On July 6, discover the International Day of Cooperatives (#CoopsDay): Capital and Profits

HIBAPRESS-RABAT-By Marie Lusset

This year, on July 6, the International Day of Cooperatives (#CoopsDay) has the theme “Cooperatives build a better future for all”

The purpose of the cooperative operation of the cooperative

This is about the economic participation of each member. This economic participation implies duties on the part of each member.

In fact, the members of the cooperative have the obligation to allocate a part of the profits generated to the reserve, therefore there will be a part of the capital that will belong to the cooperative. This part amounts to 15% of the profits.

This obligation aims to preserve the cooperative, so that it can last and be sustainable over time. This reserve could be used, for example, to contribute to the development of the cooperative by investing in new equipment.

It can also involve intangible investments such as training for members. This training can contribute to the effectiveness of the cooperative by strengthening the knowledge and skills of each member.

Relations between the cooperative and third parties

A cooperative may decide to work with other entities.

Consequently, a cooperative may be required to collaborate with structures:

Local

Regional

National

International

The cooperative’s desire for independence

Another goal of the cooperative, not obvious at first glance but just as important as the others, exists within a cooperative. It is independence.

It comes from the specific definition of the cooperative: “organization owned by its members”. It is in this sense that we can understand the autonomy of the cooperative. It must strive to maintain a certain independence from its collaborators (other cooperatives for example) in order to maintain the democratic control of its members.

The same applies to external investors. They must always remain a minority compared to the other shareholders of the cooperative. The cooperative must not fall into the hands of a third party.

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