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What is a Co-op?
A co-operative is an incorporated corporation owned by its members. A housing co-op is a non-profit corporation which provides housing services to its members. Co-operative living is unique and differs from other forms of housing because it requires member involvement to operate. Member involvement comes in many forms from attending meetings and events to participating on the board of directors or on committees.
A housing co-op is a non-profit corporation and therefore run like a business. Each part of the co-op comes together to form the structure of the business. Think of the co-op as a democratically structured organization where members are the electing body; they vote on decisions and elect representatives to conduct business on their behalf. The board of directors are the elected representatives who serve terms and undertake the duties of the corporation.
Co-operative principles
Co-operatives are voluntary associations of people to meet economic, social, or cultural needs. Asgard Green is a not-for-profit housing co-operative whose primary goal is to provide safe, affordable housing to its members. All co-operative organizations operate with the same co-op principles.
These principles were established by the International Co-operative Alliance, the organization that represents co-operatives worldwide. The seven principles are:
- Voluntary and Open Membership
- Democratic Member Control
- Member Economic Participation
- Autonomy and Independence
- Education, Training and Information
- Co-operation among Co-operatives
- Concern for Community
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, racial, political or religious discrimination.
Co-operatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions. Members 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.
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 of membership. Members allocate surpluses for any or all of the following purposes: developing their co-operative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the co-operative; and supporting other activities approved by the membership.
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.
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-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, national, regional and international structures.
Co-operatives work for the sustainable development of their communities through policies approved by their members.
Contact the office about our orientation sessions and when they will be held.