An Economic Bright Spot for 2009-Barter Exchanges

Alternative exchanges provide members cash savings and new business, even in
tough times
SEATTLE--(Business Wire)--
Despite the historically bad economic conditions in the United States and around
the world, one bright spot for 2009 is the business of barter. In 2008, it was
estimated that in North America alone roughly 250,000 companies conducted barter
transactions worth over $16 billion. Most North American barter companies are
reporting recent increases between 15 and 35 percent in transactions; the trend
is expected to continue through 2009.

"One of the primary benefits of a barter exchange is that it helps businesses
preserve cash," said Bob Bagga, CEO of BizXchange, a barter exchange that
operates in the United States and internationally with offices in Seattle, San
Francisco and Dubai. "During this economic downturn we`ve seen that cash
preservation is a primary concern for many businesses. Barter exchanges also
provide a ready source of new customers and help firms profit from excess
capacity and inventory."

In 2008, BizX conducted nearly $50 million in barter transactions. Compared to
2007, the company experienced a 40 percent rise in new members and a 55 percent
increase in trade volume. The company projects an astounding 80 percent growth
in trade volume for 2009. BizX growth has been steady since its founding in
2002. As the economy has weakened, the company has experienced increased demand
for its services.

"Access to credit from banks is tough right now, especially for small
businesses," said David Wallach, president of the International Reciprocal Trade
Association. IRTA is a non-profit organization that regulates and provides
standards for companies that provide businesses with modern trade and barter
services.

In the first quarter of the 2009 fiscal year, which ended Dec. 31, the Small
Business Administration's 7(a) program backed 57 percent fewer loans than during
the first quarter of 2008, and 62 percent fewer than it did in first quarter
2007.

"Because of the difficulty in accessing credit, and because modern trade and
barter exchanges offer credit lines and alternative revenue streams, barter
companies will likely continue their strong growth," added Wallach. "Modern
trade and barter makes sense for most businesses. Those responsible for
monitoring the bottom line at any company should definitely explore the barter
option and the benefits involved."

BizXchange
Jason Richards, 206-442-4717
jasonr@bizx.com
or
Frause
Nathan Hambley, 206-352-6402
nhambley@frause.com

Copyright Business Wire 2009