Barter Book humanarium project

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The purpose of this book is to give the reader an inside look at the digital
credit or barter and exchange world and learn how to apply this knowledge
in starting a new business. Many books have been written about barter and
exchanging. Exchanging is just barter on higher ticket items such as real estate
and stocks. These are interchangeable terms. Digital credits are the new kid on
the block. They are made possible by the Internet explosion. For the first time,
the general public will be able to interface with an organized barter group
and more importantly, take advantage of new innovative ways of creating
more business using Credits. This will make for the most powerful currency
conversion ever seen in the history of money.

During the course of reading this book you will be introduced to all levels of
barter and exchanging except for a few very highly technical forms that are
used by very large companies internationally.

Barter has been around since the beginning of time. Organized barter is
relatively new. The use of coins and the printing of money is really just
organized barter. The more current forms of organized barter are the use of
checking accounts, credit cards and barter exchanges and now Credits, the
true cash less currency.

Barter itself is a cumbersome way of doing business and requires a great
amount of expertise in understanding values and markets. The professional
also has to become an expert at matching motivations of various parties to the
barter transaction. The professional also knows that a simple two-way trade
is the most difficult to find but learns to recognize them when they do occur
because they work faster. The most common trade is one with three or more
legs. Legs are a reference to the number of parties to an individual transaction.
The reason there are usually three or more legs is because of the DON’T

When a professional first starts a barter or exchange, he finds a party that has
something to trade and knows what the party wants to trade for. The simple
reality is that usually it’s easy to find what the party wants but generally the
second party DOESN’T WANT what the first party has to offer, hence the
DON’T WANT FACTOR comes into play. The professional then has two
directions to go into, find another item that satisfies the first parties needs
and find out what the second party would trade his item for. This process
goes on and on until a way to take out the DON’T WANT item or property is
discovered and then the whole transaction is completed.

All organized barter does is put all the DON’T WANTERS in a holding pattern
until they have decided what to do with the holding pattern in the form of
coins, printed money, cash credits in a checking account or a credit card
company or barter credits in a barter exchange.

Each of these forms of organized barter has advantages and disadvantages.
All of these methods of doing business will come into play in this book. Direct
barter and barter exchanges will be employed to give maximum leverage. The
other types of organized barter such as cash and credit cards will be used at a

Many types of businesses will be able to take advantage of the system that is
outlined in this book. But some, such as insurance and banking, will require a
cash system for awhile longer. Eventually, even these businesses will be able to
deal with other forms of organized barter and Credits as technology advances
in the communications world. Get involved with the digital credit currency
conversion as soon as you can!

Viva positive capitalism and long live the American dream!

                       CHAPTER ONE
                    CHOOSING A BUSINESS

Most entrepreneurs would agree that the best business to start would be in a
field that you enjoy working. Get as close to that as possible and life will seem
sweeter even if you don’t have a major success in your endeavor. Your chance
of sticking with the project will be greater if it is something you enjoy doing.
Burn out is a very real problem in the beginning stages of a new business
because you usually don’t see immediate results. This could prove to be an
exercise in futility if at the beginning you don’t look inside yourself and check
your motivation for starting the business you choose. If money or greed is the
only motive you have, chances are that the excess emotional baggage that you
will have to carry by doing things that you don’t enjoy, will detract from your
success. That doesn’t mean that you can’t succeed at other things, it just lowers
the odds a bit.

Make a list of possible businesses you think you would enjoy working at or
that you think would be a profitable venture. The next thing to do is research.
If you don’t know exactly what it is the you want to accomplish by starting
a business, go to your local bookstore and pick up several magazines on the
subject. They are chuck full of business opportunities.

The most important moment is when you pick the business you want and give
yourself a mental commitment to “just do it.”

There are some businesses that don’t lend themselves to barter as explained
in this book. If you get to chapter two and your wish list can’t be bartered or
obtained with Credits, then it’s reasonable to assume that this system won’t
work very well for your particular business start-up. These are very rare. If
it happens, contact me directly. I may be able to direct you to someone that
can help you find out ways of using the power of Credits and barter in your

Once you’ve chosen your business venture, you have to find out about your
competition and understand who your enemies are in the business world.
When it comes to starting a business using Credits or barter, your competition
is usually easier to deal with than your business enemies.

As we go along in this process, you will notice there are certain items that
can’t be purchased with Credits or bartered. If you are paying close attention,
you will also notice that most of these items are either government or pseudo
government agencies that have their hands in your pockets before you even
get started. If you think your government is benevolent toward the individual
entrepreneur, stop reading this book, abandon your dreams of economic
freedom through business ownership, get a job or go on welfare. If you don’t,
you will soon become very disillusioned and angry. These emotions will
increase your chances of failure. By recognizing the enemy in the beginning,
you may have a chance of circumventing the petty power freaks that will be
putting up stumbling blocks on your road to success. Most important, keep
your sense of humor when dealing with these people. In other words, don’t
let them get to you. Try to frustrate them in legal ways and you’ll turn a very
negative situation into a positive and fun game. Just don’t underestimate them.
They are in collusion with big money. Big money only has one goal with all
the stupid rules and regulations that will be imposed on you, that is to make
you fail and go back into the ranks of the salary slaves. Assuming you already
know these facts or are willing to accept them, let’s proceed in a more positive

I’ve decided to start three businesses at the same time. “That’s crazy” you say.
Perhaps, but that’s what I’m going to attempt. I don’t recommend three at a
time but I think you will see the method in my madness.

The first thing that you have to remember is that you’ll have to survive the
start- up period somehow. If you already have money saved or a well healed
partner or investor, perhaps you won’t have to work at something other than
your new business. If you don’t, then start your new business on a part-time
basis and let it grow until it can support you.

In my case, I have a very compatible occupation while starting my new
ventures. I’m a business consultant that specializes in setting up special
accounts using Credits issued by my company, Digital Credit Systems, for all
types of businesses. While I can place these businesses in several organized
barter groups, I prefer to place most of them with my company because of the
lack of fees and the bonus system that allows for greater leverage. This is the
reason I can do four things at the same time, which by the way, is not unusual
for a productive entrepreneur.

Each of the three businesses I’ve chosen represent a basic classification or
business type. The three main types of businesses are product oriented, service
oriented or an intellectual idea. The main thing, in all three cases, is that a
profit can be made by providing one or all of these features to the general

I’ve chosen to build and market computers for my product oriented business.
The company will be called BBC 3000. I’ll market the computers through the
BXI system first because of my association with them. Then I’ll include the
other organizations. This will give me a national market made up exclusively of
business owners, most of whom use computers to run their business.

The business I’ve chosen to represent the service oriented classification is a
restaurant delivery service. This company will originally be called Restaurant
Delivery Service Plus. The reason for the generic name is two fold. I will sell
this business either shortly before publication of the first dining guide or
as soon thereafter as possible. The Plus in the name stands for other things
that we will be offering for delivery to the consumer. I’ll be able to use
approximately fifty percent of my advertising space for businesses that will
pay me in BX dollars. As I get new restaurants and businesses into the barter
system, I’ll be earning commissions to survive on until the project is completed.

The most obvious classification that I’ve chosen a business in, is the idea
market. This book is my example and will be sold both to the general public
and marketed through digital credit and barter organizations.

I’m sure you can see the common link between the three businesses and what
I’m currently doing as a business professional. At this point in time, I’m as
curious as you are to find out if all this is possible. The writing of this book
is helping me keep on track and gives me a record of results. Perhaps at this
point in time, you should do a simple analysis of your own situation. If you
already own a business skip to the next chapter unless you are planning a
change. If you’ve already chosen a business, do the same. For those of you that
haven’t decided or don’t know how to choose a business suited to yourself, try
this simple exercise.


These talents should include anything that you’ve already worked at and
mastered. They should also include the teaching or consulting of these talents.
If you have any hobbies that you are particularly good at that might be
marketable, include them in this list. ___________________________________
______________________________ _____ _______________________________
__________________________________ _____ ___________________________
______________________________________ _____ _______________________
__________________________________________ _____ ___________________
______________________________________________ _____

Number your talents according to ones you think could bring you the highest
financial gain based on your own knowledge of the market for your services.

                         YOUR LIFE

This list should include personal and financial goals. Try to list the near term
goals first and the long term fantasy goals last.

_____ ______________________________________________________________
___ _____ __________________________________________________________
_______ _____ ______________________________________________________
___________ _____ __________________________________________________
_______________ _____

Now, try to match the two lists. Pick the closest match and “just do it.”

If nothing matches, you need to do more research. Perhaps you are overlooking
a talent. One that is often overlooked is sales ability. If you feel comfortable
being a salesman, you only need find a product of service that you believe in.
Being a business owner automatically makes you a salesperson. A lot of people
don’t like to think of themselves in that light, but the truth is, you have to be
a salesperson to succeed in business. That doesn’t mean you have to be a hard
core, high pressure salesman. It only means that you have to know how to
convey your message to the people you want to do business with. If you are an
effective communicator, you’ll be a successful salesperson in your business.
Even an engineer type has to sell their ideas at some level to be able to turn a
profit on them.
1999 Update:      The book is now available free to participating business
within the Digital Credit Systems.

    For the first time a barter situation has been designed to interface with
the general public and pass these benefits on to business owners that use
Credits issued by Digital Credit Systems.         The San Diego beta test for
participating businesses is completed after almost two years of designing and
implementing a cash less system for commerce. The business owner’s section
is completed and now the beta test for the general public will begin. This is
called the Spend and Save card and the Discount Directory. Both systems will
introduce the use of Credits to a vast number of individuals that have never
been involved with any type of organized barter. This is “Next Generation”
barter for those that feel comfortable with aligning this system with barter. We
prefer to think of the process as a currency conversion system.

                      CHAPTER TWO
                               WISH LIST

The wish list for a new business is just a detailed budget for the set-up
and running of the business. At the beginning of a business you’ll have an
opportunity to set up vendors and other reoccurring expenses as Credit
accounts or barter accounts. The problem is, that you won’t have any Credits
or barter dollars that will have been earned yet. What you’ll need to do is
contact Digital Credit Systems or your local barter exchange and explain your
plan to them. Give them your list of possible ways that you want to spend your
Credits or barter dollars. They will point out members that fill these categories.

You should then contact businesses in the other categories, those not filled
within the membership of DCS or your barter group and get pro-active in
promoting the Digital Credit Systems or barter system to these businesses. If
they know you will be their first customer and that the system will increase
their business from other members, there is a good chance that they will
join. Often times, giving DCS or the barter exchange qualified leads for new
members, you will earn Credits or barter dollars as a finders fee. Be sure and
ask first.
Don’t be disappointed if you can’t trade with all of your vendors. If you are
buying wholesale products to market at retail, very few wholesalers will barter
at 100%. Try doing a percentage in Credits or make a barter agreement with
them. Show them your DCS or barter directory so that the wholesaler knows
that they will be able to purchase from a large selection of local and national

I’ll make an example of a wish list for each of the three businesses I’m starting.
The businesses I’ve chosen lend themselves very well into the digital credit
and barter world because each product or service is in high demand within the
organizations for alternate commerce transactions.




Gas & Electric

Parts Advertising

Local Telephone

Long Distance Phone

FAX machine/modem

Fees & Permits

Delivery/mailing service Printing Training




Gas & Electric
Delivery Vehicles


Food Containers


FAX machine/modem

Computer Software


Local Telephone

Fees & Permits Signs





Internet web publishing

The easiest type of business to start with Credits or barter is an intellectual
property such as a book or art work. Basically, you just start these projects
with a blank sheet of paper. Your time is the invested capital. This is called
sweat equity and it comes in many forms. Any type of labor or personal
service can be bartered in advance with a contract for future services. This
is the best way to start earning Credits or barter units. For direct barter, a
simple statement with appropriate signatures by both parties can give you a
jump start into your business. For example; if you wanted to start some type
of advertising business, you would simply contract in advance for the work
you need done by referring to your wish list. Pick those products or services
that you could do a direct trade with and then pick those items that may be
secured with an advanced contract for advertising within DCS or the barter
organization. Using my restaurant delivery service as an example, I could do
a direct trade with the owner of a tuxedo store for advertising. The printer
should be set up with DCS or the barter exchange in advance. The restaurants
and the companies I want advertised within my publication should be chosen
first from DCS or the local barter companies. This will build up a war chest of
Credits and barter units that I can use to start my business. (see FORMS)

Put off all cash expenditure until the last minute. Try everything you can to
avoid these costs. These are the items that will break your back before you even
get started. If you build up enough Credits and barter units, then do a cash
conversion and use the cash to cover your government and pseudo government
obligations. (see CHAPTER SIX)

If you have a particular skill that you can barter with, such as carpentry,
drafting, handyman or anything else that only requires your time, try
bartering your time within DCS or the local barter organization. Trade with
anyone on a direct barter basis if they have something you need for your
business or that you can quickly turn into cash. Use a simple agreement, such
as the following:

Party of the first part agrees to ________________________________________


for an exchange value of ___________________ on or before

Party of the second part agrees to ______________________________________

for an exchange value of ___________________ on or before

Other terms and conditions ___________________________________________

___________________ _____________

FIRST PARTY..................DATE

___________________ _____________


There are two other types of wish lists that are important to mention here.
The first is your personal expenses and things that you need in the near future.
Make a simple list. I’ll use my situation as an example. I don’t have any
reoccurring debt so this might not be the average lifestyle.

                     SURVIVAL EXPENSES MONTHLY

                    Rent ................................................. $810

                    Automobile ...................................... $200

                    Telephone ....................................... $200

                    Gas & Electric ............................... $100

                    Food ............................................... $400

                    Entertainment ................................ $200

                     Miscellaneous ............................... $200

                     Total ........................................... $2,110
Of the above items, rent and approximately fifty percent of the food,
entertainment and miscellaneous items can be done through the local barter
organization. This gives me a net of $800 cash that needs to be earned to
survive. That net figure, whatever it is for you, is what is keeping you from
being able to start a new business unless you’ve saved money, have passive
income or can find an investor to carry you during your start-up period.

                           NEAR TERM PURCHASES

                    Television ........................................ $500

                    VCR ................................................ $300

                    Upgrade personal computer .......... $450

                    Video camcorder ......................... $1,000

                    Upgrade car ................................. $2,000

                    Clothing ....................................... $1,000

                     Miscellaneous ............................ $1,000

                     Total ........................................... $6,250

From this list, I can either use barter credits or do direct barter for everything
except the computer upgrades and some of the clothing. None of these things
are of major concern but they do serve as a goal for the next few months. We
are currently coming to the end of a very severe real estate market in Southern
California, (1997) therefore my major goal will be to put myself in a position to
purchase real estate at these lower values.

The other type of wish list, is one that is usually forgotten by most barter
people. This is a list made up of friends and relatives. If you can determine
what some of the people in your life are looking to spend their cash on, you
can often use your Credits or barter units to purchase these things. A very
good example would be, when one of them needs a doctor or dentist. Any
good alternate currency organization has a variety of qualified professionals
that you could advise them to use. It’s easy to find out how good the doctor
or dentist is by checking with the local DCS or barter office. (see chapter six,
cash conversion) These friends and relatives can then pay you in cash. Don’t
overlook these opportunities if you have any extra Credits or barter units.
Apply for a larger credit line if you don’t have enough Credits or barter units.

1999 Update:

   I have succeeded in both renting and purchasing real estate using Credits.
Everything on the above list was purchased with Credits with some big
surprises, such as software and computer hardware that I didn’t think I would
be able to find using these methods.

    Because of some new laws, actually the promise of “no new laws” for
innovative Internet solutions, Credits may soon be used to purchase shares
in Internet stocks available at the Cyber Corporation site: http://www. This will make Credits are more liquid asset and
increase the value of the currency. The possibility of profit with these shares
is impossible to determine because this in a new way of doing business. Don’t
go into any of these investments with anything except excess income from your
membership in Digital Credit Systems. Credits are best used for the day to day
running of your business or to replace the need for cash in some areas of your
personal life. Cash is still king, but if you consider yourself a risk taker, you
might consider following and investing in this new venture.

                   CHAPTER THREE
There are two basic forms of barter and now the new currency conversion
process provided by Digital Credit Systems. The first, direct barter, where both
parties have to adjust to dealing with each others goods or services to make an
exchange or barter transaction work. The second, organized barter, where the
values of each parties’ goods or services are converted to an exchange value in
the form of computer credits that can then be spent within the organization.
Both types of barter should be considered when setting up a effective barter
strategy. I will give examples of the use of both types using the wish list in
chapter two and the advantages of using the new Credits issued by DCS. At
first I’ll give my opinion of which direction I should attempt a trade and then
after the fact, I will let the reader know the level of success that the strategy
proved to have for solving the problem.

Links to Barter and Digital Credit Organizations
Digital Credit Systems

Business Exchange International

Merchants Exchange


* RENT.....To enable BXC-3000 to engage personnel to build computers, I
will hire students from the near-by colleges. The DCS system already has
apartments for rent in my area. The students can rent a three bedroom
apartment for about $800.00 PM. They can convert one bedroom into a
combination office/study and computer construction area. The other bedroom
can either be rented out for cash or two computer builders can share the
apartment. I will recommend that each builder finds a cash paying roommate
because this is a very easy way to cash convert some barter dollars. I already
have this situation to start out with, although I’m using both extra bedrooms
for my businesses.

* EMPLOYEES.....It is not wise to employ anyone when starting a new
business. The reason is very simple, the cost of doing business with the
government. This is where more businesses fail before they even start. Each
area is different but I’m operating in the Socialist Republic of California
where the State and Local officials have declared the individual entrepreneur
an endanger species and they are determined to see to the extermination of all
present and possible forms of this vile form of social being. I will document the
costs that I would have had to incur if I did it the way that bureaucrats and
politicians want a business to start in this State.

Instead, I’ll hire only individual contractors. The local DCS and barter systems
already have three or more local computer builders each that I can contract
with. Depending on how many orders I receive nation-wide through the either
network will determine how many college students I will have to train. I’ll go
through the motion of training at least three students that can also work for
the restaurant delivery service. Establishing your individual contractors status
can be very tricky. They make it as tough to do as possible because the system
looses control of the individual.

* PARTS.....The full $1,500 in cash will be used to buy the best and most
inexpensive parts for the computer sold by BBC-3000. Direct trade for
hardware will be the most probable possibility in this wholesale category.
I won’t spend much time initially trying to trade for parts or software.
Eventually, some trades should take place and the benefits will go into
enhancing the product line to keep more competitive.

* ADVERTISING.....The cost of advertising will be borne completely by DCS
and other barter credits. Due to the fact that many barter exchanges have
national publications and linking computer technologies, this target market
has a built in system for marketing my product. They would like nothing better
then to help me develop into one of their best clients.

I’ll also have mailing lists available for any direct contact advertising. Should I
want to try the cash market for my products, all of my advertising budget will
be a barter transaction. There is no reason to spend any cash when the barter
dollars can be earned so easily and there are so many choices in the barter
community. Even weak barter organizations seem to be strong in this area.

* LONG DISTANCE PHONE.....Once again, the barter organization comes
through. I can use my barter units to pay for this service.

* FAX MACHINE/MODEM.....These items are available through trade.
There are several methods of obtaining these needed products but you have
to be willing to settle for used equipment in order to facilitate a trade. If this
isn’t acceptable, pay cash. Don’t spend too much time trying to make this
transaction work in trade. It could be too time consuming for too small of a
return. Don’t try hard to do small “one time” deals in trade unless you can
find them quickly. Check with your local DCS or barter service and read their
latest publications. Sometimes, you’ll get lucky.
If you are really determined to get this or any other small items or equipment
that isn’t usually found in your local or national barter groups, try looking
in your local want ad section of the newspaper. Call these sellers and try to
find out what they would spend the money on if you were to purchase their
advertised item. A lot of times you can fulfill their needs by buying what they
want through your DCS or barter organization and then trading it directly to
them for what you want. Remember, this is usually a time consuming process
and can take you from more pressing matters in your business. But if you have
the time or the interest in trying this technique, go for it. You’ll be surprised
at how often you’ll be able to accomplish the impossible trade. Another Hint;
offer to buy the item at the asking price. Don’t dicker with the seller if their
price is at all reasonable. This fact will make them want to deal with you and
even help you in the process.

The week after writing the above paragraph I located a one month old FAX
machine that suited my needs. I was shopping for some used computer
monitors at a used furniture warehouse, that is a local barter member, when I
noticed he had several FAX machines for sale. I got my FAX machine for 100%
barter credits saving my cash for other business expenditures.

* DELIVERY/MAIL SERVICE.....This is a category that the local barter
organizations don’t have. I happen to know that in other areas, they do have
such services. I plan on getting a local carrier into DCS or looking into those
carriers available close by to see if an arrangement can be made to deliver
my computers throughout the country to barter organizations. Checking
with the local trade directors of your barter organization should give you
the information you need for items like this. They have their entire national
membership on their computers and can access the information very easily.

* PRINTING.....Any barter service should have a good choice of available
printers in your area. If not, try to find a better organization to deal with.
Lack of printers is a good sign that you are in a weak barter group. All small
printing jobs from $1,500 on down should be available at 100% trade. Any
jobs over that amount you will have to negotiate the amount of cash versus the
amount of trade credits.

* TRAINING.....Once again, the local DCS office has a very strong computer
category. The first thing I’m doing is having one of the members train me
how to build computers. This way, If I have the time or need to train one of
my rep’s, I’ll be prepared. My plan is to have them trained by the computer
experts in the DCS system. This training is always available at 100% digital

Guess what? No trade possibilities here and they will make all kinds of cash
demands on you before you even have a chance to earn a penny. Sounds fair
to me! What seems strange is that they all benefit from your success but seem
hell bent in stopping you before you even get started. Their rationalizations
are endless and their results are disastrous. I’ll document the start-up cost
demanded by them as though I were conforming to their concept of how I
should start and run my businesses.


3000 situation above.

* DELIVERY VEHICLES.....The easiest way to deal with this problem is to
hire delivery personnel that own their own vehicle. They would have to be
compensated a little higher, but that would probably be the best solution. My
plan is to purchase a few back-up cars using Credits to cover emergencies.
These vehicles can also be used as an example for the delivery people as to
what they can do with their Credits. I plan on paying bonuses in Credits. It is
very important that the delivery people realize the benefits of the Credits. All
maintenance should be done with Credits or barter units unless the delivery
person can fix their cars themselves.

* TUXEDOS.....Once again, the easiest way to solve this problem is to have the
delivery personnel buy or rent their own tux. We don’t have a local member in
the DCS system that supplies tuxedos for rent or purchase. The surrounding
barter franchises all have this service. The worst case scenario is that we will
do business with them. I’m going to attempt to rectify this situation by getting
a local company involved. I will not only be their first customer but they
should realize a lot of extra business by joining DCS. You don’t have to be in a
position to sign members into an organization like I am to realize the benefits.
Most barter groups pay a referral fee (See: DCS referral fees). If you prepare
the business owner properly, it should be easy to bring new members into the
system. Just give the owner of the business owner a brief explanation including
the local fee structure. Tell the owner that you will be his first customer if his
company joins the Digital Credit System or a barter organization. He’ll thank
you for it later.

* FOOD CONTAINERS.....These containers could prove to be the most
difficult items to trade for. They are a specialty item and generally sold with
very little mark-up. I’ll have to plan to use cash but I will attempt to either get
a restaurant supply house into DCS or locate some used units to do a direct
trade. With used equipment, I can either propose a direct trade, if I have
something that is wanted by the owner of the food containers or I can show
him the local DCS directory and see if he will trade for Credits.

* COMPUTER.....In my case, I already have several computers. If you require
one for your business, either use BXC-3000 as a source for a new computer or
use the DCS system or any other barter group to buy one. If all else fails, refer
to your local want ads and use your directory to entice a computer seller into a
trade with you.

* SOFTWARE.....The contact management software that is needed to keep
track of prospects for the delivery service publication is very inexpensive. I’m
using a program called ACT. If you don’t already have it on your computer
like I do, don’t waste much time trying to barter for it. The real expense here is
in the software needed to run the business. There are several software packages
already on the market for this type of business. They range in cost from $3,500
to $10,000. This type of expenditure is worth trying to find a barter solution.
Bartering for existing software of this type is not very likely but finding a
computer programmer that will design a similar program is much easier. There
are usually several to choose from in any good barter organization. We have
three or four in our local DCS group. The biggest benefit here is that I’ll end
up with a proprietary product in the form of custom software that enhances
the value of my business should I sell it or franchise it.

Two other software packages are necessary to complete my needs. “Quicken”
to manage my finances and “Coral Draw” for graphic art and desk top
publishing should complete the software requirements of my restaurant
delivery service.

Although I can do without a scanner, it would be a good idea to purchase one.
A good one can be had for $1,000 at this point in time. I could try for older
versions of “Quicken”, “Coral Draw” and a scanner, but I prefer to get the
latest version. Unfortunately, this decision will require cash. If you are on a
tight budget, use the newspaper want ads to effect a trade. Sometimes you can
even find these used items through a barter organization. I’ll keep you posted
on which direction I ultimately go regarding these items.

All internet services should be available through any good barter exchange.
I’ve taken the time and trouble to learn how to design and post my own wet
site that includes this book and a new currency conversion organization at:

* ADVERTISING.....There is absolutely no reason to use cash for this
category. Part of the service of the DCS organization and most other barter
organizations is to get the word out that your business is anxious to barter with
other members. You can even advertise in a monthly newsletter or want ad
publication that is send to each member in the country. It is absolutely free to
place the ad every ninety days. Most national barter organizations have some
form of national exposure that is either free or that can be paid for in barter
units. This method will only be good to attract travelers within the barter
groups for my delivery service.

Probably the largest category in any good barter directory is the local
advertising opportunities available to the members. Any excess barter will
be pumped into my advertising budget. This is a natural way to create more
cash business using the leverage of barter or Credits. Direct barter with non-
members of your local organizations is also a good method of leveraging your
advertising budget. Don’t spend cash here except for cheap want ads in the
local papers to hire personnel or sell items for a cash conversion. (see Chapter
Six) I will also do some “like for like” trading. In other words. I will place
an ad in a direct mail situation for the same value in my publication. We will
advertise our own businesses in each others advertising vehicle. This method
requires that you find a knowledgeable trader that can see the benefits derived
for the both of you, even though you compete for the same advertising dollars.
* SIGNS.....The only signs we’ll need will be for the delivery vehicles. We’ll
use the removable type. Any reasonable barter organization has several sign
companies to choose from. Compare the values and the services just like you
would in the cash world.

same old same old, CASH up front.

                               BARTER BOOK

* PRINTER, ADVERTISING.....Any national barter organization should
be able to cover you if you choose to publish your own work. There are also
consultants to help you through the publishing process that will take Credits or
barter units for their advise.

* DELIVERY/MAILING.....While there aren’t any businesses in the San Diego
area that are in organized barter, there are companies in other areas that do
offer these services. If I have time, I will attempt to secure a local vendor.

* INTERNET....Everything imaginable is available to build and maintain
a top of the line web site using digital credits (barter units). Because of this
degree of interest by local computer professionals, I’ve started my own
currency conversion organization that is totally aimed at the Internet business
community. Visit the Digital Credit System at:

                     CHAPTER FOUR
                 CONTACT MANAGEMENT

Contact management, for our purposes, can be broken down into two elements.
The first, is the mechanical end of developing and keeping track of present and
future customers. The second, is the marketing for each company.
The mechanical side can best be summed up as any state of the art computer
lead developing or contact management software. In the San Diego area there
is a company called CALDATA Solutions. It is a barter organization member,
therefore I will be able to lease their CD-ROM list generator for approximately
$1,500 BX dollars. This will enable me to make any kind of list based on my
own parameters to pinpoint any market I want to target in the San Diego area.
I can use this for generating mailing lists, potential sales leads or any other
background information I might find important for my businesses. The contact
management software can be bought off the shelf. Unfortunately, at this time
I don’t have a barter source. But for me, that is only a challenge. I’ll attempt
to get a new member selling new or used software into the DCS system before
this booklet is completed. The other type of software needed for my restaurant
delivery service can be developed by a custom software developer. We have
several in the area. The estimated cost for this will be between $3,000 and
$5,000 in Credits. This software can be used to help give the business a greater
value when it is sold or if the franchise route is taken in the future.

The following marketing strategies reflect the five most important elements
of a successful winning plan to bring any business to the public. Each of these
areas will be explored closely and the firms that meet our criteria of excellence
will be chosen to represent our products. Fortunately, most trade organizations
are very strong in these areas. Most business owners prefer to use their Credits
or barter units to generate new cash business and the barter exchanges and
Digital Credit Systems pursue these types of members for their general






As you can see, each type of business uses the five marketing strategies
differently. While the computer company only uses an in house niche market
strategy, both this book and the restaurant delivery service need to use all five
of the above methods of marketing.

The niche market, that I plan on exploring for the BBC-3000 computer
company, has all the contact management and networking tools in place.
The ten percent that I pay to the organized barter companies is my expense
for setting up and using their technology. They don’t get paid, as a rule,
until I’ve not only earned but spent my barter dollars. This insures that they
will not only help me market my products or service, but that they have a
vested interest in my ability to spend within their network. Beware of barter
companies that try to get their money up front. They lose their incentive to
help you spend and are usually very weak barter groups. DCS doesn’t charge
a transaction fee. Instead you’ll receive a bonus for going to the Internet
and doing your own shopping. If you need service, go to a standard barter
organization, if not, use DCS to save the additional expense.

Locally, as the owner of DCS, we are developing software that we plan on
marketing internationally to other investors for the expansion of Credits
globally. This software will allow any member, that has a computer modem,
the ability to access the entire membership throughout the system. The
importance of this is two fold. If you are planning on marketing, as I am, to a
global organization, you’ll be able to better access your clientele. Mailing lists
are available through any good national barter organization. Fortunately, most
businesses now days require a good computer to help them with many aspects
of their business life. My plan is to contact as many members, as often as
possible, to make them aware of the fact that they can get computers through
my company using barter credits.

The local companies also publish their directories and newsletters. I will list
my company in any barter organization that has a good reputation and I will
make sure that flyers go out with each of their mailings. Flyers are usually a
free service. You supply the flyer and they cover the cost of mailing. The worst
scenario is when they charge you for this service, but it is always in barter
units or Credits, so that it doesn’t hurt too much.

Many barter organizations have a national want ad publication that it sends
to every member with their monthly statements. A member can place an ad
absolutely free every ninety day. This will be a major marketing outlet for
my computer company. Imagine, free advertising nationally to over ninety
franchise locations with thousands of members all owning their own business.
What a sweetheart market this is.

My restaurant delivery service will use contact management techniques in the
following ways:

* PRINT AND MEDIA using DCS and the local barter
organization’s directories as contact tools, I’ll be able to pinpoint those
businesses that might lend themselves well to my publication. Because I’m
doing this in four color with a high print cost, approximately one dollar per
magazine, I’ll want to have a certain upscale look about the finished product.
By perusing the various directories in the area, I’ll be able to pick and choose
those companies I feel would be best to perpetuate the final look of the delivery
services publication. This is extremely important to the ultimate success of
this project because I’m trying to produce an advertising piece that will be
kept rather than thrown away by consumers. My daughter “Yevette” is a
graphic artist and will be in charge of the overall look of the delivery service
publication. She is a member of her local DCS organization and we will do
business using Credits. She will interface with my printer who is also a DCS

When I looked into the various directories, I counted over forty different
advertising opportunities. Several of the smaller barter organizations in the
area such as San Diego barter and TCE also offered a fairly large selection of
advertising options. Personally, I will use several existing members but because
I earn a living by signing up members in the DCS system, I’ll approach non-
member businesses and try to get them interested in the concept. I will make it
easier for the new member to pay for their set-up fee when they join DCS.

* PUBLIC RELATIONS.....There are several members in DCS and the local
barter organizations that specialize in public relations for companies. I’ll pick
one of them and have them design a program using existing participating
businesses combined with a non-member list of options. I’ll contact those
companies chosen by the public relations specialist that are non-members and
offer them the opportunity to increase their volume of sales by joining our
organization. Some of their suggestions won’t lend themselves to this scenario,
mainly because the TV or Newspaper suggested is too large to try to get their
company involved. My time can be better spend then trying to get through a
bureaucratic nightmare with a large corporation. If any of these companies
require cash to do business with my company, they will go to the bottom of the
list. If I get so successful that I need to use cash as a tax deduction, then I’ll go
the traditional way.

* NETWORKING.....Barter organizations were doing state-of-the-art
networking twenty years before the word networking was used in this
connotation. They are still the most underrated networking group in any
community. If I have extra time, I will visit local network groups such as Le
Tip or Friends in Business. They offer a different format to market from
and it will be very interesting to see what the response is at these meetings.
Unfortunately, they all cost money (cash) to join or attend. I’ll attempt to
rectify that situation. I’ll report on the results.

The Internet will become the primary networking system of the future. SEE:

* SPECIAL PROMOTIONAL EVENTS.....While this is an entirely new area
of promotion for me, I’ll start by getting some advice of local DCS, BXI,
ITEX and TCE members that specialize in this field to see if they have any
suggestions. At this point in time, I’m aware that this is an important part of
marketing but my intuition tells me to get professional help before venturing
into this field. Unless you have this type of experience, some guidance from the
pros could save you a lot of time and expense.

* TRADE SHOW PRESENTATION AND SET-UP.....There aren’t any trade
shows that specifically deal with restaurant delivery services to my knowledge
but that doesn’t mean that I can’t find related trade shows. This will give me
the opportunity to check out all the local facilities and get a listing of their
conventions and trade shows. Perhaps, they’ll even join DCS in the process. I’ll
definitely use the one that does join. The trade show set-up can be designed and
build using existing DCS members.
                       CHAPTER FIVE
                            OPENING DAY

Every type of business has a different kind of opening day. Some, like my
computer building company, go by with nothing happening except filling
the first order. This was exceptionally easy because computers are in such
high demand as a barter purchase. Up until now, it was very difficult for our
members to get anything except used computers or over priced new “end of
the line” computers. I was able to get five or six orders by just mentioning it
to a few members. I’m sure this situation will change as the barter market is
saturated by my company and other vendors that see the power of barter to
establish national markets. This can be repeated with many other high demand
items as well.

1999 Update: Unfortunately, the profit margins aren’t high enough to make
the above business model one that can work with barter, but we’ve come up
with a different business model with the Digital Credit System that will make
computers available to businesses using Credits.

DCS has dedicated 20% of the cash profits from the Spend and Save cards and
the Discount Directory cards to buy wholesale items for selected categories that
have not been available in the barter world. These wholesale items include
food for restaurants, paper for printers and parts for computers. This business
model will make the most generic categories in DCS solidly committed to doing
business using Credits.

The reason this is a separate chapter is because in many instances, the first
day or the Grand Opening Day, has many one time spending opportunities.
If possible, try to use credits or barter to off-set these costs. If your product
is very generic, like food in a restaurant, you my need only issue scrip for
trading purposes. Scrip is just another word for a gift certificate. This is a good
time to set up your printing of gift certificates if they are an integral part of
your future business. The good thing about scrip or any direct trade is that
you don’t have to pay the ten percent to the organized barter company to do
business. The bad thing is, that you will have to work harder to make deals
with vendors and you will have a tendency to use someone just because they
will trade with you. A good barter exchange will give you many choices and can
be well worth the ten percent. Credits are better than both situations and will
be the wave of the future if properly promoted.

Some of the things that can be purchased with Credits or bartered at your
opening day are as follows:

* Advertising

* Printing

* Signs

* Catering

* Entertainment

* Special transportation

* Extra personnel

* Booth preparation

* All internet services

The restaurant delivery service falls somewhere in the middle of the road
as far as hoopla needed to kick off a business is concerned. Advertising and
extra personnel will be the main important first day needs for this business.
Advertising includes public relations in this section of the book. The opening
day will not require a public gathering like many retail businesses do, but
rather a internal start-up of all systems. If this is the type of opening day your
business will have, I would suggest thinking of it as more of a lift off. Make a
“count down” list of things that have to be ready before you can function as a
viable concern.

                          My count down goes as follows:
1. Have a minimum of 5,000 copies of the restaurant menu guide ready to

(a) Five DCS restaurants signed up for the delivery service.

(b) Five cash paying restaurants signed up for the delivery service.

(c) Three full page ads taken out by DCS members.

(d) Three pages of cash paying ads.

(e) All ads into printer two weeks before opening day.

2. Computer systems ready to operate.

(a) High speed stand alone computer dedicated to this business only.

(b) Fax machine dedicated to this business alone.

(c) FAX modem.

(d) FAX & “E” mail software.

(e) Internet software.

(f) Contact management software. (ACT)

(g) Business management software. (QUICKEN)

(h) Custom software to run restaurant delivery service.

3. Communications system ready to operate.

(a) Two way radios for drivers.

(b) FAX machines for all restaurants and businesses offering delivery through
our publication.

4. Delivery vehicles.

(a) Have at least three back-up vehicles in good running order.
(b) Design and take delivery of detachable business signs for the vehicles.

5. Advertising the delivery service.

(a) Prepare direct mail campaign.

(b) Prepare an ad campaign using San Diego County Digital Credit and barter

(c) Sign up more advertising members into Digital Credit Systems.

6. Hire personnel.

(a) Place ads in the local newspapers for delivery people and a dispatcher.

(b) Place ads at the local colleges for the same.

(c) Prepare independent contractors agreement.

7. Buy or set up monthly rental of tuxedos.

8. Buy five delivery cases.

9. Pay for business fees & permits.

(a) Business license.

(b) Check for any health department requirements.

This book will be the biggest challenge for me to market. Opening day is more
like a series of opening days at different public relation events. The only real
first day promotion will come when I list my book for sale with the barter
organizations. They are the first obvious target market.

Most of the rest of this chapter will be written after I’ve gotten some advice
from several of the local DCS members that are listed as consultants in
this area. I will also attempt to get any specialist that I might need as a new
member in the organization.

After checking the local directory, it became clear that this area didn’t have
any local book stores for it’s members. In my case it will be easy to access
all the book stores and their owners using the CD technology offered by the
CALDATA system that I leased through the BXI barter group. There is even
a small chance of interesting a local publishing company. It will be important
to point out that we have talented members that would submit their works to
them. We have some of the largest print shop in San Diego that could cover a
lot of the hard costs of printing if the publishing company choose to publish a
manuscript. My book will be submitted to local companies first to see if they
see any merit in this concept.

The web publishing world, if you take the time to learn about it, will be the
conduit for publishing in the future. I’ve trained myself to do this because art
and writing are my hobbies. The internet is the perfect tool for use in both of
these venues. The more you know about the computer world, the better chance
you have of succeeding in today’s business world. The internet is the best place
to start.

1999 Update: The book is now scheduled to be an integral part of the Digital
Credit Systems’ web site and can be read or downloaded as a tutorial of sorts
for anyone wanting more information about alternate ways of starting and
running businesses. The book is included free and will be updated occasionally
and will remain free. The time was well spend but not directly profitable as a

                        CHAPTER SIX
                      CASH CONVERSION

Understanding the cash conversion process will determine, in most cases,
whether you will become a power user of Credits and barter or just a casual
player. The most important thing to remember about Credits and barter is that
it is found money, most of the time. Credits and barter should never replace
cash business until Credits have become the universal currency that everyone
knows will happen sooner or later. It should always be extra income. As bonus
income, it should be thought of differently from cash. Cash is simple. Buy low
and sell high to make a profit. Credits and barter is the reverse. Earn at retail
and sell at a discount. That might seem strange, but just follow these simple


Income: $100,000---------------------------- Credits & barter income @ retail:

Cost of goods: $30,000--------------------- Cost of goods: $9,000

Fixed expenses: $20,000

Discount (cash conversion) $9,000------Gross Profit: $50,000

Gross Profit: $12,000

As you can see, the total gross profit is improved by almost twenty five percent.
If you have a service and you are only selling time or paying labor only, the
figures are even better. If you are selling empty seats, rooms or admission
tickets, the profit couldn’t be higher, it’s almost all found money, extra income,
bonus for the year. The only extra cost associated with these categories is

Now that you understand this principle, quit trying to compare apples and
oranges (cash & Credits or barter). The key word here is flexibility. You must
learn to think in more general terms and accept a process that is geared to
ultimately leading you to enhanced cash income for your business. Sometimes,
it’s possible to get full value for your extra Credit or barter income. The best
example of that, is when you enhance your advertising budget. If your business
success is in direct proportion to the amount of advertising you can afford, this
is the absolute best place to spend your extra Credits or barter income.

If you use any Credits or barter to run your business and pay the normal price
that you would have to your vendor, the above discount value of the Credits
or barter units (30%) is reduced even more and your bonus gross profit goes
up proportionately. Refer to Chapter Two to see if you can reduce this factor.
Cash conversions are only necessary with excess Credit or barter income. Try
to spend Credits or barter units to help your business first and then identify the
excess Credits or barter units and include scrip. Leave a buffer zone to cover
any changes that might happen. You know what “Murphy” can do to business
plans. Another thing to consider before going for a cash conversion/discount, is
whether you can use the Credits or barter units in your personal life where you
would have used cash. If you can, use your Credits or barter units there before
you consider doing a cash conversion. There is nothing worse than doing a cash
conversion and then coming up short on Credits or barter units.

Sometimes a cash conversion is necessary because you’ll need the cash to run
your business. In starting the three businesses in this book, there will be such
times. An example for each business is as follows:


The first cash obstacle we ran into with the building of computers was with
parts. We found that in order to be competitive in the BXI organization, we
had to give more value. We could build a Pentium computer with the $1,500
cash but that was not enough to entice buyers for another $1,500 in BXI units.
We solved part of the problem by identifying software that could be purchased
through barter organizations. We added a $500 software package for each
unit purchased. This still wasn’t enough, so we decided to add a bare bones
computer. These could run anywhere from $250 to $350 wholesale for parts.
This is where the cash conversion was a must. If you add the ten percent
charged on the $1,500 BXI units or an additional $150, to an average cost of
$300 for the bare bones unit, we needed to raise $450 cash using only $1,000 in
BXI units to show a profit.

My decision was to buy used cars with Credits and sell them for cash. Another
way that could be used, is to rent apartments or commercial space using barter
credits and then sub-letting the units out at a thirty percent discount. Either
way, my goal was to receive $700 cash for each unit. This would give me a
$250.00 profit per computer. This is a reasonable profit for a niche market
created with virtually no overhead. The BXI members get a real good value
and my company should have a healthy income for the year.

The only other cash costs will be the start-up fees charged by the government
and any extra telephone costs. I’ll need a re-seller’s license, a business license
and a corporation. If eventually, I’m forced to employ someone, then the
fees are astronomical. I will avoid this as long as possible. There should be
some sort of a grace period for new businesses. Once you show a profit, then
these fees are not so onerous. More people could be employed and the system
would generate more income for the State. Unfortunately, that is not the way
bureaucrats think. They would counter with the fact that some business owners
would beat the system and cheat the government. I’m sure that’s true but it’s
also very short sighted. The net result of their paranoia, is less employment
and a smaller tax base. Some day I hope to sponsor a bill or join forces with a
sponsor that would change the way California treats new business owners.


Half of the income from setting up the delivery service will be in cash. In other
words, fifty percent of the restaurants will pay cash to join the service and half
the advertisers will pay cash. Once the business is going, most of the customers
will be cash customers and there won’t be any need for cash conversions except
with excess Credits and barter income. This is a nice spot to be in.

During the start-up period, I have identified several areas that will require a
cash conversion or a cash investor. My choice is to try to make it work without
an investor. Unfortunately, of the three businesses, this one requires the most
up front cash investment.

The food containers will probably have to be all cash. I can’t seem to find a
restaurant supply company that will talk trade. They sell at wholesale and are
extremely competitive in the San Diego area. This will require approximately
$2,500. I’ll have to sell one of my cars to pay for it. I’ve accumulated six
transportation vehicles using BXI barter credits. They’ll come in handy. I’ll
use another car to pay for software and a FAX modem. It will also take at
least the sale of one other car to pay for fees, permits, and additional phone
costs. This will leave me with a personal car and two back-up vehicles for the
delivery service. I’m assuming that my drivers will have car troubles on a
regular basis. My back-up vehicles will keep us in business.


The only cash I’ll need for this book should be a portion of the cost of printing.
Most barter organizations have a rule that states that the first $1,000 to $1,500
is in trade per transaction and the balance is negotiable between the buyer
and seller. Because paper is a high percentage of the cost of printing, usually
only about fifty percent of a large printing job can be expected to be on barter.
Paper is a commodity and is only bartered in large quantities with major
companies. The average printer won’t be able to cover this cost, which will
probably run in the neighborhood of seventy percent of the total printing run.
Fair play comes into this equation. The printer will either have to be a power
user of barter or have a special use for the credits in order to break through
this 50/50 barrier.

I’ll rent an apartment and convert some Credits by sub-letting at a reduced
cash rate to pay for this printing. The number of copies printed will be
determined by the amount of Credits I manage to convert by the time I bring
this book to the printer.

Everything else to do with bringing this book to fruition, including web
publishing, should be done with Credits. That is the best cash conversion of all.
It goes straight to the bottom line.

Because you are earning and spending Credits or barter units on tax
deductible items at the same time, you don’t have any tax consequences to
speak of. Trying to do this in the cash world is a little trickier. Don’t ever
assume that you can do barter through an organization to avoid taxes. They
send a 1099-B to you and to the I.R.S. The advantage with Credits or barter, is
that if you do spend on a non-deductible item that you would have spend cash
on, you always have the cash in your pocket to pay your taxes. Just don’t spend
your Credits or barter units foolishly. Treat them with respect, not like funny
money. If you do it right, digital credits will transfer to the bottom line of your
business as pure profit. This can be the difference between success and failure
in your business venture.

1999 Update:


  It is the intention of Digital Credit Systems to plow back a minimum of
twenty percent of the profits into purchasing strategic materials used by
participating business owners in DCS .
                     Some Example Businesses are as follows:

Restaurants: Restaurant supplies and wholesale food items. Printers:
Paper and Ink Computer Makers: Parts General membership: Office
Supplies General membership: Office & Home furniture & appliances
(used) Contractors of all types: Building Supplies

   As the system gains acceptance and grows, these items will be supplied
by participating businesses as the major suppliers for DCS using Credits
and Cash melds. Several financial instruments have been developed to help
members spend down their balances by the company. These have investment
features that may require a registration process to make them available to
the general membership. There will also be a category and minimum credit
balance to qualify for the investments. In the real estate field we are developing
the following programs:

   1. Individual purchases of all types of property using Credits as a down
payment.      2. General partnerships with DCS to purchase properties using
Credits as down payments.        3. Limited partnerships with DCS as the
general partner and the participating business owners as the limited partners.
4. Convertible Trust Deed investments. This financial instrument has been
design for the specific use by Digital Credit Systems. It allows for the members,
a chance to have their money in a short term trust deed position on properties
owned by DCS and still retain the ability to convert back to Credits to spend in
the system if a good purchasing situation presents itself to the member. These
trust deeds are fully assignable to a third party to raise immediate cash by the
beneficiaries/members. (See attached example form)

   The following is the direction that the company is going into and is not
presented as an offering to purchase stocks or securities of any kind, but rather
a statement as to the present intentions of Digital Credit Systems:

   1. A special type of common stock has been designed for DCS that allows
the participating businesses a way of purchasing stock in Digital Credit
Systems with Credits instead of cash with a convertible feature that allows the
member to covert back to Credits to buy within the system if a advantageous
opportunity presents itself. (See:      2.
Digital Credit Systems is planning four other cyber corporations based on
Internet technologies. These corporations will also issue convertible common
stock that will be made available to the participating businesses using Credits
instead of cash for the shares.

                    CHAPTER SEVEN
                  OTHER CASE HISTORIES

While it’s very easy to find case histories of successful companies that
can attribute a good part of their success to the use of Credits and barter
techniques, it’s more than difficult to find someone that has used Credits or
barter to get started. Most of the reason lies in the fact that most members
in the Digital Credit Systems or a barter organization are referred into the
system. Obviously, this would be after the company has already started. It’s
unfortunate, but even in business schools, very little is known or taught about
alternate currencies or the barter economy.

I’ll start with an example that I’m aware of in the local membership. It may
take some time to ferret out enough examples of new business start-ups that
used Credits or barter techniques from the beginning of their companies
inception to make this a viable chapter in my book. Perhaps in later editions,
as business owners come forward to tell me their stories, you’ll learn of more
examples of business start-ups other than the ones documented in the front of
this book. For now, most of the examples will be of ongoing businesses where
barter techniques enhanced their productivity.

The start-up example is of a young man that wanted to start a painting
business. He was currently employed at another job. He had an experience
with a local barter group in Florida that was very positive so when he got to
the San Diego area he contacted the barter organizations in the yellow pages.
It took him a little while to come up with the start-up fee to join the local BXI
barter exchange. He could tell that it would be worth his while by just looking
at the local directory of barter members. Apparently, he had contact with a
much smaller group in Florida that was helpful and he could see the barter
power of this larger group of local business owners.

He was right. It wasn’t long before he had lined up so many painting jobs that
he no longer needed his regular employment. The painting jobs allowed him to
pay for an apartment, buy a vehicle and many other important purchases to
free him from the job market.

He then turned to advertising using his barter credits to find cash customers.
He also invented a “paint in a bucket” product that he wanted to market.
Our membership list included many marketing professionals that gave him a
plan for developing his product. He is currently implementing that plan and
hopefully he will remain an entrepreneur for the rest of his life.

1999 Update: At the present time, my company is probably the best example of
starting and running a business using Credits. To date we have spend almost
$300,000 in Credits and less than $10,000 in cash over an almost two year

The New Millennium Discount Card that we have a licensing and marketing
agreement with will use Credits to launch their business. Further writings will
give the reader more detail about their success or failure.

All requests for particular vendors from my Digital Credit Systems
membership will be found at:


BARTER SYSTEMS “A business guide for trade exchanges” by: Roger

and Jim Sullivan

BARTER AND THE FUTURE OF MONEY, by: Terry Neal and Gary Eisler

BARTER NEWS, Publisher/Editor Bob Meyer,
               ABOUT THE AUTHOR
The author has avoided all types of degrees in order to insure non conventional
thinking as a survival tool. This method is not recommended, it just has to do
with knowing oneself. He prefers to teach himself a discipline by interpreting
books and information without someone else’s opinion. This is not to say that
he hasn’t attended many schools and colleges, it’s just that he only took the
classes he wanted.

At nineteen, he started into the barter world big time. He became a California
real estate agent in Santa Barbara. As a personal favor to a mutual friend,
one of the top firms there hired him, Sunset Realty. The broker at Sunset was
very fair and objective about the situation. He told him that he couldn’t have
a desk and that he would only allow him to use the office for a ninety day
period. He wasn’t trying to be mean, as anyone that knows Silvio would tell
you, it’s just that in his heart he didn’t think someone his age could survive in
real estate. Silvio thought he would just learn a hard lesson and then move on
to something else. Or as the saying goes, fools go where angels fear to tread.
He heard this saying many times but it wasn’t until much later that he would
realize it’s full meaning.

That year he became the second highest grossing agent in the office and
obviously received a desk and full support by the broker. His method of
survival was to specialize in tax deferred real estate exchanges. This was back
in the early nineteen sixties when the government had just begun to confiscate
property and over regulate all form of investments and businesses. Real
estate was still fun. It took almost thirty years for the government to destroy
the joy of doing real estate exchanges as a broker. He recently let his license
expire permanently, just as he had his registered representative license with
the Securities Exchange Commission. Some of the other casualties where his
California insurance and annuities license and his Federal commodity options
license. He received that license in the first group ever issued a commodity
options license in this country. The only license he currently has is his drivers
license and he would like to get rid of that. Just joking!

At age twenty one he had accumulated enough passive income, without getting
into any debt that wasn’t covered by rental income, to retire. He played golf
for about six months and realized that retirement would never be a goal of
his. He did try it two more times. One time to draw hundreds of pictures and
another time to write several books. He is the author of “The Evolution of The
International Capitalist Party” which is a very serious political book and “The
Blue Guppy” which is a tongue and cheek interactive novel about the conflict
between the environmentalists and the entrepreneurs in California. Each time,
his retirement activities drove him back to doing what he really likes to do the
most, trading, exchanging, bartering or whatever else it can be called.

He is currently studying computers and brain physiology. If you get an
opportunity to read his other books, you would see how that all ties together.
Believe it or not, these studies are to help close a concept real estate exchange.
If that deal is consummated, he’s promised to write another “How To” book
about the transactions that went into the making of his concept exchange.

1999 Update: This site is the product of years of research and work. The
author has launched another web site at:
He is currently designing and planning three other sites that will evolve as time

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