what is a co-op? our co-op and the wider co-operative movement

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Orientation for Food Coop Staff, Board Members & Member Owners WHAT IS A COOP? MONADNOCK FOOD COOP & THE WIDER COOPERATIVE MOVEMENT www.nfca.coop The Neighboring Food Coop Association (NFCA)

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An orientation on the co-op model and the larger co-operative movement for food co-op staff, board members, member-owners, and organizers of food co-ops. Customize this presentation to share the story of your co-op and how it ties to the wider regional, national, and global social and economic impact of the co-operative movement.

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Page 1: What is a Co-op? Our Co-op and the Wider Co-operative Movement

   Orientation  for  Food          Co-­‐op  Staff,  Board  Members  &    Member-­‐Owners  

 WHAT  IS  A  CO-­‐OP?  

MONADNOCK  FOOD  CO-­‐OP    &  THE  WIDER  CO-­‐OPERATIVE  

MOVEMENT  

www.nfca.coop  

The  Neighboring  Food  Co-­‐op  Association  (NFCA)  

Page 2: What is a Co-op? Our Co-op and the Wider Co-operative Movement

THE  BASIC  IDEA  

¡ A  co-­‐op  is  a  business  that  is  equitably  owned  and  democratically  controlled  by  its  members,  the  people  who  use  the  business  to  meet  their  common  needs,  goals  and  aspirations.      

¡ Any  surplus  (or  profit)  at  the  end  of  a  given  year  is  reinvested  and/or  distributed  among  members  in  proportion  to  their  use  of  the  business.  

¡ What  do  we  mean  by  “use”?    § Purchase  of  products  or  services  § Amount  of  product  processed,  sold  or  marketed  § Labor  contributed  to  the  business  

www.nfca.coop  

Page 3: What is a Co-op? Our Co-op and the Wider Co-operative Movement

WHAT  MAKES  CO-­‐OPS  DIFFERENT?  

¡ User-­‐Owned:  The  people  who  use  the  co-­‐op’s  services  also  own  it.    

¡ User-­‐Controlled:  The  people  who  use  the  co-­‐op  control  it  on  a  democratic  basis  (one-­‐member,  one-­‐vote).    

¡ User-­‐Benefit:  The  people  who  use  the  co-­‐op  receive  benefits  based  on  their  use,  such  as  access  to  goods  and  services,  better  pricing,  employment,  and/or  a  share  of  year-­‐end  surplus  (patronage).  

www.nfca.coop  

Page 4: What is a Co-op? Our Co-op and the Wider Co-operative Movement

¡ Organized  by  our  community  members  (from  2008  –  2013)  w/a  shared  need  for  a  downtown  grocery  store  providing  healthy,  local  food  

 

¡ Owned  by  over    2,156  community    members  one  year    after  opening    

¡ Much  of  the    start-­‐up  $$  raised    from  our  members  

www.nfca.coop  

OUR  CO-­‐OP’S  HISTORY  

Page 5: What is a Co-op? Our Co-op and the Wider Co-operative Movement

SO  WHY  JOIN?  

•  By  purchasing  a  member  share  of  $200,  you  become  a  part-­‐owner  of  a  local  business  with  $6.5  million  in  sales  annual  revenue  (and  growing!)  

•  You  can  participate  in  the  governance  of  your      co-­‐op  by  voting  in  elections  (one  member,  one  vote!)  or  serving  on  the  Board  of  Directors.  

•  You  share  in  the  store’s  profit  through  patronage  refunds  or  discount  at  the  register.  

•  Co-­‐op  ownership  allows  you  to  put  your  money  where  your  values  are.    

  www.nfca.coop  

Page 6: What is a Co-op? Our Co-op and the Wider Co-operative Movement

INTERNATIONAL  CO-­‐OPERATIVE  ALLIANCE  

DEFINITION  A  co-­‐operative  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.  

www.ica.coop  

www.nfca.coop  

Page 7: What is a Co-op? Our Co-op and the Wider Co-operative Movement

THE  CO-­‐OPERATIVE  PRINCIPLES  

PRINCIPLES  1.  Voluntary  and  Open  

Membership  2.  Democratic  Member  

Control  3.  Member  Economic  

Participation  4.  Autonomy  and  

Independence  5.  Education,  Training  and  

Information  6.  Co-­‐operation  among  

Co-­‐operatives  7.  Concern  for  Community  

www.nfca.coop  

Page 8: What is a Co-op? Our Co-op and the Wider Co-operative Movement

CO-­‐OPERATIVE  VALUES  

Co-­‐operatives  are  based  on  the  values  of:    

¡  Self-­‐help  ¡  Self-­‐responsibility  ¡  Democracy  ¡  Equality  ¡  Equity  ¡  Solidarity    

In  the  tradition  of  their  founders,  co-­‐op  members  believe  in  the  ethical  values  of  honesty,  openness,  social  responsibility  and  caring  for  others.  

www.nfca.coop  

Page 9: What is a Co-op? Our Co-op and the Wider Co-operative Movement

“What  was  the  motivation  of  the  Rochdale  Pioneers,  who  codified  the  values  and  principles  on  which  the  co-­‐operative  movement  has  based  since  1844?    We  know  it  today  as  food  security.”    Dame  Paul ine  Green,  President  International  Co-­‐operative  Al l iance  

www.nfca.coop  

OUR  ROOTS  ARE  IN  FOOD  ACCESS  

Page 10: What is a Co-op? Our Co-op and the Wider Co-operative Movement

NFCA  Co-­‐ops:      ¡ Peer  collaboration  for  business  success  

¡ Educating  about  our  difference  &  shared  impact  

¡ Collaborating  with  other  co-­‐ops  

¡ Expanding  sourcing  of  regional  products  

www.nfca.coop  

LEVERAGING  OUR  SHARED  STRENGTH  

Page 11: What is a Co-op? Our Co-op and the Wider Co-operative Movement

The  NFCA  in  2013:  •  35  food  co-­‐ops  and  start-­‐

ups  in  our  region  •  Locally  owned  by  more  

than  90,000  people  •  Over  7,000  new  members  in  

2013  •  Employ  over  1,700  people  •  Have  more  than  $240  

mill ion  in  annual  revenue  •  Purchase  over  $30  mill ion  

worth  of  local  products  

www.nfca.coop  

YOUR  NEIGHBORING  FOOD  CO-­‐OPS  

Page 12: What is a Co-op? Our Co-op and the Wider Co-operative Movement

National  Cooperative          Grocers  Association:  ¡  136  food  co-­‐ops    ¡  180  stores  in  37  

states  ¡  Combined  annual  

sales  of  $1.5  billion    ¡  Over  1.3  million  

member-­‐owners  

www.nfca.coop  

FOOD  CO-­‐OPS  NATIONWIDE  

Page 13: What is a Co-op? Our Co-op and the Wider Co-operative Movement

www.nfca.coop  

THE  FOOD  CO-­‐OP  DIFFERENCE  

Source:  Healthy  Foods  Healthy  Communities:  The  Social  and  Economic  Impacts  of  Food  Co-­‐ops,  2012,  NCGA:  strongertogether.coop    

Page 14: What is a Co-op? Our Co-op and the Wider Co-operative Movement

www.nfca.coop  

THE  FOOD  CO-­‐OP  DIFFERENCE  

Source:  Healthy  Foods  Healthy  Communities:  The  Social  and  Economic  Impacts  of  Food  Co-­‐ops                  2012,  NCGA:  strongertogether.coop      

Page 15: What is a Co-op? Our Co-op and the Wider Co-operative Movement

CO-­‐OPS  ACROSS  THE  ECONOMY  

¡ Food  Co-­‐ops  ¡ Agricultural  Co-­‐ops  ¡ Credit  Unions  ¡ Consumer  Goods  ¡ Worker  Co-­‐ops  ¡ Housing  Co-­‐ops  

¡ Health  &  Insurance  ¡ Fishing  Co-­‐ops  ¡ Communications  ¡ Utilities  Co-­‐ops  ¡ Artisan  Co-­‐ops  ¡ Etc.  

www.nfca.coop  

Page 16: What is a Co-op? Our Co-op and the Wider Co-operative Movement

Co-­‐ops  in  New  England  ¡  1,400  businesses  ¡  Locally  owned  by  5  

million  members  ¡  Earn  $9  billion  in  

annual  revenue  ¡  Employ  22,000  people  ¡  Pay  $1  billion  in  wages  

 

Source:  http: / / re ic .uwcc.wisc .edu/  

www.nfca.coop  

YOUR  CO-­‐OP  IS  A  PART  OF…  

Page 17: What is a Co-op? Our Co-op and the Wider Co-operative Movement

¡ Cabot  Creamery  § Dairy  products  

¡ Deep  Root  Organic  Co-­‐op  § Organic  Produce  

¡ Equal  Exchange  § Fairly  traded  products  

¡ Organic  Valley  § Organic  Dairy  Products  

¡ Port  Clyde  Fresh  Catch  § Seafood  

¡ Real  Pickles  § Fermented  vegetables  

www.nfca.coop/coopproducts  

www.nfca.coop  

FAMILIAR  CO-­‐OPS  ON  OUR  SHELVES  

Page 18: What is a Co-op? Our Co-op and the Wider Co-operative Movement

CO-­‐OPS  &  LOCAL  ECONOMIES  

Co-­‐ops  strengthen  local  economies  because  they  ¡ Are  democratic  ¡ Strengthen  local  ownership  &  control  ¡ Put  people  before  profit  ¡ Develop  local  skills  &  assets  ¡ Empower  people  with  limited  resources  ¡ Develop  economic  efficiencies  ¡ Are  difficult  to  move  or  buy-­‐out  ¡ Have  a  low  failure  rate  &  are  long-­‐lived  

www.nfca.coop  

Page 19: What is a Co-op? Our Co-op and the Wider Co-operative Movement

Co-­‐ops  “in  their  various  forms,  promote  the  fullest  possible  participation  in  the  economic  and  social  development  of  all  people,  including  women,  youth,  older  persons,  persons  with  disabilities  and  indigenous  peoples…”  

(United  Nations,  2009)  

www.nfca.coop  

THE  UNITED  NATIONS  YEAR  OF  CO-­‐OPS  

Page 20: What is a Co-op? Our Co-op and the Wider Co-operative Movement

Co-­‐ops  are  ¡ Innovative  ¡ Successful  ¡ Resilient  ¡ More  common  than  you  might  think  § 30,000  co-­‐ops  in  the  US  

§  1  billion  members  worldwide  

§ Employ  100  million  people  

www.nfca.coop  

CO-­‐OPS  AND  SUSTAINABILITY  

Page 21: What is a Co-op? Our Co-op and the Wider Co-operative Movement

¡  Become  a  member-­‐owner  of  your  food  co-­‐op!  

¡ Welcome  members  &  thank  them  for  helping  build  your  community  co-­‐op.    

¡  Encourage  shoppers  to  join  your  co-­‐op  by  communicating  the  benefits  of  membership.    

¡  Promote  products  from  other  co-­‐ops  in  your  store.  

¡  Participate  in  your  co-­‐op’s  annual  meeting:  learn  &  vote!  

¡  Support  other  co-­‐ops  in  your  community  and  region.  

www.nfca.coop  

WHAT  CAN  YOU  DO?  

Putney  Food  Co-­‐op,  Putney,  VT  

Page 22: What is a Co-op? Our Co-op and the Wider Co-operative Movement

     

www.nfca.coop  

   

PO  Box  93  Shelburne  Falls,  MA  01370  www.nfca,coop  [email protected]  

I Y Our Co-ops!The Neighboring Food Co-op Association // www.nfca.coop