Local Businesses Trade Services, Not Money

It's an ancient form of doing business.

But, now bartering has gone high-tech and is gaining popularity in Pittsburgh.

Michelle Silverman is a real estate agent in the North Hills. She has found a way to use bartering to benefit her business. "In this kind of economy, it's important to get as much business as possible," she said, "Being a part of the barter system does generate leads that I otherwise would not have."

Scott Rudy owns a local bartering business and said he has seen a 30 percent growth rate over the last three years. He says it's about cash flow for small businesses. "Conserving your cash for a small guy like that, how do you get an advertising budget to make yourself bigger?" he said, "That's one thing that you can use us for."

Pittsburgh carpet cleaner Kevin Super knows firsthand about the start-up struggles of a business.

"Money is tight when you first start in the biz. It was a side thing when I started a few years ago in 1999," he said, "so I found out about Pittsburgh Trade Alliance. It's where you trade services for services, so if I need to have hats made, pens, -- whatever I needed -- I would call them to help me get with a biz owner to get stuff done for trade."

There are now 500-700 business owners in Pittsburgh bartering with the Pittsburgh Trade Alliance. Everyone from roofers to plastic surgeons are involved. Drudy says bartering is a nationwide trend and that "40 percent of all fortune 500 companies are now trading with bartering alliances like us."

Drudy explained it's an easy system to use. "The card is the same as a credit card; you have to use it with people that accept it," said Drudy, "The only difference is when you get your bill at the end of the month, you don't pay it back in cash. You pay it back with your service. So if you own a hair salon, you give us gift certificates for your hair salon for haircuts for people we send you."

Green Apple, one of the largest and most successful barter exchanges is also based in Pittsburgh.

They sell surplus inventory or hours of service to more than 5,000 major corporations.

Green Apple has managed over 500 million dollars in barter transactions with companies from Boston to the Dominican Republic We looked on their site to see what they had to offer recently and deals included national magazine ads, replacement windows and a convertible BMW!

Michelle uses her barter dollars to buy gift cards for her clients. "As I get business, I accumulate barter dollars which in turn I can use for advertising, Web sites, restaurants, hair salons," she said, "Basically, just about everything."

If you are not a business owner, you can still check out sites like uexchange.com or, craigslist, that claims to have a 96 percent increase in personal trades since 2007. Whatever you trade with, make sure you are protected in the trade and you can actually get the services or products you bartered to receive. "We give a three strikes and you are out policy," said Drudy,"If we get three complaints, you are out."

Also, before you join a professional barter you should check out the service's fees up front. Some charge for setup fees and monthly services.

Whether you are trading as a business owner or individual, deciding whether you are getting a good deal is often a matter of opinion. But, it is always a good idea to compare similar products and services online for the latest price points.

The Pittsburgh Trade Alliance is part of a nationwide network. So if you are planning an out of town trip you can call ahead for a list of barter businesses and trade out of state as well.