What is a Co-op?
A Co-op is a business - with a difference! The difference is that the Co-op
is locally owned and controlled by its members and is characterized by various
membership benefits.
How Does the Co-op Work?
Co-operatives are guided by seven internationally recognized principles, very
similar to those adopted by a small group of progressive thinkers who formed one
of the world's first co-operatives in Rochdale England in 1844:
- Voluntary and Open Membership
Co-operatives are voluntary organizations, open to all persons able to use
their services and willing to accept the responsibilities of membership,
without gender, social, racist, political, or religious discrimination.
- Democratic Member Control
Co-operatives are democratic organizations controlled by their members, who
actively participate in setting their policies and making decisions. Men and
women serving as elected representatives are accountable to the membership. In
primary co-operatives members have equal voting rights (one member, one vote),
and co-operatives at other levels are also organized in a democratic manner.
- Member Economic Participation
Members contribute equitably to, and democratically control, the capital of
their co-operative. At least part of that capital is usually the common
property of the co-operative. Members usually receive limited compensation, if
any, on capital subscribed as a condition membership. Members allocate
surpluses for any of the following purposes: developing the co-operative,
possibly by setting up reserves, part of which at least would be indivisible;
benefiting members in proportion to the transactions with the co-operative; an
supporting other activities approved by the membership.
- Autonomy and Independence
Co-operatives are autonomous, self-help organizations controlled by
their members. If they enter into agreements with other organizations,
including governments, or raise capital from external sources, they do so on
terms that ensure democratic control by their members and maintain their
co-operative autonomy.
- Education, Training and Information
Co-operatives provide education and training for their members, elected
representatives, managers, and employees so they can contribute effectively to
the development of their co-operatives. They inform the general public
-particularly young people and opinion leaders - about the nature and benefits
of co-operation.
- Co-operation Among Co-operatives
Co-operatives serve their members most effectively and strengthen the
co-operative movement by working together through local, national, regional,
and international structures.
- Concerns for Community
Co-operatives work for the sustainable development of their communities,
through policies approved by their members
Co-op Structure
The ownership and organization of the Co-op is illustrated as follows:
For more information contact the
General Manager.
