COOPERATIVE

“A cooperative is an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise, according to internationally recognized co-operative values and principles”. What makes a co-operative different from a conventional business is: • It fulfils a social or environmental objective, or is formed to fulfil its members? needs • Its democratic ownership and control • Its way of working • Its legal structure If you want to set up a co-operative, you should seek Professional advice from RCA or a co-operative development body if there is one in

Co-operative Principles

  • Voluntary and Open Membership
  • Democratic Member Control
  • Member Economic Participation
  • Autonomy and Independence
  • Education, Training and Information
  • Cooperation Among Cooperatives
  • Concern for Community

Co-operative Values

Cooperatives are based on the values of:

  • Self-responsibility
  • Democracy
  • Equality
  • Equity
  • Solidarity
  • Honesty
  • Openness
  • Social responsibility
  • Caring for others

Types of Cooperatives

Cooperative Organizations may carry out activities in all sectors of economic and social life, and they are divided into the following categories:
1)    Production Cooperative Organizations;
2)    Commercial and Consumer cooperative Organizations;
3)    Savings and Credit Cooperative organizations;
4)    Services Cooperative Organizations;
5)    Multipurpose Cooperative Organizations.

Types of Books of Accounts

1°.      Cash book
2°.      Debtor’s book
3°.      Creditor’s book
4°.      Regiter of Members’shares
5°.      Purchase book
6°.      Seles Book
7°.      Stock documents
8°.      Intangible documents
9°.      Invoice
10°.   Delivery note
11°.   Balance sheet
12°.   Income Statement /Statement of Revenue and Expenditure.

Documents

Types of Books of Accounts

Cooperative Structure

The cooperative organizations may constitute among themselves unions, federations and confederation for the better management of their property and the defense of their common interests.

1.1.    Primary cooperatives

This is a primary basic type of a cooperative where members voluntarily decide to gather their thoughts, strengths and assets with the common purpose of maximizing profit through providing any activity.

1.2.    Unions

Three (3) or more primary cooperatives may join together to form a cooperative Union. Such a Cooperative Organization shall be referred to as a secondary Cooperative Organization. Only primary Cooperative Organizations may be members of a cooperative union. No primary Cooperative Organization shall be a member of two (2) cooperative unions at the same time.
Cooperative union by-laws shall provide for a delegate representation and the mode of voting in a General Assembly meeting.
A cooperative union may carry out complementary economic and service activities to those of its affiliates.

1.3.    Federation

Three or more cooperative unions may join together to form a cooperative Federation at national level. Such a cooperative federation shall be referred to as a tertiary cooperative organization.

1.4.    Confederation

Three or more cooperative federations may join together to form a cooperative confederation at the national level. Such a cooperative confederation shall be referred to as the APEX cooperative organizations at the national level.
Below is a diagram that reflects how primary coops lead to unions, then federations and finally confederations.