|Using Unutilized Capacity to Generate New Business|
|Wednesday, 30 May 2007|
Food as currency? Creative thinking and utilizing trade finance will ensure greater profits for restaurateurs.
In today’s competitive business environment, consumers are spoilt for choice, with restaurants sprouting out all over the island. Food and service quality, new dining concepts, creative marketing are all key elements in running a successful restaurant business, but new age restaurateurs need to be more savvy in innovative business management to maintain a thriving and profitable restaurant.
Trade finance is an emerging trend in restaurant management that is sweeping across the United States, Europe and Australia and is picking up among Asian countries. Why pay cash when you can use your products and services to trade for your business needs, including the following:
Every restaurant has down time or vanishing inventories, when restaurant capacity is not fully optimized. When tables are not filled at the end of each day, restaurateurs cannot recover the loss in revenue the next day. Some restaurateurs close their outlets on Mondays, others choose to open for dinner only on weekends. This may help to bring expenses down a little but restaurateurs should look at down time as a new window of opportunity to generate new business through trade, and utilize trade credits earned to advertise and promote the outlet, enhance benefits for employees or purchase a data base of target clients.
It is true to a certain extent that some restaurateurs may trade with some of their vendors in a one-to-one direct barter. A trade exchange facilitates multiple trades simultaneously, both locally and overseas, and has a team of experienced brokers who match buyers and sellers. In addition, it provides an established infrastructure for trading and access to emerging markets.
Once we fully understand the fact that trading is about increasing sales and generating new business, improving cash flow by conserving cash, maximizing profits through using trade to finance the purchase of products and services, we will realize the phenomenal power of trade financing.
To enquire, visit www.barterxchange.com or contact:
BarterXchange (S) Pte Ltd