradebank) is backing it up.”
Claire Lombardo, director of the Hamilton School of Careers and Hamilton Institute of Technology on Barton Street East, joined Tradebank the year it started, when it was being run by John Porter’s dad. She says both of Porter’s parents, Tom and Jane, are like family to her now.
“I’ve been in business since 1984 and I joined to help advertise the school and the flower shop and the spa (there). I did it to promote my business and meet new people.”
At the trade show, Lombardo was selling Christmas decor she makes at her school when teaching her students hands-on skills. She makes thousands of things.
She’s used trade dollars for restaurants, and to purchase items at the trade shows.
Vicky Harrison of Vicky Harrison Designs, a custom handcrafted Swarovski crystal jewelry maker, said it was her financial planner who told her about Tradebank “and I thought it might be great exposure.”
Harrison, who works out of her Waterdown home but also does arts and crafts shows, has used Tradebank dollars to purchase business cards and eyeglasses, and to pay for dental work, garden work and car repairs.
“It’s worked out really, really well. You take a look at what other people have to offer. And if they have things you can use, it’s a good fit.”
Sam MacKinnon, who owns Sammy’s Rec Room Restaurant in Brantford with his wife, used to have a Tradebank franchise and have stuck with it as a client. MacKinnon has used Tradebank dollars to get refrigeration and air conditioning work done at the restaurant, but says the real advantage for him was the advertising he got through the bartering company.
“Every week, they put out a trade flash on what’s on, and what’s available. For me, I’m listed in almost every trade flash.”
It costs $495, a one-time fee in Canadian cash dollars, to become a member of Tradebank, plus a monthly charge of $30 — although half of that can be paid in trade dollars.
The brokerage fee for transactions arranged by Tradebank is 12.95 per cent, paid for by the buyer, Porter explained.