Business Today - 3 February 2002
Business is alive and kicking
Net4Barter has announced that it will start its international
operations within three months. The company plans to
set up an Office in Dubai followed by an expansion into
the far East. Net4Barter, which has grossed nearly Rs.
35 Crore within one year of starting its operations,
is an “all India Barter Network” which enables
companies to buy, without spending cash, by paying in
kind through their excess stocks or inventory.
Worldwide, the barter industry is estimated to be worth
nearly $1 Trillion. Companies such as Bartercard of
Australia have reported earnings well in excess of $2
Billion while Active International of the United Kingdom
has grossed nearly $700 million. In India, some agents
in the unorganized sector earn approximately 15 lakhs
per month.
Speaking to the New Indian Express, Rakesh Bhatnagar,
CEO, Net4Barter said, “We have built up a client
base of over 700 companies and expect a growth of 100
per cent over the next year.”
Bhatnagar said that registered members would have the
advantage of saving cash by buying and paying in kind.
He added “Members can also sell their excess inventory
at full MRP value and thus save on high inventory costs.
“Net4Barter will also help in providing an alternate
or supplementary sales channel for a company’s
products, he said.
Transactions through Net4Barter are different from those
in traditional barter, where business find it difficult
to find trading partners. Bhatnagar said “Here,
one does not have to find a one to one trading partner.
A Net4barter member may sell to any business, earn credits
and use them to buy from any business of its choice,
from among these listed with Net4Barter.”
“There are no hidden costs at Net4barter.”
said Bhatnagar. He added that membership was free and
that the only payment was a 10 per cent transaction
fee charged when a company “bought” goods.
