Starting a Co-op
In many ways, developing a co-operative business is a lot like developing a traditional business. Where things differ is that a co-op is shaped through collective effort and group decision-making as well as a set of co-operative principles that help to guide the business. This makes the business planning more complex, but it also means the resulting corporation is stronger and more likely to succeed.
REASONS TO START A CO-OP
Historically, people have created co-ops for a variety of reasons:
- out of need to decrease the power that others hold against them in the marketplace and increase their own power, whether it is through purchasing or marketing co-operatives.
- to provide a service that other forms of enterprise are not offering.
- as a means of keeping a community or business alive. For example, many workers' co operatives are organized when a private business is no longer able to maintain the industry within that community.
- as a means of keeping profits and control of a business within the community. A co-operative is owned and controlled locally. Therefore, the earnings of the co-operative stay in the community and are directed by members of the community.
GETTING STARTED
There are number of critical steps to follow if you are interested in forming a co-operative. You may already have a core group of people with whom you are working. You may already be a business but would like to convert to a co-operative structure. Perhaps you are not sure what kind of business structure you want.
On Co-op has created Guide to Starting a Co-op, which provides a general overview of the co-op development process that can help you explore the steps required to plan, develop, incorporate and launch your co-operative. This guide can be downloaded at the top right of this page. Some of the text in this section is based on information from the Co-operatives Secretariat and the BC Co-operative Association.
NOT SURE WHAT TO DO NEXT?
Once you've read through the Starting a Co-op Guide, you can search through our co-op resources to see what other sorts of useful materials might be available to you.
If the Co-operative Corporations Act is baffling you, On Co-op has also created a plain-language guide to the Act to help you navigate the legal side of running a co-op. This document costs $40 for On Co-op members, and $50 for non-members. Contact our Co-op Development Manager using the information at the bottom of this page to order a copy.
If you still have questions, or you'd rather discuss your ideas than read about them, feel free to contact us! Promoting co-operative development and co-op sustainability is what we do! We have the resources and the referral network to help you on your way.
Co-ops under development as well as individuals who are part of the co-op movement are welcome to join On Co-op to take full advantage of our range of products, services and programs.
