In our 2016 resolution to help SME’s work more effectively, we time and time again find ourselves coming across innovative ways of collaborating, that sometimes start out in the charity sector.
This week, we focused our attention on the idea of ‘time banking’ or ‘time trading’.
The What and How?
If you’re not familiar with the term, time banking is a co-production technique allowing companies, charities and not-for-profit organisations to contribute an hour of their time to a cause or another company in return for an hour of their compatriots. It has existed in the charity sector for some years and is now starting to make its way into the ever expanding SME market as a way for SME’s to obtain expertise or products they don’t have, especially if they do not have the necessary money to pay for it. It works something like this:
- Someone needs your services, say web design.
- You notice you need services they offer, like marketing
- Instead of paying cash, you ask them if they would be interested in a time trade.
- If they say yes, you deliver the services they need and at the same time, they market your business through their channels.
Hence, if you print business cards but would ordinarily spend £60 on some marketing with any provider; and some marketing service would spend £60 with on business cards, then you would spend the equivalent of £60 producing cards for their equivalent of £60 of marketing.
In addition you get all the other benefits and more.
- You would ordinarily have to pay for that service on either side of the trade anyway, even if not with them.
- You get a true feel for their worth and capability — Perhaps even working with them again in the future.
- You get and receive a professional testimonial — Normally, only the seller receives one.
- You build portfolio material and client books.
Time Trading is payment in kind revamped for the 21st century.
In the Trenches
We spoke with the founder of one such project kicking off in the North West of England, Nik Lakhani of Aims Time Traders about how and why he founded it.
Nik Lakhani,
@Aims_Mangement
w: http://www.aims-time-traders.com
Specialising in I.T., Business Planning and Sales Growth through a mix of Mentoring, Coaching and Consulting. AIMS Management guarantees to increase turnover and reduces costs, for SMEs with up to £10m turnover.
Time Traders came out of the constant circle of under-performance in small businesses (particularly Micros) that I saw in the North West.
Many businesses were not able to leverage success or growth in direct correlation to their skills. They were hampered in their venture due to lack of marketing, often leading to lack of sales leads and prospects. It is like they’re circling Manchester on the M60 motorway, financially unable to make the turn towards their ultimate goal.
These business people have skills knowledge and experience that could be put to good use. So, I thought it would be a good idea to see if businesses talked to each other about how they can help one another to move on.
For example, I helped someone with online & email marketing and in return they advised me on how to market my services for the banking sector and even made an introduction! Their years of skill, knowledge, contacts and experience helped my own market entry.
Rather than trade services, the idea is trade time.. You build trust and get to know someone really well! You find out what they are looking for and what they can reciprocate.
It leads to more businesses being able to move towards success and creating relationships, testimonials, reinforcement of expert status and the feeling of being valued.
Social Proof
The reality is you never know what people are like until you work with them. Recommendations are all well and good, but the risk is the person was compatible with the other person, not necessarily compatible with you. This gives you a mechanism of working collaboratively for the greater good of clients. Indeed, it may open up markets and collaborations you otherwise would never have thought of.
The truth is that many SME’s struggle for funds and have to be selective in how they spend their money. They also find it hard to get their first clients and a recommendation to springboard into other business. Time Trading or Time Banking gives them an opportunity to gain expertise they otherwise wouldn’t get. Why not give it a try?
Have you been part of a Time Trading event or group? If so, we’d love to hear about your experience. Contact us at hello@axelisys.co.uk or simply comment below.
Special thanks goes to Nik at Aims Management for his contribution to this article. Contact Nik at info@aims.management or call 0333 358 3855 for a free consultation.
Axelisys are strategic IT, lean enterprise & agile specialist advisors to blue-chips and SMEs. Formed in 2011, Axelisys helps some of the biggest household names in the UK and across the world become leaner and more agile. Contact them at hello@axelisys.co.uk or follow @axelisys on twitter.
