I regularly come in contact with business owners, marketers and other non-technologists who are right at the beginning of a new venture. Money is tight, and in an effort to get the ball rolling they suggest bartering services. While some of these projects sound exciting, things I’d really like to be able to contribute to, a straight service barter arrangement is a recipe for disaster. Here’s why.

Leverage is a key ingredient to making projects work. When it comes down to it, we each have needs, and the whole point of working together is that we can more effectively meet those needs as partners than we can as individuals. Leverage is the catalyst that makes partnership work.

In every project there will come a time when you need to be able to steer a deliverable or a design in one direction or another. This is one of many examples of why leverage is so important. Sometimes you’ll need to enforce a deadline. Whatever the case may be, being able to get what you need comes down to having leverage over your partners, vendors and yes, even your customers.

The idea of receiving service without letting go of cash is appealing to many. But cash is the fulcrum that gives each party the leverage they need to keep a project on course. Without this leverage projects will invariably lose momentum, stray off track, and fail to meet expectations. It’s a straight-up recipe for disaster.

I’ll continue to be wary of service bartering arrangements. I just don’t see any way for them to work to everyone’s advantage. One side or the other will always feel that they’re getting the short end of the stick.