Home Co-op/Governance What is a Co-op?

What is a Co-op?

So... what is a cooperative?

Technically speaking, a cooperative is any business organization which is owned and controlled through it's members.  The members are those who participate in the business as consumers, workers or producers.  Membership usually requires the payment of a membership fee.  The profits are distributed to the members on the basis of patronage (buying at, working at or selling through the business).  Control of the business is excercised by the members through democratic election of the Board of Directors on a one-person/one vote basis.

A co-op is a nice alternative to a conventional business.  A conventional business is owned by outside shareholders.  The shareholders may have more control over the business based on the amount of money they've invested and they may not have anything to do with using the goods and services of the business.

Casa Nueva is a certain kind of co-op, called a "Worker Cooperative."  This means the workers of the cooperative have joined together to produce good and/or services for sale.  The workers being the only members of the cooperative, elect the Board of Directors and share whatever profits are earned by the business.

 
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