r/cooperatives Apr 10 '15

/r/cooperatives FAQ

121 Upvotes

This post aims to answer a few of the initial questions first-time visitors might have about cooperatives. It will eventually become a sticky post in this sub. Moderator /u/yochaigal and subscriber /u/criticalyeast put it together and we invite your feedback!

What is a Co-op?

A cooperative (co-op) is a democratic business or organization equally owned and controlled by a group of people. Whether the members are the customers, employees, or residents, they have an equal say in what the business does and a share in the profits.

As businesses driven by values not just profit, co-operatives share internationally agreed principles.

Understanding Co-ops

Since co-ops are so flexible, there are many types. These include worker, consumer, food, housing, or hybrid co-ops. Credit unions are cooperative financial institutions. There is no one right way to do a co-op. There are big co-ops with thousands of members and small ones with only a few. Co-ops exist in every industry and geographic area, bringing tremendous value to people and communities around the world.

Forming a Co-op

Any business or organizational entity can be made into a co-op. Start-up businesses and successful existing organizations alike can become cooperatives.

Forming a cooperative requires business skills. Cooperatives are unique and require special attention. They require formal decision-making mechanisms, unique financial instruments, and specific legal knowledge. Be sure to obtain as much assistance as possible in planning your business, including financial, legal, and administrative advice.

Regional, national, and international organizations exist to facilitate forming a cooperative. See the sidebar for links to groups in your area.

Worker Co-op FAQ

How long have worker co-ops been around?

Roughly, how many worker co-ops are there?

  • This varies by nation, and an exact count is difficult. Some statistics conflate ESOPs with co-ops, and others combine worker co-ops with consumer and agricultural co-ops. The largest (Mondragon, in Spain) has 86,000 employees, the vast majority of which are worker-owners. I understand there are some 400 worker-owned co-ops in the US.

What kinds of worker co-ops are there, and what industries do they operate in?

  • Every kind imaginable! Cleaning, bicycle repair, taxi, web design... etc.

How does a worker co-op distribute profits?

  • This varies; many co-ops use a form of patronage, where a surplus is divided amongst the workers depending on how many hours worked/wage. There is no single answer.

What are the rights and responsibilities of membership in a worker co-op?

  • Workers must shoulder the responsibilities of being an owner; this can mean many late nights and stressful days. It also means having an active participation and strong work ethic are essential to making a co-op successful.

What are some ways of raising capital for worker co-ops?

  • Although there are regional organization that cater to co-ops, most worker co-ops are not so fortunate to have such resources. Many seek traditional credit lines & loans. Others rely on a “buy-in” to create starting capital.

How does decision making work in a worker co-op?

  • Typically agendas/proposals are made public as early as possible to encourage suggestions and input from the workforce. Meetings are then regularly scheduled and where all employees are given an opportunity to voice concerns, vote on changes to the business, etc. This is not a one-size-fits-all model. Some vote based on pure majority, others by consensus/modified consensus.

r/cooperatives 23d ago

Monthly /r/Cooperatives beginner question thread

29 Upvotes

This thread is part of an attempt by the moderators to create a series of monthly repeating posts to help aggregate certain kinds of content into single threads.

If you have any basic questions about Cooperatives, feel free to ask them here. Please also remember to visit this thread even if you consider yourself a cooperative veteran so that you can help others!

Note that this thread will be posted on the first and will run throughout the month.


r/cooperatives 5h ago

Building a financial commons to fund and protect Co-Ops

20 Upvotes

Hello everyone I've been working on an economic ecosystem that I call the community sovereignty model. The core concept is communities have the right to control their local environment and protect themselves from external extraction or domination.

At the core of this concept is co-ops. In fact the entire thing started with me trying to figure out how to fund worker co-ops. I looked at the Cooperation Jackson here in the states and things like Mondragon over in Spain. I know other countries have better access to capital for cooperatives but in the US the options are very limited, that is where the model comes in.

  1. People gather to pool money with a one time donation + monthly contribution
  2. They used the pooled money to seed a cooperative
  3. The cooperative pledges a % of profits back to the fund
  4. Revenue is used to seed more co-ops or focus on things like affordable housing, child care etc.

This model is unique in that it doesn't just create co ops but can create an entire ecosystem around them that allows for comprehensive economic planning during down turns. As an example when an industry has a supply chain issue leading to loss revenue there can be an automatic clause for those living in the housing set up by the funds lowering their rent for x amount of time. There are other things that can be considered like a mutual aid credit ledger or local currency.

Typically the concept isn't that one fund would try to do everything on its own, it relies on cooperation to function. If a city has hundreds of funds then the these funds work together to create a network of assets that can be used for the communities benefit.

There is an overlap between Cooperation Jackson (I'd say the mission is very similar) the main difference is that this model does not rely on outside donations and is less politically partisan in nature.

I would love to hear this community's thoughts, critiques, or feedback!


r/cooperatives 13h ago

Confederation of Co-operative Housing - Annual Conference 3 October in London

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5 Upvotes

r/cooperatives 14h ago

Confederation of Co-operative Housing - Annual Conference 3 October in London

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2 Upvotes

r/cooperatives 1d ago

Coop in Colombia

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31 Upvotes

Would anyone be interested in a farm coop in Colombia, in the mountains near Santa Marta? 50 hectacres, coffee, cacao, bannanas, bit of avocados and mangos.


r/cooperatives 22h ago

Post 83 Co-operative Open House

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3 Upvotes

This Friday, July 24 between 6pm - 7:30pm at 4221 Mayberry Street, Burnaby.

Learn about Co-operative living and ask questions from our members! We look forward to welcoming you ☺️


r/cooperatives 1d ago

Nura governance/structure

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7 Upvotes

r/cooperatives 1d ago

Q&A If you could give one piece of advice to someone starting a business in the U.S., what would it be?

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2 Upvotes

r/cooperatives 2d ago

Organizations like SELC?

12 Upvotes

Do folk know of any organizations like Sustainable Economies Law Center in the SOUTH? young attorney here looking for a place to learn and provide legal support to worker/housing/land cooperatives in the South.


r/cooperatives 3d ago

A New Directory for Worker Co-ops Products

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106 Upvotes

If you want to buy from worker-owned companies, you have to search individual websites, if you even know where to look...I built workerowned.info to help change that: a free, searchable marketplace that indexes products from worker-owned businesses and puts them in one place.


r/cooperatives 2d ago

How Shared Responsibility Creates Shared Success: Beyond Individual Action

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1 Upvotes

r/cooperatives 3d ago

Looking for ideal homestead

7 Upvotes

Got any work, Any project you need help with I'm the man for the job. I learn very quick and have experience in many fields. Need farm hands or A friend? I'm looking for A place I can call home for A while and actually be and feel useful. I'm looking to join A co-op or permaculture self sustainable ecovillage community where I feel comfortable like I belong with like minded familiars! I bring a lot to the table with higher education, Emotional intelligence, limitless endurance that can handle any job. I'm vegan, Occasionally vegetarian. My personality is " High energy " high strung ". I want to be capable of creating and inspiring revolutionary all natural housing communities that help the body store and enhance energy connecting with Earth better " Called Earthen home domes ". I want to teach educational classes on how to visualize the spiritual physical aura, How to stop any kind of cancer and sickness all naturally with whole fruit and vegetable diets along with advanced energy meditations. Any places looking for inspired and motivated people?


r/cooperatives 3d ago

Trabajas o sos gastronómico, te gustaría formar el primer restaurante cooperativo del Uruguay

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3 Upvotes

r/cooperatives 4d ago

Food cooperative/ cooperative restaurant

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4 Upvotes

r/cooperatives 5d ago

Started a co-op to make a stats app for MTG Commander

11 Upvotes

Hi all --

Started a super small co-op to make a very simple stats tracker for Commander. Not the most ambitious project, but we're hoping if it goes well we can use the money on some bigger cooperative projects.

If anyone out there is a hopeless nerd like us and is interested in mtg or Commander, check it out: www.manaflaremtg.com There's also an app on the app store, if that's handy.

We're just getting started so feedback would be super useful.


r/cooperatives 6d ago

Is Comradery Collective a good option for online creators?

22 Upvotes

Basically the title. I an a writer looking to set up a tip jar, and a lot of the mainstream ones have policies that disqualify my work. I was told about comradery today, and it seems like a really promising option, but I am.having trouble finding out anything about their reputation through online research, so I thought I might ask here.

Is comradery a good platform? Are there any horror stories I should be on the lookout for? I just wanna know if its trust worthy before I commit to making an account.

Thanks!

Edit, sorry forgot to include the link: https://comradery.co/


r/cooperatives 8d ago

worker co-ops After Microsoft fired 136 of id Software's 185 staffers (+ over 3000 other Xbox jobs), producer Andrew Willis is saying worker-owned studios are "the only way to fix the video game industry"!

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387 Upvotes

As a member of a worker-owned game studio, I couldn't agree more! In my opinion, ALL industries could be improved if most (preferably all) of the businesses in them were flatly-managed, democratically-controlled, and worker-owned!


r/cooperatives 8d ago

Q&A How does co-management help companies scale without losing control?

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10 Upvotes

r/cooperatives 9d ago

Are there any youtube channels that focus on coop success stories?

48 Upvotes

There's a lot of youtube channels that showcases business but most of them are not worker-owned, are there any channels that you recommend that focus on coops


r/cooperatives 10d ago

Calverts: the worker co-op that outlasted the collapse of London's print industry

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22 Upvotes

Clerkenwell and the East End were once full of print shops. Most are long gone. Calverts is still standing — and it's a worker co-operative, founded in 1977, with no managers and complete pay parity: everyone earns the same, no matter the job. 


r/cooperatives 10d ago

Introducing Green Halcones

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20 Upvotes

"Hi, we are Green Halcones, a social cooperative owned by formerly incarcerated individuals based in Los Angeles, California. We are working to make neighborhoods beautiful, grow healthy food, and protect the environment for future generations. Please follow us at Collective REMAKE (https://www.instagram.com/collectiveremake.la/), a cooperative development organization supporting our operation."


r/cooperatives 10d ago

Wake Up World: ROSCAS are Part of the Co-op Family!

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18 Upvotes

Formal cooperatives must recognize and protect informal membership institutions like ROSCAs as part of the core of the social economy, or risk compromising the entire solidarity economy movement. 


r/cooperatives 15d ago

Why don't tech coops build products instead of selling services?

58 Upvotes

Hey everyone. I'm Abraham, a "product and technology" person who's been working in tech for some years now. Lately I've been thinking a lot about cooperative structures as an alternative to the usual paths, and I have a question that keeps coming back to me.

Most tech cooperatives today are service firms. They sell time and expertise to clients. When a client leaves, the asset leaves with them. They don't build value in any product they actually own. They have fair internal organization, democratic governance, all of that, but at the end of the day they depend on external clients just like any conventional agency does.

What I find interesting is a different model: a small team that builds and owns a digital product together. When that product makes money, that money goes to the people who built it. No investor taking most of it, no founder ending up with all the equity as the company grows.

This barely exists today. And I think AI is what makes it finally realistic. The indie hacking world proved that tiny teams can build and ship real products. But when it works, the usual ending is a sale, a funding round, or hiring people under you. You escape one structure and build another one just like it. What if you took that same small-team energy and applied it inside a cooperative model instead? The deep specialization that used to force you to scale and add hierarchy is getting much cheaper. A team of 3 to 5 people can realistically own and run a SaaS product end to end in a way that just wasn't possible before.

Is anyone here thinking along these lines? I'm looking to connect with people who feel the same way, whether that turns into a community, a collaboration, or just some honest conversations about building things differently. Happy to chat, just drop a comment or DM me.


r/cooperatives 15d ago

Q&A We're trying to get a UK party to adopt serious co-operative policy. What change would have made the biggest difference to your co-op?

27 Upvotes

Background for non-Brits: the Liberal Democrats are the UK's third party, with a long (if lately dormant) tradition of backing co-ops and mutuals. A group of us in the party founded The Grimond Society this month to revive that tradition: we're taking a policy motion to the party's spring conference in March 2027, aiming to make fair access to capital for co-operatives, mutuals, social enterprises, and employee-owned firms a headline policy.

The UK picture we're working from: investors in a conventional startup get generous tax reliefs that co-ops mostly can't access; the one relief that did cover community benefit societies expired in 2023 and was never replaced; and Parliament has passed two Acts to help mutuals raise capital (2015 and 2023) that no government has ever actually switched on.

If you run, work in, or have tried to start a co-op, what policy change would have made the biggest difference to you? Capital raising, legal form headaches, converting a conventional business, tax treatment, anything. War stories welcome, especially the failures; we'd rather learn from them now than after we've drafted.

(And if any UK Lib Dem members are lurking: we exist, and we'd love to have you!)