Two entrepreneurs have launched a new company that will make it easier for locals to "buy Bermuda". A prepaid payback gift card is the first of many products Incentis Ltd. plans to unveil.

The payback gift card looks like a credit card but works like a gift certificate. Unlike other private store gift cards that may only be used in a single store, the payback card may be used at almost 50 participating retailers, service providers and restaurants on the Island. Bermudian Alvin Wilson is president of the new company.

He is also part-owner of Bermuda Financial Network, the company which represents American Express in Bermuda, EasyPay and also an electronic cheque guarantee service. Senior vice president of marketing for Incentis Ltd., Richard Simon, owns a screen-printing factory in Montreal and has been distributing promotional products and uniforms in Bermuda for the past seven years as island advertising specialties.

Mr. Simon said: "This particular programme was designed for me because when it comes to my wife I can't get it right.

"When I buy her a gift it is going to be wrong so with this card the only way I can be wrong is not putting enough money on the card.

"Otherwise she is going to do what she wants with it and she can make it last in one shop, in one place or make it last for months by making smaller purchases in many places."

Gift givers may purchase the card at more than a dozen of the merchants.

On top of the amount they wish to give, they must pay an administrative fee that starts at $7.50 and up depending on the gift value to cover the cost of the card package, a commission for the merchant selling the card, debit and credit card fees and card processing costs.

Each time the card is used a receipt will offer an updated balance.

The cards also offer other options such as the ability to track usage online.

Mr. Simon got the idea to create the gift card because he wanted to be able to offer incentive programmes to his local corporate clientele so they could reward their employees for doing things such as selling more or helping to reduce costs.

"Typically those are done with merchandise based programmes where you can earn points for doing things and you can cash in your points for merchandise.

"That wasn't' going to be very practical for Bermuda with the cost of getting things here, duty and warehousing," he said.

"I started working from there on the concept of using plastic to create an incentive programme for my corporate clientele and that grew to a loyalty card, a gift card as well as the incentive card for the corporate clientele so we have a bunch of card products all on the same platform." Any money loaded on to the cards must be spent back with the local group of participating merchants. These range from retailers such as English Sports Shop to restaurants such as Robin Hood Pub and even Shell Service Stations.

"That is why the chamber of commerce allows us to use the buy Bermuda logo because everything is local," Mr. Simon said.The next card that the company will launch publicly will be The Payback Loyalty Card.

The men hope to distribute up to 30,000 of these reward cards which will allow participating merchants to reward customers with cash back deposited to their loyalty card each time they make a purchase. Customers will then be able to use the cash back they collect on their card at any of the participating merchants.

Mr. Wilson said: "This is Buy Bermuda on steroids because you are able to get cash back on every sale using the loyalty programme. Some Bermudians have said you would have to pay me to shop in Bermuda and our programme does just that.

"It pays them to shop Bermuda and what we pay is over and above whatever rewards they are getting on easylink or anyone of the credit card products that gives miles.

"Ours is an additional incentive to buy locally." In the future, Incentis will also offer a private loyalty programme where cardholders must spend their reward dollars with a designated merchant. The corporate cards they plan to launch will allow employers to reward employees with payback cash.

They are also designing a Teen card to allow parents to give their children cash while at the same time blocking the child from spending their allowance at unsuitable establishments.

Other plans include a tourist card that would replace room access cards and may be loaded with value, thus eliminating the need for visitors to carry cash or credit cards.