LETSystems – User Quick Start Guide
LETSystems – Software Quick Start Guide
LETSystems – Current Online Software – a “mono-LETSystem”

See Links and References for more information; applications for Individuals; Households; Neighbourhoods and Communities; Profit making and Not-for-Profit Organisations; as well as Geometric and Algebraic Analysis of Companies, Systems and Economies; and Cultural, Spiritual and Religious references to “Good Social and Business Practice”.

For Trading Laws and Trading Standards, in most normal cases, the normal laws of your country that relate to contracts, health codes, etc will still apply even when paid for using LETSystems money, in whole or part.

Similarly, most Tax Authorities count LETSystems money exactly the same as conventional money, and as usual, a wiser individual or organisation can work with this.

Social Benefits that depend on income calculations vary in their attitude to the income and the benefits of LETSystems.

Contact Nigel Stewart if you have specific questions relating to any of the above.

Trading and Hiring Goods and Services using LETSystems

Most new users of LETSystems want to buy and to sell things, goods and services, or perhaps to hire them. I apply the term “user-ship” to when “ownership” is not with the user, who has ONLY specific rights in that usage; such as when hiring something, or taking up the time of a service provider, such as an accountant or a masseur.

This is written as a quick practical guide for that.

As a new user of any LETSystem, your account will open with a Zero Balance, and a Zero Turnover.

HOWEVER, “units of account”, “LETSystem money”, can be transferred from one user to another, in recognition of transfer of rights of ownership or “user-ship” in the opposite direction. Just as with normal “Conventional Money”.

The balance of the supplier of the benefit increases by the mutually agreed number of units, “LETSystem Money”; while the balance of the receiver of these benefits decreases by the same, mutually agreed number of units.

The supplier has thus been paid by the receiver for their benefits.

AND SO, the accounting within a LETSystem supports the acquisition of real goods and services for its users.

As “LETSystem money” transfers, it increases the “Turnover” of BOTH supplier and receiver. Similarly, the “Turnover” of the LETSystem as a whole increases by two times the value of each trade, since all transactions increase turnover for the LETSystem as a whole.

For each LETSystem as a whole, the positive and negative balances of all users ALWAYS adds up to Zero. In that sense, there is “never any money in existence”. The term “money supply” does not “make sense” when applied to LETSystems.

So, as with “conventional money” you agree a price for something of benefit, and pay the “LETSystems money”; as well as any conventional money that you have mutually agreed is part of the “contract”. A full “Legal Contract” might be needed for some LETSystems deals, just as with conventional money deals.

Information Feedback in LETSystems

EACH and EVERY USER of any specific LETSystem, has the RIGHT, by agreement to use that LETSystem, to KNOW the “CURRENT BALANCE and TURNOVER” of ANY OTHER USER of THAT specific LETSystem, on REQUEST.

AND, to maintain equilibrium of information, the user so enquired of, will be informed of the user making the enquiry, and be provided with their current balance and turnover figures within that specific LETSystem.

Pricing of Goods and Services when using LETSystems

The total price will normally be the same as when only conventional money is available to facilitate daily living, business activity, or social and economic developments.

However, that total price may be accepted in anything from 100% LETSystems money, to 0% LETSystems money; from 0% conventional money to 100% conventional money.

Sometimes it is more convenient, especially for businesses to work in terms of an appropriate proportion of LETSystems money. The “appropriate proportion” depends on the specific intentions of that business, within its specific market.

For individuals and small businesses, often it is easier to work out the total necessary costs in conventional money, then to allocate an appropriate proportion of the remaining part of the price in LETSystems money.

So, a painter might calculate for a specific job, that the total cost of materials, all paid as 1000 conventional money units, US$, GB£, Eu€, or whatever conventional, often national, currency is used.

The painter estimates that 1000 units should be added, as the price for the labour associated with this job.

The painter needs to pay for housing, food, and other resources and pleasures, just as normal.

HOWEVER, a proportion of these can be paid for using LETSystems money. For convenience, say 50% can be paid for using LETSystems money.

SO, the painter agrees a price of:-

Materials: 1000 conventional money units

Labour: 500 conventional money units

500 LETSystem money units; using a mutually agreed LETSystem, as they both need to use the same LETSystem for the transfer to be accounted.

Total Price = 2000 money units, of which 1500 is payable in conventional money, and 500 is payable in LETSystems money.

So, in this case the Price turns out to be 75% conventional money, 25% LETSystems money.

However you look at it, as a total or as a percentage, YOU HAVE TO PAY LESS CONVENTIONAL MONEY, when you can also use LETSystems money.

And conventional money is normally hard to find; whereas LETSystems money is created as it is needed, by each and every user of a LETSystem, whenever their trading partner agrees to recongise and accept their money in exchange for some real benefits.

Value of the “Unit of Exchange” in LETSystems

For PRACTICAL reasons, the value of the unit of exchange within any specific LETSystem is “considered, by mutual agreement, to be equivalent in value to the “normal” conventional currency used”. This way, everyone understands and can work with the value of a unit, as equivalent to ONE DOLLAR US, or ONE EURO, or ONE GB POUND STERLING, or ONE YEN, or whatever you like.

How many LETSystems?

It is also possible, and especially effective when using “multi-LETSystems”, or “multi-LETS”; where any “REGISTERED USER of LETSystems” can CHOOSE TO INITIATE a NEW LETSystem at any time; then invite whoever they choose to join them as users of this new LETSystem. This facilitates the flexible use of LETSystems to suit a very wide variety of circumstances and intentions.

Business only; FTSE 100 Companies only; boy scouts and girl guides only; people in this economic region, city, town, village, apartment block, family; of a shared conviction, religious or otherwise, etc, etc, etc. Whatever “groupings” and “communities” choose to actively express themselves by trading together, when they can and it suits them.

And sometimes a LETSystem will “die”, if no user makes any use of it; it is effectively dead and useless now. THAT DOES NOT STOP ALL OTHER LETSystems from CONTINUING TO ACTIVELY TRADE, if they are useful for the users.

And that’s just the beginning…..

Contact Nigel Stewart if you have specific questions relating to any of the above.