Bartercard, owned by BPS Technology (ASX: BPS), has abolished joining fees for the first time in its 23-year history after strong growth on its home turf in the past 18 months.
Bartercard’s CEO Brian Hall (pictured) says the campaign is aimed at bolstering start-ups and making more affordable.
“We’ve been working with businesses for a long time and we’ve been listening to the marketplace,” Hall says.
“We see it across many industries, membership fees cause friction, so in order to encourage more businesses to join Bartercard we’ve removed this road block.
“We recognise that business owners are treading with caution these days, so we’re making it even easier to give Bartercard a go with no lock-in contract and month-to-month payments.”
Bartercard has more than 20,000 members in Australia, and almost 1400 of those are located in the Gold Coast region.
The company processes about $1 billion in transactions a year through 24,000 merchants and has 54,000 cardholders globally.
When BPS Technology issued its prospectus, it announced plans to increase cardholder numbers to 100,000 by 2016. The latest initiative is seen as part of that drive.
Despite what it describes as a dour consumer environment, Bartercard says it has grown its Gold Coast base from two to three business centers in the last 18 months.
Hall says the latest expansion push is being spearheaded by a 100 per cent guarantee of improved revenue for members.
“It’s not often businesses are guaranteed more sales, promised alongside improved cash flow and increased profits,” he says.
“Bartercard works with its members to remedy the setbacks faced by smaller business owners including larger competition, prudent spending and tighter budgets.”
Shares in BPS Technology continue to trade at a significant discount to their $1 issue price.
The last traded at 81c on very light volume.
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