Chapter 23
Barter
Essential Idea: Swap Products or Services with Like-Minded Businesses and Entrepreneurs
When Norman (name changed) walked into my old law office, I thought I had finally landed the big fish. His construction business grossed more than $1 million a year and he had a lot of legal problems. He was being sued left and right and an employee had embezzled a lot of money. I figured that not only could I help resolve his problems, but I would be in billing heaven for at least the next year.
But while I did work for Norman for a year, I never saw a penny in billable dollars. It turned out that Norman's troubles were so big that he did not have the money, not even close, to pay me for my services. What he proposed instead was a barter arrangement in which he would work on my house and I would provide him with attorney services. I agreed.
I spent a year sorting through and resolving Norman's many legal issues, and he spent a year upgrading my home. He added a custom deck in the backyard, a porch in the front, and he refurbished a bathroom. It turned out to a great deal for him and a great deal for me. Would I have liked the money instead? Of course. But the work he did was top-notch and it increased the value of our home.
Bartering may not be cash, but in the right circumstances, it's just as good.
