What are some examples of cooperative

Entrepreneurship Lexicon
cooperative

If natural and legal persons who pursue the same economic or social interests and are active in business come together, this is calledcooperative designated.

Definition: cooperative

The cooperative is a special form of company in which the members benefit from each other and thereby strengthen each other. There is no limit to the number of members. The purpose here is to Promotion of social, cultural or economic issues through a joint business operation.

You often meet cooperatives

  • in agriculture,
  • in commercial medium-sized companies and
  • in construction and housing.

Types of cooperatives

The legal basis of this association is laid down in the Genossenschaftsgesetz (GenG). One can differentiate between economic and social-cultural cooperatives.

Economic cooperatives

An economic union is the best known and oldest form. The purpose of the collaboration here is economic promotion of the members.

Examples for this are:

  • Purchasing cooperatives,
  • Consumer cooperatives,
  • Sales cooperatives,
  • or housing associations.

Social-cultural cooperatives

Although this form of association is relatively new in Germany, it is becoming increasingly popular. It is used for example Promotion of cultural institutions. But also the Supporting members in needis one of the social purposes of this form of society.

Basic principles of the cooperative

Make the essence of a cooperative three basic principles from: The principle of self-help, self-responsibility and self-administration.

Individuals decide voluntarily to join forces, so that is the case Principle of self-help. They hope that this will improve their economic, social or cultural conditions. At the same time, the cooperative is also a self-help organization by and for its members.

The Principle of personal responsibility believes that members must be liable for the cooperative's liabilities.

Plus there is that Principle of self-administration: Members take care of their own business affairs. Nevertheless, they manage and control the cooperative through their organs.

Legal basis

To be able to set up a cooperative, you have to at least three people be involved in it. The number of members is otherwise unlimited. These must be a Draw up the statutes and the Elect the executive board and the supervisory board.When it is entered in the register of cooperatives, the association becomes a legal person, whereby specified formalities must be observed. Not all cooperatives are taxable: Whether or not corporation tax is payable depends on the branch of the company in question.

 

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