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8700 E Via De Ventura Ste 205 Scottsdale, AZ 85258 Tel. 480-443-0322 Fax. 480-483-7241 http://www.bartergroup.com |
From the Arizona Business Gazette |
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When established: Originally begun by Baker's parents, who bought a franchise in 1978, only to buy it out and begin their own company. Baker joined her parents in the company about 14 years ago, and now that they're gone, runs it herself. What: Business-to- business barter, this 500-member group is dubbed "boutique" because of its size and Baker's hands-on membership management. Where: A small suite of offices in Scottsdale, downsized thanks to technology. How much: Baker's parents ran a small chain of movie theaters in Massachusetts when her father read an article about the barter business in the Wall Street Journal. Seeking a second career and semiretirement, the couple relocated to Scottsdale and used "their entire savings" to purchase a house and the franchise, only to discover the franchised business was in complete disarray. They regrouped, rebuilt, and went independent in the early 1980s. "I think they invested about $20,000 to buy the franchise," Baker said. How many employees: Two, now that day-to-day transactions are made online and by fax. Why it's called that: Because that's exactly what it is. Bright idea: Automating the day-to-day transactions to focus on customer service and building relationships with members. Innovation is technology, and coming up with ways that barter can increase the bottom line (for our members). I spend a lot of time educating people about the ways they can use barter to better advantage. The essence of barter is to trade something you don't want or need for something you do. Not such a good idea: "Some things haven't worked, but that doesn't necessarily mean it was a bad idea. Some things that didn't work when we first tried them, work now. It's a matter of timing. For instance, when we first started moving to the Internet, it didn't quite work." Baker pointed out that initially, there was an assumption that if it was online, no one had to pay attention to what happened, and that business could grow exponentially. "Barter's actually too simple. It needs to be local and it needs nurturing to develop to everyone's benefit." Biggest challenge: "The challenge is finding the niche of small-business owners that meld well with our system. This is actually a national issue within the barter industry. When people don't have cash, barter can work to improve their overall business picture, if it's done in the right way. A barter group like ours allows businesses, and their employees, to have barter dollars to use with a whole realm of businesses." Baker noted that she continually works to educate even her own members about the multiple ways in which they can use their banked barter dollars or barter credit lines for goods or services. Why we do this: "It's a family business. And since I had my own business (Baker started a travel agency in her early 20s and ran it, successfully, for nearly a decade), I had a background in building a business. And because I love this." What she wishes she'd known before she opened for business: "I kind of grew up with this. My parents started the business before I was even in college. They used to talk about their business, the problems and challenges ... it was a kitchen table discussion. But it's an evolving business, and I'm fortunate that because my parents were in this for so long, I have many mentors and friends now who can be of real help to me. You know, the whole point of being an entrepreneur is to go for it." The next big thing: The Barter Group's holiday party and shopping extravaganza. A company tradition, the event affords members an opportunity to socialize and shop, any member with saleable items can put up a table and goods to go. "We have dinner and an open bar, and shopping for the evening. It's a chance for our members — or their employees or family members — to use tt eir banked barter dollars and d some serious holiday shopping." The range of goods and services is, in a word, stunning. When Baker says serious shopping, she's not kidding. Long-term: "Personally? That one I don't know. But business-wise? We've been in business a long time, and I'm still exploring the next steps.' Exit strategy: "That's really long-term and contingent on so many things. This business is me, and I'm not going anywhere. At least not now. Or for a long time." Bottom line: "We're profitable, thank God and knock wood. This past year has been really hard, but I'm looking forward to an excellent 2006. I really appreciate the support of our loyal members. We're in a growth mode right now, and while I don't want to be enormous, this is good. In The Barter Group, businesses kind of become an extended family. We develop a wonderful kind of community." |
