Retail Council of Canada (RCC) and BarterPay Canada Inc. are bringing the RetailBarterPay trading platform to retailers across Canada.
Through the platform, retailers will be able to trade excess or slower-moving inventory at no discount. This can be in the form of hard goods or services that are monetized into BarterPay Barter Credits. One BarterPay Barter Credit equals one Canadian dollar for valuation, accounting and tax purposes.
The credits are recognized as a cash equivalent by the Canada Revenue Agency (CRA).
“Retailers across Canada are entering the most challenging retail environment ever experienced. Many are showing incredible creativity in how they are rethinking their businesses,” said Diane Brisebois, president and CEO Retail Council of Canada.
“RetailBarterPay is an excellent complement to retailers’ efforts as it allows them to tap into their existing idle inventory at full margins to re-invest into other areas of their business where they need products and services right now.”
Retail Council of Canada members will receive a $175 credit, special promotions, and access to interest-free BarterPay Small Business Barter Loans.
“This partnership brings a unique opportunity for RCC members to conduct smart business using barter,” said John Porter, BarterPay founder and CEO. “During a time when cash is scarce, it’s imperative that retailers adopt new ways to do business that improve their cash flow.”
Credits can be donated
RCC’s RetailBarterPay members may also donate credits in exchange for a charitable receipt administered by The BarterPay It Forward Foundation, the company’s charitable wing.
BarterPay is a social profit enterprise and Canada’s only national business-to-business barter system. It is based in Hamilton, Ontario.
In 2019, BarterPay completed almost $40 million in barter transactions. The network currently represents close to 4,000 businesses and over 100 charities in 18 Canadian cities. The company plans to scale to 50,000-plus business members and more than 5,000 charities by 2025. It estimates this will generate over $500 million in business transaction volume and more than $100 million per year in charitable giving.