It’s time to #RethinkRent
Across the country, the writing is on the wall. Sometimes, literally. “Cancel Rent” is the latest battle-cry in the escalation of a nation at war. It’s a war on a virus, a war on fear, and a war on powerlessness.
To many, the concept seems outlandish; to landlords, untenable. But to some vocal tenants, the deliberate lapse seems like their only option – or so they think.
As cash runs dry, another resource is unusually abundant: capacity. Critically acclaimed chefs are scrambling to find a new market for their culinary skills. Sought-after builders are suddenly accessible. And skillful consultants are brimming with untapped expertise. If only the scarcity in one category could be remedied by the excess in the other.
It can, and we’ve proved it.
At BizX, we’ve been turning businesses’ excess capacity into spendable currency for nearly two decades.
Here’s how our model works: a company offers their goods or services on our marketplace at full market value in exchange for a currency we call “BizX Dollars.” They then redeem their BizX dollars for the goods or services of any other member in the network (currently 7,000-strong.) We retain a small transaction fee and provide simple records for bookkeeping while helping members find new customers and offset current expenses.
Among our thousands of members are some big names in real estate – landlords who’ve conducted tens of millions of dollars in BizX transactions, harnessing their empty space to cover property improvement, janitorial services, HVAC, plumbing, electrical, landscaping, signage, and painting expenses.
The model’s sudden relevance is no accident. It was actually invented for precisely this type of economic climate. I launched BizX in the wake of 9/11 to help business owners cover their expenses and fill their excess capacity. Nineteen years later, a different kind of tragedy has business owners navigating a similar predicament.
So how can you employ the BizX model in the era of #CancelRent? It’s time to #RethinkRent instead. The idea is simple: grant your renter a way out of rent without missing out on it yourself.
If you’re a landlord whose tenant is unable to pay their rent, learn more about what they do. Ask about their excess capacity, and their ability to ramp up production or service if demand were to increase. If they can, we’ll get involved and help you convert that capacity into currency. No, you won’t need to accept two thousand cupcakes as payment. Instead, our B2B marketplace will on your behalf. You’ll get a currency to use for cleaning services, maintenance, or dozens of other categories of routine expenses.
The remedy is already working. One Seattle-area landlord facing mounting tenant debts turned to BizX for a creative solution. We purchased more than $40,000 in gift cards from his four restaurant and retail tenants in exchange for 40,000 BizX dollars. The landlord will use the currency to pay for routine expenses, while his tenants will erase their debts without spending cash. When the tenants reopen, new customers will redeem the certificates, and the tenants’ only expense will be their COGS.
To some, the solution may seem circuitous. But to those who’ve benefited from it, it’s a lifeline.
As life feels more uncertain than ever before, our view is clear: making rent could be as simple as making cupcakes.
Interested in learning more? Check out our Landlord | Tenant Resource Page and...