
BARTER - AN AGENT FOR CHANGE IN
A RISKY BUSINESS
CHICAGO, IL - - The complex game of corporate
real estate can be tricky. The stakes are high, and value tends to fluctuate.
Some companies find themselves stuck with burdensome property that ties up assets and
increases in liability when current book value conflicts with market value ratios.
In order to maintain book value, most companies accept losses or hold onto worthless
properties to avoid penalties, unless they've discovered the newest secret in real estate
transaction--barter.
Through barter, a whole new world of options
becomes available. According to Craig Kaufman of Kaufman & Associates, a
business consulting firm based in Chicago that specializes in creative financing solutions
using barter techniques and strategies, a company can increase its asset base while
unloading unwanted property. A number of criteria can lead an owner toward the
option of barter. "For example," states Kaufman, "property may be
listed at a higher book value than what the holding is actually worth in cash. Many
public companies find themselves left with empty warehouses or factories once plant
facilities have closed; retail and office space may sit vacant due to consolidation and
downsizing. Other times, environmentally distressed property can remain unwanted
when owners do not have the resources or do not want the hassles of restoring the
land. Distressed holdings remain useless while tying up company assets and producing
legal hassles.
ADD ONE--REAL ESTATE BARTER
So, where does barter come into play?
Barter can bridge the gaps created by these situations and lead companies to greener
pastures by retaining investment dollars.
"This is where I step in," says Kaufman. "Real-estate barter
is a way of finding creative financing solutions to meet owner needs and retain investment
dollars," says Kaufman. "Getting the most from the investment is
crucial." Most barter brokers offer owners from full book value to two times
the actual cash value in barter cash-equivalent credits. The credit memos can be
used toward the purchase of items owners actually need such as computer and capital
equipment, travel vouchers or commercial goods. "The barter buying consortium
is immense," says Kaufman. "Very few businesses don't find exactly what
they need. Just about any item, any price or any brand is available."
Once property is removed from owners' hands,
owners are relieved of all liability under the "hold harmless" clause covered by
real estate insurance. "The barter broker takes over responsibility from that
point on," says Kaufman. "Brokers can barter out service for land
restoration or barter excess space to clients at top price."
For more information on real-estate barter,
contact Craig Kaufman at 773/334-1631.
Kaufman & Associates, an international
corporate barter company based in Chicago, specializes in consulting and deal
facilitation. Through his guidance and innovative financing solutions, large-scale
corporations save millions of hard dollars each year. He demonstrates how to save
cash, acquire goods and services for company financing needs, and utilize excess capacity
or overstocked goods. Kaufman & Associates Inc., started in 1989, deals with a
variety of clients worldwide, including both private and public companies in many
industries including hospitality, computer, medical, media, telecommunications industries
and consumer manufacturing.
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