A Co-op is a business that is controlled by a group of people rather than an individual.
Differences Between Co-ops and Regular Businesses
- The main goal of a Co-op is to fill a need within a community while a business is to make as much money for shareholders as possible
- In a Co-op, one person=one vote while in a business the voting power is equal to the amount of shares owned
- Co-ops can be formed in every business sector imaginable. Examples of Co-ops are:
- Arctic Co-op
- Inukshuk Housing Co-operative
- Old Town Glassworks
- Different types of Co-ops include:
- Financial (credit unions)
- Service (housing)
- Consumer (retail stores)
- Worker (members are the employees)
Starting a Co-Op in the NWT
You must:
- Have at least five members
- Gather information
- Create business plan
- Organize
- Formally set-up Co-op
- Secure financing
- Prepare for opening