Barter and trade have evolved to become an effective method of increasing sales, conserving cash, moving inventory, and making use of excess production capacity for businesses around the world. This article explains how trade or barter exchanges work, how businesses earn trade credits, and how commercial exchanges make money. It also provides statistics on the number of businesses involved in barter exchange activities and the percentage of barter business in India. Finally, it highlights the benefits of exchange systems, such as new sales, higher volumes of business, reduction of unit costs, and opening new outlets for excess inventory and unused capacity.