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BarterLoot.Com

Welcome to BarterLoot.Com & TMI & Associates, Inc., one of the fastest growing, independently owned barter exchanges in the country. We are a full service business-to-business barter exchange that was created to help all types of people and businesses increase sales and conserve cash. TMI & Asscociates, Inc. is a membership based barter exchange.

Our goal at TMI & Associates, Inc. is to deliver new and incremental business to every BarterLoot.Com TMI & Associates member, while providing world class brokering services using TMI & Associates barter knowledge and experience. We have consulted in the Barter Industry for over 10 years.

Our ever expanding membership seeks to use their trade dollars where they can, thereby conserving cash. Our exchange creates these new business opportunities daily, but you have to be a TMI & Associates barter member to tap into this new business of the new economy.

BarterLoot.Com

TMI & Associates, Inc.

Latest Information

Barter -- In Good Times and Bad

By Brian Mcmahon

Many in the industry wonder if, given the economy, barter is still relevant. My answer? More than ever. Just ask WPP and Havas, both of which recently opened internal barter units. The evolution of agencies, new technologies and media formats -- as well as a de-levered corporate philosophy -- will continue to sustain and expand barter for years to come.

In the past couple of years, the explosive growth in technology and social media -- coupled with the global economic recession -- have left agencies with a difficult task: to drive enhanced value for their clients with less money (in many cases, a lot less money). Procurement is often cited as the culprit, blamed for viewing agency services as a commodity. Peter Stringham, CEO of Young & Rubicam Brands, compared procurement-driven pitches to a "car dealer negotiating price before showing you any models."

Barter is one of many solutions. It drives value to the client without impacting agency fees/commissions. Barter companies operate at net rates and do not charge a fee for their services -- proving barter is a powerful means of sustaining ad budgets while generating significant cash flows and optimizing asset dispositions.

Forrester Research's 2010 report "The Future of Agency Relationships" states that we are entering the "adaptive marketing era" -- one driven by new technologies and media formats. This will shift advertising messaging from outbound to surround, campaigns to experiences and from segmented "audiences" to individuals.

While global ad spend forecasts differ, there's little debate that the worst is now behind us. Magna Global, a division of Interpublic Group, predicts that media expenditures will hit $490 billion by 2015 -- eclipsing 2007 levels by 20 percent. This growth will be driven by the online sector, which is expected to grow at three times the rate of all other advertising formats. New technologies in the online sector open up a multitude of opportunities for advertisers.

Barter can be a strategic solution for advertisers looking to invest in these new formats, but want to do so with limited risk. Consider Conan O'Brien's 30-city "The Legally Prohibited From Being Funny on Television Tour" that sold out in less than three hours. The only advertising for the tour was a single tweet by O'Brien.

How should we calculate the ROI of that tweet? Simply, the millions
generated from ticket sales minus the 10-cent cost of an SMS message divided by the millions generated from ticket sales. Or is it the millions generated from ticket sales minus the SMS message plus all the branding and marketing that has gone into O'Brien over his career divided by the millions generated from ticket sales? We contend the latter. While O'Brien's tweet triggered the ticket sales, it was his brand equity (built through traditional advertising) that made that tweet so powerful.

The point: New technologies and formats such as Twitter will continue to redefine advertising. There's little dispute that without an integrated 360-degree approach (comprised of social, experiential, press and traditional formats) the efficacy of these emerging technologies and formats will be severely limited.

In order for barter agencies to be relevant and successful they should be full-service shops with global capabilities across all media formats. As barter continues to grow as a function of advertising, the benefits of barter will enable advertisers to efficiently invest in these emerging areas at a lower risk and without adversely affecting the advertiser's more traditional communication strategies.

Probably the greatest lesson that corporations have learned, and continue to learn, from the recession is that debt is a risky endeavor -- especially in a global marketplace.

Following the dot-com boom, between 2002 and 2007 the U.S. economy experienced tremendous growth; the S&P 500 Index grew by more than 300 percent. This growth, however, was primarily driven by an unsustainable economic platform: debt. At the time debt was cheap and readily available; this is no longer the case and won't be for the foreseeable future.

Our industry has seen a trend where existing and potential partners are looking at barter as a driving force behind their corporate financial strategies. First, cash flows generated through barter help organizations to de-lever themselves in a faster time frame. Second, barter enables an organization to clean up its balance sheets without losses. Third, barter enables organizations to increase marketing efficiencies to drive top-line growth. All these factors help to raise credit ratings, lift market cap and strengthen brand equities.

The global economy is one of dynamism and constant evolution. Organizations consistently react, contract and grow accordingly in order to remain relevant and be leaders in their respective industries. The barter industry has evolved from interpersonal trading of goods and services into a sophisticated global exchange that enables advertisers to partly fund billions of dollars of media each year with assets other than cash. While we are confident that all signs point to a robust future for barter, we eagerly anticipate new and unique uses of barter in the equally exciting works of media.

Brian McMahon is CEO of Orion Trading. He can be reached at Brian.McMahon@oriontradingww.com.

Trade produces new business and allows you to expand your market. Secondly, trade conserves cash. Instead of spending cash to purchase needed goods and services, you can trade your own goods and services. Therefore, cash stays in your business for other purposes. Finally, trade lets you put idle resources to work. Excess time, excess inventory and excess capacity are converted into needed goods or services.

Members of the TMI & Associates, Inc. Barter Group use trade credits instead of cash to do business together. If a member trades one thousand dollars of goods and services to another trade member, that member will receive one thousand dollars in trade credit, which can then be used to purchase a variety of goods and services from other members of the TMI & Associates, Inc. Barter Group. Hotel rooms, resorts, restaurants, advertising, printing and many other goods and services can be obtained with trade credits. TMI & Associates, Inc. Barter is a third party record keeper that sends monthly statements to each member reflecting their purchases, sales and current balance.

Nationally, there are over 300,000 businesses, most of them small, currently involved in commercial barter. Based on present trends, 1.2 million businesses will be engaged in barter in North America within decade. It is estimated that 75% of the Fortune 500 Companies engage in barter in some form or another

The TMI & Associates, Inc. Barter Company represents over 10 years of combined experience serving trade clients. Our knowledgeable staff makes us the organization with which to trust your trade management, trade brokering and trade accounting needs now and throughout the coming years.

Please see our three types of plans. The monthly statements and website access and update charges are $29 cash.

TMI & Associates, Inc. Barter collects a small fee on each transaction, typically 5-7% from both the buyer and the seller. These fees is necessary to maintain the operating costs of the Group.

The fee represents a broker commission. Remember -- trade business is new business. Many businesses are happy to pay a commission for new business.

I already trade on my own; why should I join TMI & Associates, Inc. Barter?

The problem with one-to-one trading is each business must want or need what the other business has to offer in equal dollar amounts. Fortunately, at TMI & Associates, Inc. Barter, everyone can trade with any other trading member of the Group.

When TMI & Associates, Inc. Barter does not have the goods or services a member needs, it becomes our job to find them. New businesses are sought to join the Group on the basis of their ability to provide goods and services needed by the current membership.

Make a list of your needs. List everything you normally spend cash on. Do not limit yourself to one or two time item purchases. Use your checkbook as a memory tool. Also, think of your personal needs. If you regularly take cash out of the business for personal living expenses, travel or home improvements -- you should consider using the trade income you have accumulated, and save your cash for goods and services the barter network cannot easily acquire.

Members should only trade in proportion to their ability to spend. If one member sells goods or services in high demand, it may become necessary for them to limit their trade activity. Our experienced management team monitors all trade transactions, thus ensuring a balance of credit and debit.

One of our jobs is to promote your business to other members. TMI & Associates, Inc. Barter can help promote your goods or services to other members via our directory, mailing lists, website access and direct contact.

Is it true getting something for trade can take more time than getting it for cash?

Yes. Sometimes a business must show priority to its cash customers because of cash flow necessities. However, advance planning and communication with your trade broker for alternatives will make trading an effective and profitable experience.

I am looking for a computer. If I save my trade credit, can I get it through TMI & Associates, Inc. Barter?

Saving trade credit in order to purchase a specific high demand item can lead to frustration. Be sure to let your broker know of your specific as well as your general needs. Clients should spend their trade credit as they go.

What if I need goods or services and I do not have enough credit to purchase it?

Trade credit lines can be set up for members just as a bank extends credit to its qualified customers. When joining TMI & Associates, Inc. Barter Group, you will be reviewed by our experienced team and assessed a credit line. Over time, your credit line may increase depending on your timely payment and need for extra credit.

Many members use trade credit to pay employee bonuses. Some members pay their employees a portion of their salaries in trade credit. At your request, we will set up employee sub-accounts and will assist your employees in using their trade credits as advantageously as possible. Employees need not pay a 10% brokerage fee. This fee can be prepaid when a member transfers credit to a sub-account.

It is also possible to pay some of your bills with trade credit. We can help your creditors spend their trade dollars effectively. Paying bills with trade credit is just one more creative way to use your trade credit.

Any member who quits the Exchange is given three months to spend their trade dollars. Extensions are usually granted for members with large balances.

Trade income is the same as cash income for tax purposes. There are no inherent tax advantages. Trading should be considered a marketing tool, not a tax tool. As with cash income, trade purchases that are business related are tax deductible.

At the end of the year, TMI & Associates, Inc. Barter will total your trade sales and submit this information to the IRS on form 1099B. TMI & Associates, Inc. Barter will also send you a copy of this form for your records, sixty days prior to our filing date.

Members of TMI & Associates, Inc. Barter Group are expected to trade their goods and services for barter at the same price they would sell them for cash. Violations of this may lead to expulsion of that member.

What do you when a member's prices are higher than those of competitors? Is it better to use buy something with trade credits at a higher price or to pay cash at a discount price?

In the event of this, you have to consider how much you actually invested for the trade credit you hold on your account. If your merchandise costs you fifty cents on the dollar, $10,000 worth of trade credit actually costs you $5,000. If you are a service related business, your trade credit may only cost you idle time.

Always remember that you are using your goods and services when making purchases with trade credit, not your cash. It will often be less expensive to pay a little more with trade credit than to get the same article at a little less price for cash. Seasoned traders are always aware of this difference and use it to their advantage. On the other hand, if someone overprices their products or services beyond a reasonable limit, do not do business with them. Instead, call our office for another referral.

Yes. You should only trade what you want to trade. The idea of trade is to move excess inventory, which gives you an advantageous profit margin. Reasonable, specific restrictions on certain goods or services are data based by TMI & Associates, Inc. Barter to maintain a smooth trading environment.

I have heard that barter is only good for the acquisition of services and not for goods. Is this true?

Barter is obviously best suited to high-margin situations in the marketplace. Margins are highest where businesses trade only their time or where there is an excess capacity such as undersold radio time, hotel space or idle equipment. However, barter can also be used to acquire goods at regular prices if margins are adequate.

Every new customer you service after you have met your fixed office expenses (payroll, rent, utilities, etc.) is very profitable. Providing your products and services for even a few new customers after basic expenses are met can make a big difference to your bottom line

Absolutely! You may spend your trade credit with any trading member that belongs to our national trade network, Barter Center International (BCI), an international trade network with many barter groups. This gives you the ability to spend your trade credits with ten's of thousands of other members worldwide. You may take cruises, go to Spain, buy an Euro-Rail Pass, or just go eat a restaurant in San Diego while you on a vacation there; staying at hotel with your trade credits. Arrangements must be made in advance through our office.

When you ready to begin, a member of our sales staff will talk or meet with you. They will discuss with you what you want to trade and how you will spend your trade credit. At that time, you will sign a contract and pay your initiation dues. A member of our staff will walk you through your first sale and continue to suggest ways for you to benefit as a member of TMI & Associates, Inc. Barter.