What are Co-operatives / Mutual's?

A cooperative (also co-operative or co-op) is a group of persons who join together or co-operate, to carry on an economic activity of mutual benefit, and the ownership is based around the cooperatives users or community.

There is not a single co operative legal entity that defines a co-operative enterprise. As a result co-operatives come in a variety of legal forms including industrial and provident societies, companies. The most common are incorporated as Industrial and Provident Societies or as Companies - either limited by guarantee or by shares. In addition there are a small number of co-operative partnerships.

Cooperatives are ethically based organisations in the tradition of their founders, co-operative members believe in the ethical values of honesty, openness, social responsibility, and caring for others. Their principles are based around

• Voluntary and Open Membership -Co-operatives are voluntary organisations; open to all people
• Democratic Member Control -Co-operatives are democratic organisations controlled by their members, who actively participate in setting their policies and making decisions.
• Member Economic Participation - 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
• Autonomy and Independence -Co-operatives are autonomous, self-help organisations controlled by their members.
• Education, Training and Information -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-operation Among Co-operatives -Co-operatives serve their members most effectively and strengthen the Co-operative Movement by working together through local, national, regional and international structures.

• Concern for Community -Co-operatives work for the sustainable development of their communities through policies approved by their members.

The above is only a précis, the fuller detail can be had from Co operatives UK at;

http://www.cooperatives-uk.coop/About/valuesAndPrinciples

Or Co operative futures also has a good level of information at;
 http://www.co-operativefutures.coop/index.html

and they also provide an excellent comparison of potential legal structures for Co operatives via a simple table at ;

http://www.co-operativefutures.coop/documents/L10comparisonofLegalOptions.pdf