Todays post is about giving the local trading network a bit of a mention. Its a great concept, and if more people got involved who knows what could happen!
So what is it?
The Community Exchange System (CES) is a community-based exchange system that provides ways for its users to exchange their goods and services, both locally and further a field. A global trading network that operates without money.
Say what?… No money?… uhuh.
The CES has no physical currency. So no money changes hands at all.
Around the world these systems may be called- Community Exchange Systems, Local Exchange Trading Systems (LETS), Mutual Credit trading systems or Time Banks.
Here where I am its called LETS. Or Local Exchange Trading Systems.
Every members time is of equal worth. One hour of time is worth 20 ‘operas’ (depends on the area is what they call the currency). Every member has an account that they set up on joining. When Jackson pays Mack 20 operas for a personal training session then it goes into the account. Jackson is -20 and Mack is +20. So Mack has just ‘created’ his own money. Which he can then use for a massage with Julia.
And so on and so forth. There is no limits. Everyone has something to offer and people always want something.
Some examples of what could be on offer.
Kids face painting for parties
The possibilities are really endless….
Great idea, but I wonder how easy it is to administer? I also thought there was some GST issue here?
I have been doing it for nearly a year now and it works quite well for me. No GST issue as there is no ‘money’ changing hands. Think of it as similar to a barter system.
Glad to know it’s working well for you! 🙂
Found this via google – I think it may only apply to businesses registered for GST. But I’m not sure, so passing on the link in case it’s of use..
cool idea. So…did you join an existing program or did you set up your own?
“Contra” deals have always happened in the business sphere, so I guess this is just a smaller, local and more formal version of it. I remember a few years ago I had a whole stack of free accommodation vouchers for a luxury resort. Since there are only so many times you can go yourself, I ended up doing some contra deals with them. Think I got free curtains for my appartment – that is the only one I rememebr, but I know there were more. And then I misplaced the stack of vouchers so that was the end of it!
Bugger about losing the vouchers! That could have been a great source. I just joined the existing program- its world wide, but particularly big in Australia and I think New Zealand from memory.
I like this concept. Have you heard of people doing it in the US at all? I wonder how hard it is to get going?
Alisa- Have a look here… (sorry for some reason I had having problems linking the US site. If you go back up to my original post, click on the CES link and then just find the United States link. It will hook you up with all the exchanges.)
The biggest exchange systems are Australia, New Zealand, South Africa and the US. So hopefully there is something around where you live? Let me know if you go any further with it- I would be curious to know how it works over there, and with many people on board.
ive been meaning to do a lets post since i started my blog.. good on you for fitting it in, nicely covered.