Los Angeles magazine is feeling entrepreneurial. And it’s harnessing that entrepreneurial spirit by hosting an auction, but not your typical auction.

Companies that offer items up for bid will never see the cash from any sales, but instead will trade the value of the bids for advertising space in the magazine.

Sound confusing? Here’s an example of how it works.

Sprinkles Cupcakes of Beverly Hills is auctioning the rental of its cupcake truck for two hours. The item is valued at $1,250. Say the winning bid is $1,000, the buyer will pay the $1,000 to the magazine, with a portion of that going to the website operator who is managing the auction. Sprinkles will receive $1,250 worth of “media credits” to purchase ad space in the magazine or on its website.

If the winning bid goes above the item’s value, say in this case to $1,500, the magazine will get the extra cash and Sprinkles would only receive $1,250 worth of ad space.

The auction began Sept. 12 and will run through Sept. 24 on a website called BestofLAMarketplace.com. This fits with the magazine’s Best of L.A. branding, which highlights area restaurants and retail outlets for its readers.

So why an auction?

Publisher Erika Anderson hopes that companies auctioning their products will become new ad clients for the magazine. “We see it as a benefit both on a business side as well as an editorial content side,” she said.

Other auction items include Geffen Playhouse theater tickets and trips to Mexico and Fiji. Items are valued from $100 to $21,500.

– Bailey Brewer